Debt burdens of Russians hit record high at 11.7%

This was stated by Elizaveta Danilova, the Head of the Financial Stability Department of the Bank of Russia, the Kommersant newspaper reports. Mortgage borrowers’ debt burden rose to 1.9%. The Bank of Russia explains this trend by the pandemic and dropped incomes of citizens. The debt burden growth was kept down by the increased loan interest rates.

The Central Bank of the Russian Federation developed a roadmap designed to update the mechanism for calculating the borrower's debt burden indicator. The roadmap will help banks estimate the debt burden of clients more accurately, primarily when issuing unsecured loans.

Source: Kommersant

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