The volume of loans provided to small and medium-sized enterprises in Dagestan for the first nine months of 2024 has increased by 20% and reached a total of over RUB 12 billion.

In Dagestan, there has been a remarkable increase in the liabilities of small and medium-sized enterprises (SMEs) to banks over the course of the year, amounting to nearly 60%, equating to an impressive figure of RUB 8 billion. As of October 1, the aggregate amount of these debts stands at a substantial RUB 21.2 billion.

This surge in SME lending can be attributed primarily to the impact of favorable programs and a strong demand for individual residential construction, which has been further amplified by the influx of tourists.

These loans account for approximately 80% of the loans granted by banks to regional businesses in the first nine months of this year. Consequently, the share of SMEs in the corporate portfolio exceeded 50% at the beginning of October, compared to around 38% a year ago, as stated by Svetlana Batsyna, the deputy head of the Bank of Russia's Dagestan branch.

The total value of loans granted by the Republic of Dagestan to businesses as of October 1st was approximately RUB 42 billion. The majority of these loans were allocated to companies operating in the manufacturing, construction and agricultural industries.