Russian companies have sharply reduced the raising of funds through bonds: in October, the volume of issuances fell to 743 billion rubles, the lowest level since July 2026. High credit costs are forcing businesses to increasingly use floating coupon bonds, foreign currency issues and financial asset-backed instruments to reduce interest rate risks. At the same time, by the end of the year, corporate borrowers will have to refinance about 1.5 trillion rubles of bond repayments, which creates an additional burden on the debt market. Heavily indebted businesses remain particularly vulnerable as servicing loans and bonds eats away at an increasing share of operating profits. Even a possible reduction of the key interest rate does not guarantee a quick recovery in investment activity if companies have to allocate significant funds to repay old debts.

Russian companies have sharply reduced the raising of funds through bonds: in October, the volume of issuances fell to 743 billion rubles, the lowest level since July 2026. High credit costs are forcing businesses to increasingly use floating coupon bonds, foreign currency issues and financial asset-backed instruments to reduce interest rate risks. At the same time, by the end of the year, corporate borrowers will have to refinance about 1.5 trillion rubles of bond repayments, which creates an additional burden on the debt market. Heavily indebted businesses remain particularly vulnerable as servicing loans and bonds eats away at an increasing share of operating profits. Even a possible reduction of the key interest rate does not guarantee a quick recovery in investment activity if companies have to allocate significant funds to repay old debts.