A softening of credit conditions in Russian banks is expected.
In a financial and analytical review of the "Monetary Policy Context" published on the website of the Central Bank of Russia, it is said that Russian banks are declaring plans to mitigate the credit policy for all types of lending. Of course, banks are not ready to assume excessive risks, therefore banks' credit policy of banks remains cautious, which restrains the growth of loan portfolios.
"Banks are planning to gradually reduce the degree of stringency of credit conditions," the Central Bank said in its analytical note. According to the forecast of the Central Bank in the first half of 2017 for Russian banks, the growth trends of the profits that prevailed in the previous year will remain. A slight decline in demand for loans at the beginning of this year is due to the usual seasonal fluctuations in economic activity, in the future, an increase in activity is expected in all segments of the market, which will allow us to talk about the growth in demand for bank loans.