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MIL OSI Translation. Region: Russian Federation –

Source: Central Bank of Russia – Central Bank of Russia –

In the second half of 2023, the share of mortgages for a term of more than 25 years increased to 57%, data from the credit history bureau (BKI) shows. At the same time, 15% of mortgage loans were issued for a period of more than 30 years.

The age of the borrower at the time of loan repayment also increases: 42% of the mortgage issued in the second half of the year will be repaid when the borrower turns over 65 years old.

The share of mortgages, where borrowers could make a down payment using a consumer loan, remains moderate – 6.3%, the same as a year earlier.

There are more and more citizens who, in addition to a mortgage, have at least one more consumer loan. In 2023, their number increased by 1.1 million people. To limit the risks of debt burden in mortgages, the Bank of Russia increased macroprudential buffers from March 1, 2024.

At the same time, macroprudential limits work effectively in unsecured consumer lending. The number of cash loan borrowers stopped growing, amounting to 24 million people. The average loan size has decreased.

However, more and more citizens use credit cards; their number has exceeded 27 million people. The Bank of Russia expects that limits and surcharges will gradually limit the risks of citizens’ excessive debt burden.

Read more in the information and analytical material “Analysis of trends in the retail lending segment based on credit history bureau data” for the second half of 2023.

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Note; This information is raw content directly from the source of the information. This is exactly what the source states and does not reflect the position of MIL-OSI or its clients.

Please note; This information is raw content directly from the information source. It is accurate to what the source is stating and does not reflect the position of MIL-OSI or its clients.

EDITOR’S NOTE: This article is a translation. Apologies should the grammar and or sentence structure not be perfect.

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