Russia Weekly Brief:

The Russia Weekly Business Brief is a collection of the most important events reported last week by select open-source media platforms and governments in Eurasia.

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Don’t miss yesterday’s Publication:

• Drone Wars – Ukrainian drones struck a tanker at the Caspian Pipeline Consortium (CPC) terminal near Novorossiysk, grain cargo ships in the Sea of Azov, Wildberries warehouses, and refineries last week, underscoring a shift in the intensity of the war.

• Economy – Reports are mounting about bank balance-sheet exposure as high rates and slow economic growth are resulting in higher loan default rates.

• Technology – Russian state-affiliated apps (MAX) disappeared from the Apple and Google Play app stores.

The Moscow Times reports that Russian banks are restructuring corporate and consumer loans that would otherwise be considered in default. High interest rates, expiration of subsidiaries, and a slowing economy are straining small and medium-sized businesses’ ability to service existing loans.

Separately, Sberbank issued the first loan under a new Bank of Russia/MSP Corporation subsidized-lending program (10 mln RUB to a Nizhny Novgorod plastics maker), signaling that the state is already deploying rate relief to shore up SME borrowers.

Key Takeaways

The government has launched a new subsidized-rate working-capital loan through Sberbank. A Nizhny Novgorod plastics producer was the first recipient.

Sources: Moscow Times · Nezavisimaya Gazeta

Kazakhstan’s energy ministry confirmed that overnight on 19–20 July, a UAV struck the tanker NELSA while it was loading at the Caspian Pipeline Consortium (CPC) marine terminal near Novorossiysk.