22 Sep 2022 17:49

Russian Central Bank to give banks 10 years to create reserves for frozen assets

KAZAN. Sept 22 (Interfax) - The Russian Central Bank will give banks ten years to create reserves for frozen assets, Central Bank Department of Banking Regulation and Analysis head Alexander Danilov said.

"We have preliminarily given our assessment at various forums and indications that, in general, we understand that this is a long-term story. [...] Therefore, we're ready to show maximum flexibility here, give ten years to create reserves, and moreover, we're showing an even more flexible approach that comes down to the following: the net sum of these assets needs to be reduced in the course of ten years. Accordingly, banks have flexibility on how to do this: either through provisions for reserves or through other work with these assets. But that's if it's possible to separate them out somehow or something else," Danilov said at the International Banking Forum organized by the Association of Banks of Russia.