The Central Bank of Russia published its Financial Stability Review, concluding that the corporate and banking sectors remain resilient despite slower economic growth and still high interest rates, while household indebtedness has eased but retail credit quality has deteriorated. Profit in the real sector edged down, but companies were assessed as maintaining a sufficient safety cushion. The banking sector was described as stable and able to continue lending to the economy and support borrowers through loan restructuring if needed. Households’ debt burden decreased due to rising incomes and lower demand for credit, but the share of non-performing loans in the retail segment increased, mainly reflecting earlier active lending to riskier borrowers during a period of credit market overheating; measures to limit households’ debt burden were described as having notably reduced the accumulation of risks. The Central Bank of Russia indicated it will continue to monitor financial system resilience and respond to emerging challenges, and noted that a full English version of the review will be made available later.
Central Bank of Russia 2025-11-27
Central Bank of Russia publishes Financial Stability Review finding corporates and banks resilient while retail non-performing loans rise
The Central Bank of Russia's Financial Stability Review highlights resilience in corporate and banking sectors despite slower economic growth and high interest rates. Household indebtedness is easing, but retail credit quality is deteriorating. The banking sector remains stable, capable of supporting borrowers through loan restructuring, while measures have reduced household debt risks. The Central Bank will continue monitoring financial system resilience and plans to release a full English version of the review.