CBR RU

The report presents the results of the monitoring and analytical review of RUONIA and RUONIA Averages and information on the movements of RUONIA and its use in financial instruments in the second half of 2022.

By its order, the regulator has extended the ban for another six months. This order will be effective until 1 October 2023 when the Bank of Russia Ordinance establishing these restrictions on an ongoing basis will come into force.

Russian credit rating agencies (CRAs) assigned over 1,700 ratings to 757 companies as of the end of 2022. A company needs a credit rating to confirm its ability to fulfil the financial obligations undertaken. The Bank of Russia publishes the results of the development of the rating services market.

From 1 April 2023, these operations will be suspended for another six months.

The March 2023 results of the monitoring of the maximum interest rates on deposits1 in Russian rubles of the top ten credit institutions2 attracting the largest amount of household deposits are as follows:

In accordance with Bank of Russia Ordinance No. 3439-U, dated 6 November 2014, ‘On the Procedure for the Bank of Russia to Recognise Credit Institutions as Important in the Payment Services Market’, the Bank of Russia publishes the Register of Credit Institutions Recognised by the Bank of Russia as Important in the Payment Services Market on the Bank of Russia website and in the Bank of Russia Bulletin.

Households’ inflation expectations for a year ahead declined in March 2023, while remaining elevated. People expect inflation to stay at 10.7% during the next 12 months, as shown by InFOM’s survey. Companies’ price expectations increased slightly.

The Bank of Russia starts publishing an expanded set of indicators on the international reserves of the Russian Federation. The format of the monthly publication has been updated for the data beginning from 1 March 2022.

Over the month, the portfolio of mortgage loans edged up by 1.5%. The most significant increase (1.8 times) was in loans issued under the Family Mortgage programme as a result of its expansion. Consumer lending demonstrated moderate growth, as before (+0.5%).

The Bank of Russia has suggested discussing new opportunities for diversifying non-qualified investors’ portfolios. In particular, these are a reduction in the minimum amount of investment in closed-end real estate unit investment funds and a decrease in the rating of bonds purchased without testing from ‘AAA’ to ‘A’. Another option considered is the sale of some simple structured income bonds, provided that they have a transparent yield calculation formula and special requirements for basic assets are complied with. These initiatives were discussed at the meeting of the Expert Board for Retail Investors Protection under the Bank of Russia.

To promote changes in the composition of credit institutions’ foreign currency liabilities towards a higher proportion of friendly states’ currencies, while maintaining the conditions for a further overall decrease in the share of foreign currencies on banks’ balance sheets, beginning on 1 April 2023, the Bank of Russia introduces differentiated required reserve ratios for liabilities in unfriendly states’ currencies or other foreign currencies to be complied with by all credit institutions:

In February, price growth continued to decelerate. This downward trend was explained by expanding supply and decreasing costs of manufacturers of some food products, as well as weak consumer activity and a gradual restoration of non-food imports.