If we compare interest rates on loans in Russia and Europe, it turns out that taking out a loan abroad is much more profitable than here.
Rates by mortgage loans in Europe is almost 2 times lower than what Russian banks offer, and European consumer loans are 3-4 times cheaper than Russian ones. Why does this happen?
Inflation rate
Many analysts banking market primarily inclined to associate high percent on loans in Russia with rapidly rising inflation rates. How can inflation affect credit? The inflation rate in Europe averages 3-4% per year, while in Russia official figures inflation 9-10% per year. Real inflation in our country is much higher, so banks are in no hurry to reduce loan rates, guided by common sense.
Where does such high inflation come from? There is demand-side inflation and supply-side inflation. Supply inflation, natural for any economy, is associated with an increase in the welfare of the population and general economic development countries. GDP (domestic gross product) is one of the most striking indicators of economic growth. But in addition to demand inflation, there is also supply inflation. It is its indicators in our country that spoil the whole picture, since supply inflation is closely related to the depreciation of fixed assets of enterprises.
Today in our country as a whole there is a very high degree of deterioration of fixed industrial assets - metallurgy, light industry, oil and gas industry and the agricultural sector. Outdated equipment requires costly maintenance, which leads to higher prices for the products of this sector, which in turn leads to higher prices for all other goods, products and services in the country.
What is the relationship between inflation and loan rates? It's very simple: no bank can issue loans at an interest rate that is lower than the inflation rate in the country, otherwise the bank will begin to operate at a loss. Therefore, in order not to go bankrupt and make a profit, credit organizations try to set the interest rate slightly higher than the official inflation rate.
Loans from Russian banks
Another explanation for the fact that loans in Europe are much cheaper than in Russia is loans from Russian banks credit funds abroad. This is a fairly common practice that almost everyone resorts to. commercial banks. European banks They give loans to Russian colleagues at a slightly lower interest rate than to their own citizens. Russian banks then bear some costs to transfer this money to Russia. Having received credit money at their disposal, Russian banks make their own markup on the interest rate on the loan and then issue it to Russian citizens. Thus, in order for a European loan to fall into the hands of Russian borrowers, it has to go through a large number of intermediaries and increase significantly in price.
Another feature of European loans is that they are issued with a floating interest rate, which depends on a certain international market indicator. A floating rate allows banks to reduce possible credit risks related to changes in the global financial market. In Russia, loans with a fixed interest rate are more common, which, in addition to future inflation, includes losses from unforeseen global economic changes influencing the global lending market.
Nov 15, 2015 Gennady
St. Petersburg, May 31 - AiF-Petersburg. The Minister of Economic Development of the Russian Federation, Andrei Belousov, believes that it’s all about the trading culture of Russians. Compatriots are simply accustomed to high prices, which allows merchants to mark up goods by up to 100%. AiF-Petersburg experts do not agree with the minister.
We work for food
According to Petrostat, the average salary in the city is 33.1 thousand rubles. Less income tax 28.8 remains on hand. About 15% of a St. Petersburg resident’s income goes to obligatory payments(including housing and communal services), and almost a third - for food. By European standards, a third of food costs are spent by poor people, and half by those close to poverty. Residents of Europe and the USA themselves spend only 10-15% of their salary on “filling the refrigerator”.
The problem is both high prices and low prices. purchasing power Russians. At the same time, the quality of the same food in supermarkets in St. Petersburg is very low. As a result, thousands of St. Petersburg residents go to Finland and Estonia for groceries, where purchases are cheaper even taking into account travel costs, and the goods are of higher quality.
It has gotten to the point that Suomi’s trade turnover in the area bordering St. Petersburg increases by a third every year,” he comments on the situation Alexey Tretyakov, Chairman of the Association of Small Businesses in the Consumer Market. - And in 2013, the Finns expect to receive a billion euros at the expense of the Russians.
While the older generation buys food in the Baltic countries, young people go there for entertainment. Because world stars sing and dance more dearly to us than to Europeans. For comparison: as part of the world tour of the legendary British group Depeche mode, the entrance ticket to a concert in St. Petersburg costs 80 euros, London - 56, in Lithuania - 50, Italy - 40. Experts explain this by the fact that stars can be lured to Russia by extremely large profits.
Sports can also be classified as inaccessible leisure activities. So, a one-time visit to the pool will cost a St. Petersburg resident 400-800 rubles, while a resident of Brussels or Amsterdam will pay only 120 rubles for it, and in Los Angeles - 56.
Real wages are falling
So why do we pay more than others for everything - from bread to circuses?
The very structure of Russia’s resource-based economy contributes to high prices for goods and services, says Yuri Veselov, Doctor of Sociological Sciences, Professor of the Department of Economic Sociology at St. Petersburg State University. - Now the main task of the state is to export as much as possible more oil, gas, timber and live off this export rent. He doesn’t care how business exists in other industries; areas of the economy are divided between monopolists. Let's take for example retail trade food products, where almost 80% is farmed out to retail chains owned by five large companies. They set prices at their own discretion, and Russians have no alternative. The same situation applies to water, gas, electricity, fuel...
Another fundamental role in pricing is played by so-called transaction costs - costs that arise in connection with negotiations and conclusion of contracts. In Russia, they are unacceptably high and are passed on to the consumer by business. That is why studio apartment in a new building in St. Petersburg is more expensive than a house in Spain. The builders went through many approvals, paid for connecting to networks, renting land... In the end, it turned out that just preparing for construction cost a million dollars. All this, of course, will be included in the price. square meter. And high corruption is only a way to partially avoid bureaucracy and speed up the process of doing business.
While the state is changing this economic system is not going to, betting on higher wages. However, the rise in prices for the necessary group of goods and housing and communal services completely eats up all the “increases”, and real wages not only does not increase, but also decreases. Not long ago, after paying at the checkout in a supermarket and looking at the receipt, one of the customers said: “It’s not profitable to live.” And I agree with him.
Hamburger index
Since 1986, to determine the purchasing power of the population in different countries experts around the world use the so-called “Big Mac index”. The data is quite objective, because McDonald's is represented in most countries, and its cost depends on the price of raw materials, work force, rent and other factors in a particular state. For example, in the USA a Big Mac costs about $4.37, the average American receives $4,300, minus 25% taxes - $3,225. Thus, on your own wages An American can buy 738 hamburgers. In St. Petersburg, you will have to pay 87 rubles for a Big Mac, and for a salary of 28.8 thousand rubles. A St. Petersburg resident can only buy 331 hamburgers. And the average resident of Russia is 270. Thus, the purchasing power of our compatriot is almost 3 times lower than that of an American. Even with the lower cost of Russian goods.
Expert opinion
Nikolay Sokolov, sociologist, head of the Center for Sociological Research at St. Petersburg State University:
- In Europe and America, public opinion plays a big role in regulating markets. If it becomes known that someone is excessively inflating prices, not to mention selling damaged goods, the company will be in serious trouble. In our country, even large market players are not very concerned about their reputation. But in other countries, the public has achieved respect for itself for a reason. This requires long and painstaking work. Many obvious opportunities are not taken advantage of, especially those that have appeared in the Internet era. Would it seem easier to write a review? But this culture has not yet developed in our country - write brawlers, fake well-wishers and ill-wishers. And the client always has the right to vote “for” and “against” with his ruble, and if you act in a coordinated manner, you can achieve a reduction in prices for a certain product. Imagine that a trustworthy resource (or community) reports that the prices for such and such an item are significantly inflated and urges you to stop purchasing until the price decreases. To participate in the boycott, you don’t need to go anywhere - you just need to refrain from buying for a while! The market is structured in such a way that a drop in sales even by a couple of tens of percent will force the seller to react. What surprises me most in this regard is the inaction of our elite, who, for example, buy real estate not only at insanely inflated prices, but also of frankly low, in no way “elite” quality! I just want to say: “Gentlemen! Well, you can definitely come to an agreement!” And imagine that in the new VIP complex not a single apartment has been sold for several months. What will happen? That's right - the seller will have to moderate his ambitions...
Where is it cheaper to live?
Residents of every country complain about low wages and crazy prices. We decided to objectively compare the income and expenses of an ordinary family from St. Petersburg, Europe and the USA.
Russia
The Pezantsev family from St. Petersburg consists of three people: mother (32 years old), father (33 years old), daughter (10 years old). They keep two cats. The parents have higher education, he is an engineer, she is an art critic.
“My husband works four jobs at once,” says Anna. - He earns about 16 thousand rubles at his main job, the rest are part-time jobs. And I'm a freelancer. On average, between us we earn about 80 thousand rubles. There is not enough money for everything. If you need a large purchase, you have to save. We are not saving for an apartment and are not thinking about a mortgage.
Monthly income: 80 thousand rubles
Monthly expenses:
Rent two-room apartment– 28,000 rubles
Activities for daughter, sports, school – 15,000 rubles
Keeping cats - 4000 rubles
Public transport - 3000 rubles
Food, household items - about 24,000 rubles
Total – 74,000 rubles
As a result, about 5-6 thousand rubles remain for entertainment and “other purchases”. They live from paycheck to paycheck.
Italy
Marcello Palazzi (27 years old) is a mid-level specialist in a roofing company, his wife Federica Canella (24 years old) is a nurse in a gerontology clinic. My daughter is two years old. They live near Milan in an apartment with three living rooms and two bathrooms, which they bought on credit. They have two cars.
“After deducting all taxes from the salary, we receive 1900 and 1400 euros, respectively,” says Marcello. - Due to the crisis, we almost don’t go to restaurants and don’t go abroad on vacation. Once a year we spend a month with our family on the Italian coast.
Monthly income
3300 € (about 132 thousand rubles)
Monthly expenses:
Mortgage – 700 €
Utilities, electricity, gas – 200 €
Cars: petrol + insurance – 500 €
Local doctor – 100 €
Kindergarten – 200 €
Food, household items - 700 €
About 900 € remains, i.e. about 36 thousand rubles
USA
David (34) and Kelly Monsen (35) live in Los Angeles. Kelly worked as a head nurse and received $3.5 thousand, but now she is in maternity leave- recently gave birth to a son. David is an engineer with a salary of 6 thousand dollars (186 thousand rubles). They live in their own house with a swimming pool (bought on credit at 2% per annum), have two cars and two motorcycles.
- After the crisis, life became especially expensive. A lot of money goes into taxes and insurance. Medical only - about $700 for two. Although if you take advantage of discounts and sales, costs can be reduced.
Monthly income
On average $8,000 (RUB 248 thousand)
Monthly expenses:
Mortgage payment - $2,000 (about RUB 62,000)
Water, garbage, electricity, heating, pool cleaning and garden care - $200
Expenses for a dog - $50
Cars: gasoline + insurance - $320
Medical insurance - $700
Food, household items - $1000
Total - $4270, that is, about 132 thousand rubles
That leaves $3,000 or more. They put $1,500 into the child’s account every month.
Thus, Europeans and Americans, after basic expenses, still have about 30% of their salary, which they can save for vacation, pension, or spend on something unplanned. The average Russian family, unfortunately, cannot afford this.
For us it’s a luxury, for them it’s the norm
German Obukhov, public figure, former Soviet dissident, lived in the USA for 10 years, worked as an engineer at Yale University:
Since the late 90s I have lived in St. Petersburg and constantly travel to the USA. During this time, prices in the States have not actually changed. While in the Northern capital price tags are rewritten weekly. And no matter what item you buy, it costs much more here with a lower level of quality. The only thing that is really cheaper in Russia is bread. Apparently because this is the basis of nutrition for the majority of the population. And housing and a car, the acquisition of which is the norm for the average American or European, is a luxury for a Russian. Duties on used foreign cars and the costs of their registration in Russia exceed the cost of the cars themselves in Europe.
When I worked as an engineer in the USA, I could afford to rent a house, have a car, travel and save 1.5 thousand dollars a month. Many specialists of this level here cannot always buy themselves a piece of meat for dinner.
Why do we have such a situation? In my opinion, the reason for this is theft and corruption at all levels. Take the pricing system, when the cost of goods and services is set without any justification, at the discretion of the merchant or monopolist. Or taxation, when the poor pay the same as the rich. The situation can be dealt with by a government that makes laws for the benefit of the people, and not a select few. For whom the prosperity of the country is important, and not the bills and house in Miami.
In all kinds of ratings and indices - prosperity, quality of life or well-being - it occupies a place in the second part of the list. The countries of the Old World are mostly compactly placed in the top 30 of the list. Of course, ratings can and should be treated with some degree of conditionality. But, overall, they demonstrate that Russia does not live like Europe.
Starting positions
Russia - rich country: first in the world in terms of territory, second in oil production and only sixth in gross domestic product, calculated at purchasing power parity. The European Union, if we consider this association to be representative of an entire part of the world, on the contrary, is only the seventh in area, but the first in terms of GDP. And if we evaluate gross domestic product per capita, the gap will be even greater.
Praising the EU, however, can only be done with some caution. A union of 28 countries is, by definition, not a homogeneous association, and living conditions in each of its member states are far from the same. For example, in 2017, the highest average salary before taxes was in Luxembourg - over 4,700 euros. The “poorest” by this indicator is Bulgaria, where on average workers were paid 413 euros.
However, in the countries that are primarily thought of when comparing Russia and Europe, to average salary there are no complaints. In Austria it was equal to 2700 euros, in Belgium - 3400 euros, Germany - 3700, France - almost three thousand. And although after taxes these payments are reduced by a good third, they are still many times greater than in Russia, where average income after conversion to the single European currency it turns out to be approximately 550 euros.
Where does the money come from?
There are very specific reasons for the wealth of the “core” of the European Union. The most affluent countries Central Europe from the very beginning they developed in abundance. Thanks to the historical chance in the absence of catastrophes and revolutionary upheavals for a long time, they managed to achieve a technological reserve and create a powerful economy, to satisfy the needs of which many nations subsequently worked.
In modern times, entire continents were colonized for this purpose, and in modern times, under the pretext of European integration, countries were colonized.
Although this is not stated openly, one of the reasons for the fifth enlargement of the European Union, which began in 2004 with the accession of 10 states and ended in 2013 with the inclusion of Croatia, is considered to be the need for trade expansion into new markets by the main European economies.
Faced with difficulties in their development, they found nothing better than to impose their terms of “free” trade on other European countries. As a result, the newcomers had to face the collapse of entire sectors of the economy within a few years. But the EU as a whole began to boast that its trade with the rest of the world accounts for a fifth of world exports and imports, and 62% of trade between the countries of the union is carried out among themselves.
At the same time, supporting the entire machine called the “European Union” is not cheap for the founders. The association's budget is formed from contributions from participating countries, from which payments are made to states. The biggest difference between provided and allocated funds is in Germany, France, Great Britain and Italy, which, in essence, pay for the opportunity to impose their goods on other countries.
Burdened by size
Russia has chosen a completely different path of development. In its history there was no expansion and colonialism in the classical sense, and new territories were often annexed voluntarily. The huge area of the country that eventually came together is both its advantage and a heavy burden.
The vastness of the state is something that requires constant care. Any neglect of such care, as happened in the 90s, instantly sets the country back in development.
There are many factors in Russia that do not allow it to live like in Europe. These include temperature changes and the number of time zones, of which there are 11 in the country. It is also important that there are almost three times fewer Russians than Europeans - approximately 145 million versus 510 million.
Historical factors are no less significant. The upheavals of the 20th century could not but affect the progressive development of the country, which has every reason to claim a place among world leaders.
However, the very posing of the question “why don’t we live like in Europe” does not necessarily mean that things are worse in Russia. Such a comparison would be too ephemeral, because each side has its own strengths and weak sides. Here are just a few examples.
There is an opinion that the USA, Japan, Germany and others the developed countries were able to achieve high level life only after they have achieved through introduction differentiated tax more equitable distribution of income.
Currently taxes in Europe range from 5% to 45% depending on earnings.
In Russia, they are only talking about the transition from a flat income tax scale to a progressive one. Now in the country the personal income tax level is set at 13%, and the stratification between rich and poor is increasing. Proponents of this rate argue that it stimulates economic growth.
Utilities
The state of affairs in Russia largely determines its wealth natural resources. Back in 2015, the cost of electricity in the country did not exceed three rubles per kWh. In Europe, this figure was significantly higher, since power mainly has to be imported. In a number of countries it exceeded 20 rubles per kWh, as in Denmark (21.4) and Germany (20.5).
In the end, as it turned out, on average earnings a Russian can acquire at least no less energy than a Spaniard, Italian or German.
By the way, Russia’s wealth in resources is reflected in the difference in fuel costs. For Russians, gasoline costs from two to three times cheaper than for Europeans.
Medicine
The average life expectancy in Russia in 2017 reached 73 years - this is an absolute record in the history of the country. In the next six years, the authorities set the goal of entering the club of countries where this indicator is “80+”. France and Germany have long been among them - primarily due to developed medical technologies.
At the same time, in Russia the situation with infant mortality differs positively from the countries of the Old World. In 2017, our rate reached a historical low - 5.2 deaths per thousand people, which is lower than the level in a number of European countries.
Russia can boast of one of the best performance by the number of doctors per 1000 people among developed countries.
Social sphere
In 2018 living wage in Russia barely exceeded 11 thousand rubles. And from May 1, they will also be brought up to this level minimum size wages. These figures, of course, are difficult to compare with European ones.
For example, in 2017 minimum wage in Luxembourg was 1999 euros, Germany - 1498 euros, France - 1480 euros. Things are worse in newly annexed Romania and Bulgaria: there the minimum wage is 275 and 235 euros, respectively, but this is also higher than Russian figures.
At the same time, according to official statistics, poverty in Russia is about 13%. In Germany, 19.7% of the population receives less than necessary, and in France - 18.2%. With all this, basic products: bread, milk, eggs, meat - are cheaper for Russians. The only difference is that food costs in Russia account for about a third of income, while in Europe they spend almost half as much on this purpose.
Most pensions European countries Depends on length of service and salary. If all conditions are met, in old age in Germany and France you can receive 1,200 euros - an amount that is not at all comparable to the Russian one. At the same time, Europeans for the most part cannot count on free medical care and training.
The situation with unemployment in Russia is a little better than its neighbors. Ours is one of the lowest in Europe - around 5.2%. Everyone has largest economies Old World: Great Britain, Germany, Spain, Italy and France - this figure is higher. And among the Spaniards it is even more than 20%.
The above examples clearly show that the difference in living conditions does not allow us to say unequivocally that in Europe or in Russia the situation is worse or better. It is more logical to state that Russians simply live differently.
At the same time, one cannot help but notice that our country is at the very beginning of its journey.
Surely many have heard that largest bank our country offers lower interest rates outside the Russian Federation. For example, in the Czech Republic, Sberbank offers a loan at 3 percent per annum, while in Russia the interest rate is 13 percent and higher. Not surprisingly, this news caused a huge wave of indignation among Russians. As a result, Sberbank managers had to explain why this was happening. Arguments on this matter were presented by First Deputy Chairman of the Board of Sberbank Lev Khasis.
How Sberbank explains the difference in rates
Sberbank has its pages in in social networks and channels on various Internet platforms. Any important news that concerns the largest bank in our country almost never goes unnoticed. The news that Sberbank offers enough profitable terms lending to citizens of European countries. A citizen of the Czech Republic or, for example, Croatia can receive a loan at an interest rate 4-5 times lower than a citizen of the Russian Federation.This is how Sberbank commented on this situation.
Firstly, it is not exactly Sberbank that operates in these countries. That is, Sberbank CZ operates in the Czech Republic, which differs from Sberbank of Russia. And these two structures operate in different countries with different economies. Secondly, our countries have different levels of inflation. If in the Czech Republic inflation over the past few years has been 1.5 percent, then in Russia it has averaged 7.2 percent over the past 5 years. And since it is tied to the inflation rate key rate, then in the Czech Republic it is much lower and amounts to 1.75 percent, and in Russia the key rate is 7.25 percent. Those. almost 4 times higher.Sberbank also gives an example that in reality there is not much difference. After all, a mortgage in the Czech Republic can be taken out at 3.3 percent, while in Russia the interest rate starts at 7.6 percent. That is, the difference is slightly more than 2 times. Another important argument of Sberbank is that income on deposits in Russia is higher. If in the Czech Republic you can earn only 1.8 percent per year on a deposit, then in Russia the deposit rate is 6.3 percent. And the last thing Sberbank draws attention to is that if the Russian economy is stable, like in the Czech Republic, then the rates will be exactly the same.
Has Sberbank said everything?
On the one hand, it is quite convincing. But all the same, Sberbank does not finish speaking. Everyone knows very well that Sberbank enjoys a dominant position in Russian market. And due to this, the bank receives quite a large profit. Most people keep their cash in Sberbank, and their salary cards quite popular. Thus, nothing prevents Sberbank from reducing loan rates and making them more affordable for our citizens.For example, if you reduce the interest rate by at least 1.5 times, it will be much easier. Yes, Sberbank's profit will be lower, but the profit will still be significant. Let's take official figures as an example. For 2018 net profit Sberbank amounted to 831 billion rubles. And interest income on loans is about 2 trillion rubles. The calculation shows that the average interest rate is 10.5 percent.If you reduce the interest rate to at least 7 percent, then interest income will decrease to 1.3 trillion rubles, i.e. approximately 700 billion rubles. But Sberbank will still be in profit, only the amount of profit will be 131 billion rubles. The question arises: why does Sberbank need such excess income?
But, apparently, due to the fact that more than 45 percent of Sberbank shares generally belong to non-residents of the Russian Federation, we can conclude that the main shareholders set themselves the goal of getting as much as possible more money. Moreover, it is difficult to imagine what amounts flow outside the Russian Federation. And citizens can only take out loans for those interest rates that are offered. In Russia, Sberbank is of great importance, especially in small cities and towns, but in Europe it is an ordinary bank that must fight for its place in the banking services market.