The Central Bank of Russia published its review of microfinance organisation (MFO) market trends for 2025 Q1, showing microloans issued worth RUB 497 billion, a 1% quarter-on-quarter decline. The update links the slowdown to longer maturities, higher pricing in certain categories following the suspension of the effective interest rate limit, a high base in 2024 Q4, and a seasonal drop in corporate demand, while noting that consumer microloans are continuing to reshape under macroprudential limits and in anticipation of limits on the number of simultaneously outstanding microloans. Product mix continued to shift, with nearly half of microloans in 2025 Q1 having maturities of over one year and more than a quarter of consumer microloans issued under credit-limit agreements similar to bank credit cards; the average consumer microloan amount rose to RUB 21,000 year on year. Online microloans on marketplaces and point-of-sale financing, associated with lower interest rates and grace periods, accounted for over 60% of microloans to new borrowers. Car microloans expanded sixfold to 9% of issuance and were often granted to borrowers with the highest debt service-to-income ratios; to prevent risk build-up, macroprudential limits will be introduced for this segment in 2025 Q3. Delinquencies also eased, with the share of loans over 90 days overdue falling to 27.5%, although risks remained concentrated in the retail segment.
Central Bank of Russia 2025-05-23
Central Bank of Russia reports RUB 497bn Q1 microloan issuance and plans macroprudential limits for car microloans in Q3 2025
The Central Bank of Russia's review of the microfinance organisation market for Q1 2025 reports a 1% decline in microloans issued, totaling RUB 497 billion. The slowdown is attributed to longer maturities, higher pricing, and seasonal factors, with consumer microloans evolving under macroprudential limits. Notably, car microloans surged to 9% of issuance, prompting planned macroprudential limits in Q3 2025 to mitigate risk.