The authorities and the Bank of Russia are ready to allow banks to issue consumer loans with a floating rate, including mortgages, without any restrictions, but only to citizens with very high incomes, if they are aware of such risks. Senator Nikolai Zhuravlev introduced the bill. The introduction of the appropriate amendments was announced on the website of the Federation Council on July 12 – three days before the expiration of the execution of President Vladimir Putin’s instructions: by July 15, the government and the Bank of Russia were to develop measures that would reduce the risks of borrowers with loans at floating rates. The bill has not yet been published on the website of the State Duma.
The amendments being introduced are the result of the joint work of all interested parties: the Central Bank, the government and banks, Anatoly Aksakov, head of the State Duma’s financial market committee, explained to Vedomosti. They take into account the proposals of all parties, he added. It is proposed to amend the laws “On the Central Bank”, “On consumer loans” and “On credit histories”.
In March, when Putin gave his instructions, the Central Bank published a report in which it described six options for limiting loans at floating rates, up to a complete ban on such loans. In Russia, loans with variable interest rates are practically not issued: for example, in the mortgage portfolio they account for only 0.1% of the total volume. But the Central Bank pointed to the plans of banks to develop such products and the risks that may arise for borrowers.