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Russian banks' main challenge in 2026 will be raising capital, VTB CEO says

BY Reuters | ECONOMIC | 12/01/25 05:00 AM EST

MOSCOW, Dec 1 (Reuters) - Finding sources of new capital will be the main challenge for Russian banks in 2026 due to the central bank tightening the banking sector oversight, the CEO of Russia's second largest lender VTB Andrei Kostin told Reuters.

"We have a number of changes planned by the central bank aimed at strengthening regulation and calculating capital for non-core assets. Further raising of capital will be a challenging task," Kostin said.

Kostin estimated that in order to meet the central bank's regulatory requirements VTB alone will need 1.7 trillion roubles ($22 billion) over the next five years. He said the Russian equity market in the absence of Western funds was too shallow for raising capital. ($1 = 77.6000 roubles) (Reporting by Elena Fabrichnaya and Gleb Bryanski; editing by Guy Faulconbridge)

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