Shifts in Russian Consumer Credit During January and February Highlighted by a Moneyman Study
Recent findings from a study conducted by a Russian online lending platform affiliated with the IDF Eurasia group reveal a noticeable change in how households approached borrowing in the early part of the year. The data show that families leaned more toward microfinance options to cover unplanned costs and home repairs than in the same period the prior year. The study’s results were reported by TASS and cited by the lending platform as part of a broader examination of consumer credit behavior in an environment of rising prices.
In concrete terms, the portion of loan applications aimed at addressing unexpected expenses or urgent needs rose from 34.2% to 37.7%, a gain of 3.5 percentage points. At the same time, applications for repairing an apartment or house increased from 10.2% to 13.5%, up 3.3 percentage points. By contrast, demand for white goods and electronic devices weakened, slipping from 13.4% to 10.5% of all loan requests. These shifts suggest households were reallocating their borrowing toward maintenance and resilience while steering away from discretionary purchases that could be postponed without immediate risk to daily life.
Analysts interpreting the data point to price pressures as a key driver shaping consumer priorities. As prices rose, households redirected spending away from new purchases toward preserving the value and functionality of what they already own. The study notes that essential repairs and upgrades became more urgent, even as consumers exercised caution with other outlays. This pattern is described as a practical response to inflation and higher selling prices. Repairs and upgrades carry a longer-term value perception and lower perceived risk of ending up with outdated or subpar replacements, which helps explain their heightened importance in the current credit landscape.
Looking back at 2023, the same research points to a broader shift in savings behavior among Russians. A sizable portion of the population reported prioritizing additional income or strengthening savings, a trend that appeared in more than a third of respondents, about 32.8%. Compared with the previous year, this reflects an increase of roughly 8.2 percentage points. Conversely, the share of people aiming to save less declined by about 14.8 basis points, dropping to around 28.5%. These figures illustrate a nuanced landscape where households balance the need to preserve wealth against everyday cost pressures and the imperative to maintain essential household infrastructure. The findings underscore a tension between short-term liquidity needs and longer-term financial resilience in a high-inflation context. (citation: TASS via Moneyman study)