Bankrupt Russians unable to pay their debts

Credit: Iliya Pitaev | RIAN

The cumulative debt burden in Russia has reached 10.6%, the highest since 2012, according to the Bank of Russia.

The cumulative debt burden is the balance between a person’s monthly loan payments and income. As it turned out, is it rapidly growing in Russia this year due to a large number of unsecured consumer loans. The situation is aggravated by a growing number of overdue debts, which often occur at the very early stage, RBC news agency reports.

Overall, almost 40 mio people in Russia are in debt to lending institutions, which is 54% of the economically active population. Mortgage loans take a large part in the overall debt burden: 10.6% of working people have them. According to the Bank of Russia, more than a half of the current debtors did not have loans back in 2015.

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