Sberbank warns of rising loan defaults among Russian companies

Sberbank, Russia’s largest lender, has issued a warning regarding a growing trend of corporate loan defaults. According to CFO Taras Skvortsov, high interest rates and stagnant economic growth are eroding company margins, leading to a steady deterioration in the financial positions of corporate clients.

The issue is widespread across multiple sectors, including real estate development, retail, commercial property, and e-commerce. Data indicates that one in three Russian companies reported losses during the first seven months of the year, marking the lowest collective result since the pandemic. Specific industries facing crises include coal, steel, and forestry.

In the real estate sector, approximately 30 percent of developers are reportedly facing economic difficulties. One major case involves Samolet, a large residential developer, for which Sberbank and other lenders are developing a rescue plan. Additionally, the e-commerce sector has been impacted by drone attacks on warehouses, contributing to financial instability.