The Russian government recommended the Bank of Russia to explore the possibility until March 29 to enlarge refinancing options for banks and to introduce a differentiated approach towards the formation of reserves against possible loan losses, the Cabinet’s press service reported.
In addition, the Finance Ministry and the Ministry for Economic Development together with the Bank of Russia were ordered to find a way to boost lending of the real sector of the national economy.
In particular, the Finance Ministry, the Bank of Russia and representatives of the banking sector were ordered to continue efforts to improve legislation related to the introduction of Basel II provisions by using not only standardized and basic approaches, but also phasing in advanced ones. They should report about how this goes until July 1, 2013.
The government submitted relevant orders after a meeting devoted to the ways of boosting bank lending, which was held by Prime Minister Dmitry Medvedev on March 4, 2013.
