The CBR has published May statistics for interest rates on corporate loans and retail deposits up to one year. The key takeaways are as follows:
Corporate lending rates rebounded to 10.0% from 9.6% in April back to the August 2010 level, i.e. a 21-month high. The three-month moving average rate rose 20bp.
Retail term deposit rates increased moderately, rising 20bp MoM to 7.9% and up 20bp for a three-month moving average, recovering to the June 2010 level. Nevertheless, the spread has widened 20bp to 3.2%.
Still, with rates climbing, we expect assets repricing to accelerate further in 2H12, which will support margins.