In August, Russian banks extended vehicle credit worth 157 billion rubles, a figure that more than doubles the level seen in the same month last year and sits roughly 1.5 times above the record set in 2021. VTB’s press service reported that the lender issued car loans totaling 27 billion rubles during the month, a result that helped it secure the top position in the domestic auto loan market with a share of about 17.3 percent.
According to FRG, the Frank Research Group, August vehicle lending in Russia reached 157 billion rubles, marking a clear year-on-year improvement and a robust performance when compared with 2021. VTB’s 27 billion rubles in new auto loans reinforced its leadership, with the bank holding a 17.3 percent market share in the country’s auto lending market.
Analysts note that since the start of the year, automobile lending has totaled around 928 billion rubles in Russia, reflecting roughly a 30 percent increase over the full-year figure for the previous year. This pace signals a substantial acceleration in financing activity within the auto sector and hints at continued demand for new and used vehicles alike.
During this period, more than 90,000 borrowers obtained funds from VTB to purchase vehicles, and the total loan volume exceeded 116 billion rubles. The bank indicates that this performance is nearly three times higher than the same period in 2022 and about 85 percent above 2021 levels, underscoring how lenders have expanded access to auto credit and broadened the buyer base.
Interest among borrowers remains strongest in the used-car segment. The bank reports that roughly 70 percent of transactions last summer involved used vehicles, with Kia, Hyundai, and Toyota leading the choices among buyers. At the same time, the share of domestic and Chinese brands continued to grow, accounting for about 48.5 percent of total automobile sales, signaling a shift in consumer preferences toward locally produced and regionally available models.
VTB notes that the majority of auto loans are concentrated in the Moscow region, followed by Saint Petersburg and the Krasnodar Territory. Tatarstan and Bashkortostan also rank among the top five. The average loan size rose by 11 percent since the start of the year, reaching about 1.3 million rubles, indicating rising financing needs as vehicle prices and consumer demand evolve in parallel.
According to Svyatoslav Ostrovsky, a member of VTB’s board, the key drivers behind the elevated demand for vehicle loans include pent-up demand, a higher dealer share in the secondary market, stronger performance by Russian and Chinese brands, and a gradual expansion of loan products. These factors collectively contribute to a more active lending environment for autos, with lenders seeking to capture rising interest from a broad spectrum of buyers.
Ostrovsky adds that the notable growth in repayments accompanied the launch of the bank’s new cash vehicle loan program. Today this product accounts for more than 40 percent of the bank’s total auto lending portfolio, illustrating how new finance options are reshaping how customers acquire vehicles and how lenders structure repayments to fit varied buyer situations.
The VTB press service also stated that the bank expects a record level of lending in Russia, potentially reaching 1.5 trillion rubles by year-end. If realized, this would represent around twice the level of activity recorded last year and roughly a third of the 2021 peak, which marked the strongest period for auto borrowing. The projection points to sustained growth in auto credit as lenders adapt to changing consumer behavior and ongoing market dynamics.