Retail lending growth retains momentum in May
The mortgage portfolio continued to expand rapidly (+2.2% over the month), with the issue of subsidised mortgages increasing at a faster pace. Consumer lending accelerated (+1.7%).
Growth in the corporate loan portfolio slowed to moderate levels (+0.8%), with an ongoing trend towards its dedollarisation.
Household funds continue to grow (+1.2%) due in part to social and budget payments. Corporate funds also increased (+1.2%) predominantly on the back of placements by oil and gas, and mining companies.
In May, the banking sector generated profit of ₽273 billion (return on capital was almost 26% in annualised terms), a quarter higher than the April outturns, which was due in part to larger business volumes and lower provisions.
More details are available in the information and analytical material Russian Banking Sector Development in May 2023.