Why Mortgages Are Rising Despite a Stable Central Bank Rate

Despite the Central Bank's key rate remaining unchanged, mortgage costs continue to rise. Economists explain this phenomenon through structural changes in the market.

Why Mortgages Rise Despite a Stable Key Rate

The Bank of Russia's key rate is a benchmark, but not the sole factor in determining mortgage rates. Banks incorporate additional risks and costs into loan pricing.

• Rising funding costs for banks
• Increased reserves for credit risks
• Impact of household inflation expectations

Experts note that even with unchanged monetary policy, commercial banks tighten housing loan terms.