In the first half of 2016, the economy contracted across a “broad front” and the fall affected the economic climate in all sectors. Despite of the contradictory indicators and prospects of the economic situation in the whole of the country, the situation in the banking sector inspires a cautious hopefulness.
According to the second quarter of 2016, the banking sector became more profitable, even without the data of Sberbank Russia. The net profit of the sector for the specified period increased by about 54 billion rubbles.
Despite this, the markets remain volatile and unpredictable, with some segments i.e. the food markets showing steady growth – other segments continue to fall.
There were no serious structural changes within the banking markets, although from the beginning of the year, the Central Bank revoked the trading licenses of more than 60 banks. No new players have entered the banking markets neither in the current, not in the previous year. Nevertheless, the trust of the banks amongst Russian citizens in the beginning of the second half of the year has recovered after the serious drop in confidence suffered previously.
Positive trends demonstrate the indicators of customer loyalty to the banks in which they are served. In turn, the banks have begun to recognise and reward this loyalty and have started to pay more attention to the service quality given, to the development of the products that meet the needs of consumers. Against the backdrop of the complex and not fully understood economic situation, Russians are more likely to correct the image of consumption and to a lower degree their own financial behaviour.
Furthermore, the new economic conditions have raised a number of questions in the minds of citizens with regards to their own personal financial security and it has forced many to reconsider the intelligence of their own financial structures and the wisdom of their relationships with the credit financial institutions.