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Why Russian Banks Sharply Cut Credit Card Issuance in 2024 and What It Means for Consumers
... driven by several key factors, from the tightening of the Central Bank's credit policy to a decline in consumer activity. Let's explore why banks are forced to restrict access to credit, how this affects the economy, and what prospects the market holds in the coming months.
Why Are Banks Reducing Credit Card Issuance?
High Interest Rates
The Central Bank of Russia maintains a high key interest rate to curb inflation. High rates directly impact the cost of borrowing, increasing consumers' debt servicing expenses. Consequently, banks become more cautious, as high rates can negatively affect clients' payment capacities and heighten the risks of loan defaults....
The Risk of Bankruptcy for Mercedes, BMW, and Volkswagen: What It Means for Investors
... risks that could lead to potential financial instability. Amid intense competition in China, declining demand in Europe, and the threat of high U.S. tariffs, these automakers... ... in Europe:
The European automotive market is facing a decrease in demand amid high inflation, economic difficulties, and support for local producers, which weakens the... ... MARKET
, the first independent marketplace for petroleum products and raw materials in Russia, shared his views:
“Currently, we’re preparing for our own
pre-IPO
round...
Investing in IT Sector – Is It Worth It?
IT technologies play a significant role in the development of business, communication, industry, and more. This, among other ... ... results in increased working capital and, consequently, profit.
Investment Features in Russia
According to analytical data, investments in the IT sector in Russia currently... ...
Cost. Many Russian programmers, inspired by their foreign counterparts, significantly inflate their pricing, while the product may not align with current market demands....
How to Choose Reliable Investments for Stable Income: Expert Tips
Investing is the art of choosing and managing capital wisely. In this guide, I will share the basic principles of choosing reliable investments, avoiding ... ... the key to achieving stable income and future security. This is especially true in Russia, where the market is subject to external and internal fluctuations; investors... ... impact their returns and stability. Keep an eye on key economic indicators, such as inflation, currency exchange rates, and interest rates. Awareness of macroeconomic trends...
Dedollarization of Global Finance: Reducing Investments in US Treasury Securities
... central banks actively reduce their holdings of dollar assets. The reasons for de-dollarization are geopolitical events, such as Russia’s reserve freeze in 2022, and growing mistrust of the dollar as a reserve currency. What does this mean for the global economy, currency markets,... ... levels for EUR/USD are around 1.05, and a breach of this level could strengthen bearish sentiment.
Pay attention to upcoming inflation data and speeches from Fed and ECB representatives, which may influence further currency dynamics.
#USD #EUR #Forex ...