The Bank of Russia decided to raise the standards of provisions for liabilities of credit organizations in foreign currency. This should slow down the growth of foreign currency liabilities in the structure of banks ‘ liabilities
Photo: Yegor Aleev / TASS
The Central Bank decided on August 1 to increase by 1%. the threshold of mandatory reserves on liabilities of banks in foreign currency. Now under attract foreign currency deposits from natural persons and legal entities banks will have to create more reserves.
For liabilities to individuals and provisioning requirements will be 7% and to companies by non-residents and other liabilities — 8%.
The Central Bank said that the decision was made in order to discourage the growth of foreign currency liabilities in the structure of liabilities of credit institutions. The ratios of reserves to liabilities of banks in rubles remained unchanged.
In early June, the head of the Central Bank Elvira Nabiullina spoke about the need for “devalorization banks”. “This will have a positive long-term effect on financial stability in General and stability of the financial system, it will be less exposed to currency risks”, — she assured. The policy of the Central Bank since July 1, have limited foreign currency lending to Russian companies. The risk ratio for credit requirements in foreign currency to exporting companies increased from 100 to 110%. The requirements for companies taking a foreign currency loan to purchase real estate, the ratio increased from 130 to 150%. The risk ratios for other foreign currency loans to companies has increased from 110 to 130%. The risk ratios increased only for those companies whose repayment is directly or indirectly guaranteed by the government.
About the importance of “de-dollarization” of banks ‘ balance sheets at the meeting with President Vladimir Putin in mid-July, said the head of VTB Andrey Kostin. According to him, “the population from the beginning of the year was less than the shift toward dollar-denominated deposits and loans relative to the ruble”.