Sberbank Joins $100 Billion Club, Boosted by Booming Mortgages
Sberbank Joins $100 Billion Club, Boosted by Booming Mortages
(Bloomberg) -- Sberbank is benefiting from high interest rates and a mortgage boom that’s helped push the market capitalization of Russia’s largest lender back above $100 billion.
The state-owned bank’s shares have gained 27% in Moscow this year, outpacing Russia’s MOEX Index, which is at a record even after years of international sanctions and the harshest political crackdown in years. In dollar terms, Sberbank’s shares are trading at a level last seen in April 2018.
Sberbank in $100 Billion Club With More Fuel in Tank: BI Focus
The Bank of Russia has raised rates 250 basis points so far this year and says more hikes are possible. Sberbank is benefiting from that, along with a surge in demand for mortgages supported by government subsidies, according to Bloomberg Intelligence.
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