Russian banks face problem corporate debt of 136 billion dollars, over three times overdue

Data from the Central Bank of Russia reveal that banks carry RUB11.5 trillion in problem corporate debt, which is more than three times the officially overdue sum of RUB3.5 trillion. Restructurings of risky loans grew to RUB4.8 trillion by June, up 60% from a year earlier, and now account for a significant portion of the sector's stress. This problem debt equals roughly 11.5% of the total corporate loan book of RUB100.2 trillion.

The regulator acknowledges that about half of the exposure is backed by reserves and solid collateral, classifying the remaining risk as moderate. Experts warn that extensive restructurings mask underlying credit deterioration, turning isolated defaults into a broader macroeconomic issue. Bank profitability has risen, with a projected 2026 net profit of up to RUB4.4 trillion, but the cost of risk has also increased, and further provisioning is expected later in the year.