Changes in regulation of credit concentration risks: concept for discussion
The Bank of Russia will continue its efforts to reduce banks’ credit concentration involving a number of risks to the sector. From January 2028, the regulator plans to modify the calculation of the N6/N21 concentration ratios by assigning a 100% risk weight to all corporate borrowers (currently, banks apply reduced risk weights to a range of borrowers).
Earlier, the Bank of Russia announced that this will only apply to systemically important banks upon introduction of a new N30 ratio. However, the regulator has decided to establish the same rules for all banks in order to mitigate the risk that credit concentration shifts to smaller market participants. This will be done using the effective concentration ratios, without introducing N30.
For banks with elevated concentration to adapt to the new rules smoothly, the regulator will allow them to reduce it stepwise without applying any additional supervisory measures or restrictions. In order to encourage banks to decrease credit concentration, the regulator will oblige them to pay a new contribution to the compulsory deposit insurance fund until they reach the target 25% of capital per group of related borrowers.
Additionally, the Bank of Russia introduces other regulatory innovations to urge credit institutions to reduce concentration: already from 2026, banks will be able to redistribute concentration exposures using credit default swaps and credit digital financial assets. Furthermore, banks will be allowed not to group operationally independent companies as related borrowers.
The Bank of Russia plans to complete the regulatory framework in 2026–2027 for the modifications to become effective as early as 1 January 2028. More information is available in the consultation paper Changes in Regulation of Credit Concentration Risks.
Please send your feedback and suggestions on the consultation paper to the Bank of Russia through 5 June 2026.
A number of innovations described in the paper are provided for in the amendments to the instruction on calculating the ratios, which the Bank of Russia will soon publish to assess their regulatory impact.