Saturday, August 13

Russia’s FX corporate loans fell by $2.5 bln in June –

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MOSCOW — The volume of corporate loans in foreign currency fell by $2.5 billion in Russia in June, the central bank said on Monday, but rouble loans pushed the overall corporate loan portfolio to growth of 0.1%.

The central bank, which slashed its key rate to 8% on Friday, has not reported sector profit or loss since before Russia sent tens of thousands of troops into Ukraine on Feb. 24 in what Moscow banking calls a special military operation.

Western nations hit Russia’s financial sector with unprecedented sanctions and banks have also had to contend with sharp interest rate swings.

In a report on Monday, the central bank said retail lending was up 0.4%, returning to growth after contraction in April-May, while the inflow of 555 billion roubles ($10 billion) of funds from individuals into bank accounts in June was evidence that Savings behavior was persisting. ($1 = 55.5000 roubles) (Reporting by Reuters)

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