In Russia, talks are underway about broadening the preferential mortgage program for employees of IT companies that have state accreditation, according to the Ministry of Digital Development, Communications and Mass Media of the Russian Federation. The ministry confirmed that discussions are focused on expanding access and extending the program’s scope, with potential adjustments to eligibility and loan terms that could benefit a larger segment of tech workers. Source: Ministry of Digital Development.
Officials noted that the current framework allows IT professionals to qualify for subsidized mortgages, a policy designed to support the growth of the technology sector and to help skilled workers acquire housing in an increasingly competitive market. The ministry emphasized that any expansion would aim to preserve financial sustainability while widening participation and ensuring that benefits reach those most in need within IT companies. Source: Ministry of Digital Development.
During the program’s first eighteen months, banks issued a substantial number of loans under this scheme. A total of 38.5 thousand loans were granted, with cumulative lending amounts reaching about 337 billion rubles. The average annual interest rate on these loans stood around 4.2 percent, reflecting the government’s effort to keep borrowing costs favorable for borrowers who work in IT. Source: Ministry of Digital Development.
By comparison, the general mortgage market in Russia shows different dynamics. The average rate on mortgage loans across the country was reported to be 8.35 percent per year as of December, highlighting a noticeable spread between subsidized IT mortgages and standard products. This disparity underscores the targeted nature of the IT program, which remains attractive due to both lower rates and specific eligibility criteria. Source: Ministry of Digital Development.
Geographically, the popularity of the IT mortgage program is not uniform. It has historically seen higher uptake in Moscow and the Moscow region, with strong activity in Saint Petersburg, Tatarstan, and the Sverdlovsk, Novosibirsk, Nizhny Novgorod regions, and the Krasnodar Territory. Regions vary in the degree of uptake, reflecting differences in IT sector density, housing markets, and local banking participation. In several regions, notably Belgorod, Kaluga, and Samara, the program has offered some of the lowest rates, occasionally dipping to or below 2 percent under certain conditions and program iterations. Source: Ministry of Digital Development.
Looking ahead, the ministry stated an ambition to support at least 50 thousand IT-mortgage loans by the end of 2024, signaling strong intent to sustain momentum as the sector expands. This projection aligns with broader government priorities to spur housing affordability for professionals in high-tech industries and to sustain regional development. Source: Ministry of Digital Development.
In parallel developments, the Central Bank of Russia issued remarks on the topic, noting the position that concessional mortgage programs should eventually converge toward market levels. The central bank’s stance points to a future where subsidized programs may be adjusted to reflect evolving macroeconomic conditions while still recognizing the strategic value of housing access for IT workers. Source: Central Bank of Russia.
The housing landscape in Russia continues to reveal notable trends. For instance, as of late November, data indicated that a sizable share of Russians live in apartments with an area not exceeding 30 square meters, highlighting ongoing concerns about housing space and affordability for urban residents. This statistic underscores the broader housing pressures that may influence demand within the IT sector and the appeal of subsidized mortgage options. Source: Central Bank and demographic statistics.
Meanwhile, authorities track mortgage debt levels, including any overdue obligations, to gauge financial stability and the effectiveness of support programs. The latest figures show shifts in overdue mortgage debt across the population, reflecting changing borrower profiles and payment behaviors as the housing market evolves. Source: Ministry of Digital Development.