The Russian banking sector's profits experienced a significant surge in August 2024, increasing by 42 per cent compared to the previous month, reaching 435 billion rubles, according to the central bank on Tuesday. The increase in profits was primarily driven by the currency revaluation of the long open currency position, which amounted to approximately 130 billion rubles ($1.4 billion) in August. This was significantly higher than the 16 billion rubles ($172 million) recorded in July. The decline in the ruble exchange rate against the euro and the dollar contributed to this favourable revaluation. While the main profit slightly decreased to 257 billion rubles ($2.7 billion) from 264 billion rubles ($2.8 billion), this was largely due to an increase in deductions to reserves, primarily for corporate loans. Attribution: Tass Subediting: M. S. Salama
