The highest average interest rate on ruble retail deposits at ten leading Russian banks came in at 8.04% in February 11-20, the Bank of Russia's press service reported Tuesday.
During the first ten days of the month the indicator equaled 8.06%, down 0.02%.
Last time the rate showed a 10-day increase in October 2016 (in October 11-20 the rate equaled 8.79% vs. 8.66% in October 1-10).
Russia's ten leading banks that hold most retail deposits are Sberbank, VTB 24, VTB Bank of Moscow, Raiffeisenbank, Gazprombank, B&N Bank, Alfa Bank, Otkritie FC Bank, Promsvyazbank and Rosselkhozbank.
The regulator recommends banks not to set deposit rates higher than the highest average rate offered by Top 10 banks by 3.5% (it was allowed to exceed the highest rate by 2% before end 2014).
Since July 1, 2015 contributions to the deposit insurance fund have been pegged to deposit rates. Since the third quarter of 2016 the rate of contributions for banks whose rates are in line with the base rate of return (the average of the highest rate at banks that draw two thirds of household funds) has equaled 0.12% of the quarterly calculation base (vs. the previous 0.1% of the calculation base).
If the base rate is exceeded by 2-3%, 20% was added to the contribution, and 150% if the mark was topped by 3%. Since the second quarter of 2016 the additional and increased rates have been raised to 50% and 200% of the base rate, respectively, and the increased additional rate has equaled 300% of the base rate since 4Q 2016.
In early October 2016, the Deposit Insurance Agency (DIA) decided to raise the increased additional rate of insurance contributions to the Deposit Insurance Fund since 1Q 2017 to 400% of the base rate, and since 2Q 2017 to the maximum permitted 500% of the base rate.
