... overheating in the corporate lending market. As reported by the head of the department at the Central Bank, annual growth rates of loans in this sector remain high, exceeding 20%. This indicates that many companies are taking out loans despite the high key interest rate and the associated increase in borrowing costs. However, the central bank emphasizes that we have not yet reached a credit bubble, as measures have been implemented to curtail further growth. Why Is This Happening? High Interest Rates: The Central ...

... demonstrating strong positions in the currency market, driven by a range of economic and political factors. Experts highlight several key reasons contributing to the ruble's strengthening, along with forecasts for its future trends. Factors Influencing the Strengthening ... ... directives of the new US administration do not directly impact Russia, reducing tension and supporting the ruble's exchange rate. Geopolitical Improvements The prospects of upcoming negotiations regarding Ukraine are lowering the risk premium and boosting ...

... Chinese authorities announced an additional stimulus package: tax reductions for small businesses, eased mortgage lending conditions, and accelerated infrastructure projects in the second half of the year. The People's Bank of China previously lowered key rates (by a total of 0.25 pp in June and July) and is ready to continue easing policy to avoid deflation. These measures aim to help achieve the GDP growth target of ~5% in 2025. Elsewhere in Asia, positivity prevails. The Japanese Nikkei 225 is holding ...

... access to international financial markets. Decline in Export Revenues Falling global prices for oil and gas, along with a reduction in their export, diminished the inflow of foreign currency into Russia. Monetary Policy The Central Bank maintains the key interest rate at 21%, which curtails economic activity but does not stop capital outflows. Increase in Imports The gradual recovery of demand for imported goods increased the need for foreign currency, putting additional pressure on the ruble. Forecasts for 2025 ...

... supplier costs, along with external sanctions that have limited certain supplies. Impact of the ruble's exchange rate. Due to the depreciation of the ruble, imported goods have become more expensive, intensifying inflationary pressure. Increase in the key rate by the Central Bank. To combat inflation, the Central Bank of Russia has raised the key rate to 13%, making loans more expensive to reduce consumer demand and stabilize prices. How Inflation Affects Daily Life Reduced purchasing power: People can ...