The share of foreign currency deposits of the population in Russia in May for the first time in recent years fell below 10%

Bank of Russia reported on the situation in the banking sector in May. As follows from the data of the regulator, for the first time in 13 months, the share of foreign currency deposits of individuals fell below 10% (to 9.8%).

Also, the report of the Central Bank states that the profit of the banking sector in May amounted to 273 billion rubles, which is a quarter higher than the result of April. Mortgage portfolio grew by 2.2% mom, consumer lending – up to 1.7%. Funds of the population and companies increased by 1.2%. The growth of the corporate loan portfolio slowed down to 0.8%.

As for the share of foreign currency deposits of individuals, from May 2022 to April 2023 it did not fall below 10%. In May 2022 it was 14% (the highest figure), in April 2023 it was 10.1%. In May of this year – 9.8%.

“Foreign currency balances decreased by $1 billion (-79 billion rubles in ruble terms, or -2.1%), including due to the ongoing conversion of foreign currency into rubles, as well as, probably, transfers of funds abroad,” — stated in the May statistics of the Central Bank.

• In April: foreign currency balances decreased by $2.3 billion (-176 billion rubles, or -4.6%);
• in March: foreign currency funds decreased by $3.2 billion (-238 billion rubles, or -6%);
• in February: foreign currency funds continued to decline — by $1.7 billion (-117 billion rubles, or -3.1%).

Maria Fedotova