OREANDA-NEWS. August 10, 2009. The Bank of Russia could extend the term of softened loan provisioning standards for banks, Deputy Head of the Bank Regulation and Supervision Department of CBR Vladimir Chistyukhin said, reported the press-centre of FINAM.

Since January 1, 2009, the procedure for credit risk assessment has been regulated by CBR Directive No.2156-U “On Specific Features of Credit Risk Assessment for Issued Loans, Loan and Equivalent Liabilities”.

The document will remain in effect until the end of 2009. The directive has enabled banks to classify loan debt servicing as “good” provided that that the arrears (in principal or interest) do not exceed 30 days (previously 5 days) for legal entities and 60 days (earlier 30 days) for individuals, as “average” in the event of arrears up to 60 days for legal entities and 90 days for consumer loans and as “bad” in the event of arrears up to 90 days for corporate loans and up to 120 days for consumer loans.

“We’ve been receiving inquiries from lending institutions asking whether we would like to extend the period of validity of Directive 2156-U. I cannot rule out that”, Chistyukhin said, while noting that the decision on the issue is to be adopted in autumn after the results of 3Q are announced.