Изображение: Нацбанк
Chairman of the Board of the National Bank of Belarus Raman Halouchanka expects the share of long-term deposits to continue growing. He made the statement at a board meeting reviewing the performance of the regulator and the banking sector over the first nine months of the year.
“Attractive returns on deposits, particularly long-term ones, have been ensured, encouraging saving activity and a savings-oriented approach, primarily among our citizens. Since the beginning of the year, the total volume of long-term non-revocable rouble deposits has grown by almost 50%. I would particularly note that deposits with terms of more than three years have increased sixfold, from 180 million to more than 1.2 billion roubles. They now account for almost 8% of total long-term funding. We believe that, if this pace is maintained, reaching a 10% share for deposits with terms exceeding three years by the end of the year is entirely realistic,” he said.
The National Bank chief also noted that inflation remains below the forecast level, allowing interest rates on corporate loans to fall to single digits.
“As for inflation, it is running below the target trajectory. In September, the annual rate stood at 4.6%. Let me remind you that the upper limit has been set at no more than 7%. Perhaps more importantly, core inflation is being kept within the target range, at 4.8%, against a target of no more than 5%.
“Why is this important? Not only in terms of stability, but also because it has allowed us to reduce the cost of borrowing. In September this year, average annual interest rates on loans to businesses had already fallen to single digits, reaching 9.7% to be precise. Interest rates on investment financing are at their most favourable levels, which in principle enables businesses to pursue investment activities actively,” he said.