Central Bank of Russia sets required reserve ratios for banks and foreign bank branches effective 1 August 2025

The Central Bank of Russia issued a regulation setting required reserve ratios and parameters for calculating reservable liabilities for Russian credit institutions and foreign bank branches, to apply from 1 August 2025. Reserve ratios and required reserve averaging ratios for Russian credit institutions remain at their current levels, while ratios for foreign bank branches are set at the level used for non-bank credit institutions. Required reserve ratios are set at 4.5% for all categories of Russian ruble liabilities for banks with a universal licence, non-bank credit institutions, and foreign bank branches, and at 1% for all categories of Russian ruble liabilities for banks with a basic licence. For foreign currency liabilities, the ratio is 6% for liabilities in the currencies of friendly countries and 8.5% for liabilities in the currencies of unfriendly countries, applying to all credit institutions and foreign bank branches. Required reserve averaging ratios are set at 0.9 for banks with a basic or universal licence and at 1 for non-bank credit institutions and foreign bank branches. Ratios used to calculate required reserves for transactions involving a credit institution acting as a central counterparty are maintained at 0.25 for ruble liabilities, 0.07 for liabilities in the currencies of unfriendly countries, and 0.4 for foreign currency liabilities excluding currencies of unfriendly countries. The adjustment factor used to exclude certain liabilities to other resident credit institutions and foreign bank branches on issued debt securities from reservable liabilities remains 0.2. The updated ratios start to apply when required reserves for August 2025 are calculated.