OREANDA-NEWS  By the end of August, the total volume of car loans in Russia increased by 10 percent compared to the July figure. A significant increase in the indicator is evidenced by preliminary data from analysts at the consulting company Frank RG.

Over the last summer month, Russians were given car loans totaling 173.4 billion rubles. Despite the noticeable increase in the indicator compared to July, the achieved result still falls far short of last year's dynamics. So, in August 2024, the volume of car loans in Russia was 22 percent higher, experts explained. The increase in car loans in August is recorded, among other things, against the background of the changed policy of dealers of Chinese manufacturers. Hoping to get rid of hundreds of thousands of cars gathering dust in Russian warehouses, they have recently begun actively offering loans to their customers in Russia at a subsidized rate of 6-7 percent per annum. This is about three times lower than the key one, said Nikolai Filippov, head of risk management methodology and data Analytics at the United Credit Bureau (OKB).

Such a strategy, the Design Bureau added, bore fruit back in July. In the second month of summer, car loans in Russia increased by 13 percent in quantitative terms and by 19 percent in monetary terms compared to the same period in June. Market rates on car loans are still prohibitive for a significant part of the population. VTB emphasized that there is still a long way to go before a full-fledged credit renaissance in the country, even despite the reduction in the key rate to 18 percent per annum.