Lending declines in January, which is normal for beginning of year
The corporate portfolio was down by 1.2% compared to a 0.2% reduction in December. Lower demand for loans was mainly due to higher budget transfers under government contracts in December—January.
Compared to moderate growth by 0.4% in the previous month, mortgage lending decreased by 0.2% because of long seasonal holidays. The decrease in the consumer loan portfolio (-0.3%) was not as significant as in December (-1.9%). After elevated spending during New Year holidays, people tended to use credit cards more frequently.
Household funds with banks contracted by 0.8%, which was below the typical January outflow, probably, due to high deposit rates. After a noticeable inflow in December (+2.1%), corporate funds grew by a mere 0.5%.
The banking sector’s profit was ₽286 billion, up from the December figure when the seasonal peak in operating expenses had been observed.
More details are available in the information and analytical material Russian Banking Sector Development in January 2025.