The office of the Agency Fitch Ratings
The tightening by the Bank of Russia reserve requirements held in 2016, enough to absorb about 600-800 billion rubles of excess liquidity in the banking sector, said in published on Tuesday a review of Fitch.
This year the Bank of Russia increased the norms of mandatory reserves of the Central Bank of the Russian Federation three times: one that took effect in March, second in July, third in August.
To fulfil reserve requirements banks need to raise additional funds from the Central Bank or in the money market, so the requirements change leads to a change in the needs of the banking sector in the operations of the Central Bank in providing or liquidity sterilization. These measures will contribute to a more equitable transition of banks to the surplus of liquidity, the regulator said.
Earlier the Central Bank gave a more conservative assessment of banks ‘ needs in liquidity after the increase in deductions in Fund of obligatory reserves (FOR). So, according to the latest survey of the Central Bank of the Russian Federation “Financial review”, the result of raising standards in March, the need to attract additional liquidity from the Central Bank increased by 100 billion rubles, while the standards established in June, led to a rise in banks ‘ demand for liquidity by 400-500 billion rubles in August-September, noted the Central Bank. Thus, the CBR expects total that the need of banks in liquidity has increased the maximum on 600 billion roubles.
Improving the ODDS is one of the tools applied by the Bank to combat the persistence of excess liquidity. Controller with Aug also conducts short-term Deposit auctions, he plans to end the year issue of bonds of Bank of Russia.
The raising of standards will not have a significant impact on the profit of the banks, argued at the end of June the Chairman of the Central Bank Mikhail Sukhov. A more significant deterrent effect, according to him, the increase in reserve requirements will have on credit growth. But in this case about the serious impact of the question, and to talk about changing predictions is not necessary.