The Board of Directors of the Bank of Russia has set new macroprudential limits on unsecured loans and borrowings for Q4 2023. This decision imposes more stringent restrictions on lending to borrowers with a high debt load.
The Bank of Russia notes that since July 1, 2023, it has reduced the values of macroprudential limits (MPL), but the debt of persons with an increased debt burden remains significant, namely, 64% of the portfolio falls on borrowers who use more than half of their income to pay off debts. With this in mind, the Bank of Russia considers it expedient to accelerate the transition to a more balanced lending structure and tighten the MPL values for the fourth quarter of 2023.
Thus, tightening regulation will reduce the growth rate of the loan portfolio by 6% by the end of 2023, but will make the lending structure more balanced, which will ultimately reduce the debt load of citizens, the risks of banks and MFIs.
See: Decision of the Board of Directors of the Bank of Russia on establishing macroprudential limits for certain types of consumer loans (loans) and numerical values of credit (loan) characteristics, depending on which macroprudential limits are differentiated http://www.cbr.ru/about_br/dir /rsd_2023-08-31_35_01/
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