SERGEY TSUKHLO: “RUSSIAN BUSINESSES MINIMIZE THE AMOUNT OF CREDIT IN THEIR ASSETS”

Sergey Tsukhlo, Head of Business Surveys Department at the Gaidar Institute, told the EADaily correspondent that availability of loans to Russian industry after the September dip increased in October.

According to the Gaidar Institute, a lack of loans now closes the ranking of 17 constraints to industrial growth reported by a wide range of businesses. It is mentioned by 1% of the industrial representatives surveyed. However, the share of borrowed funds in the asset structure of Russian large and medium-sized enterprises dropped to 46.9% at the end of H1of 2022, according to FinExpertiza, an audit and consulting network. As analysts note, businesses have reduced their credit exposure amid rising interest rates.

It has been noted that enterprises in the Khanty-Mansi Autonomous Okrug are the least dependent on borrowed funds with the share of own funds in assets amounting to 80.1%, 75.8% in the Sakhalin region, 75% in the Astrakhan region, 71.4% in the Vologda region, 70.8% in the Irkutsk region, 70.2% in the Komi Republic, 69.7% in the Omsk region, 69.1% in the Crimea, 67.5% in the Chukotka Autonomous Okrug and 65.5% in the Orenburg region.

Businesses in 5 regions are critically dependent on external funding as they experience deficit of their own funds. These are businesses in Ingushetia (the deficit of own funds is estimated at 85.8% of assets), Chuvashia (-72.8%), Dagestan (-33.2%), North Ossetia (-19.4%) and Kabardino-Balkaria (-10%). At the same time, businesses in Chechnya (6.8%), Arkhangelsk Region (23.1%), Ryazan Region (29.2%), Tver Region (29.7%), and Adygea (30.1%) had the lowest share of own funds.