ACRA: by 2023 the share of foreign currency deposits of Russians will be below 10%

According to Mikhail Sukhov, CEO of the Central Bank-accredited Analytical Credit Rating Agency (ACRA), in 2023 the share of foreign currency deposits of Russians will be on average at the level of 10% of total savings. Mr. Sukhov connects this trend with high volatility and uncertainty about the prospects of a number of currencies, as well as legislative restrictions.

“Some banks have already started offering rates in the ‘new’ currencies, but they are volatile or difficult to use… Therefore, I don’t expect ‘revaluation’ of deposits in the ‘new’ currencies, I think that the share of ruble deposits and accounts will exceed 90% quite steadily already next year,” the ACRA CEO explained in an interview with RIA Novosti.

He explained the problems of investing currency in 2023 with examples. In his opinion, despite the fact that the UAE dirham is a hard currency, banks do not know how to work with it and do not understand the conditions for using the Arab currency. The situation is reversed with the Chinese yuan: Russian financial institutions understand the possibilities of using it, but this currency is highly volatile and depends on the Chinese authorities. In dollars and euros, Mr. Sukhov believes, it is practically impossible to make money in the current conditions, which is why banks may stop setting rates on foreign currency deposits in these currencies.

Since March 9, the Central Bank introduced a restriction on the sale of foreign currency by banks to Russian citizens, and also set a limit on cash withdrawals from one’s account (one bank can withdraw no more than $10,000). Later, the US Federal Reserve and the ECB banned the supply of their national currencies to Russia.

Read more about foreign exchange savings in 2022 – in the material “Kommersant-Money” “Diversification of foreign exchange savings”.

Andrey Sapozhnikov