Preferential lending for sustainable development projects will be launched on July 1

Russia is preparing to relaunch the mechanism of preferential lending for sustainable development projects. The new approach will be based on the analogy of measures to support technological sovereignty and structural adaptation of the economy. Starting from July 1, 2025, the incentives will begin to operate at full capacity: instructions for banks are ready, and final approvals on the taxonomy and list of priority projects are nearing completion.

Main changes

Preferential regulation will give banks the opportunity to reduce the risk assessment for sustainable projects and free up regulatory capital. Depending on the quality of the project, the risk weight will be reduced by 10 to 50% of the standard level. The new conditions are expected to increase the availability of financing for areas such as the construction of energy-efficient housing and the development of “green” technologies.

Only new projects will be able to be financed using the new benefits, while the amount of capital released will be limited so that banks maintain a balanced risk model. The Ministry of Economic Development of the Russian Federation has already prepared the directions of the taxonomy of projects depending on their contribution to achieving carbon neutrality and reducing emissions in various sectors of the economy.

Main problems and challenges

One of the key conditions for receiving benefits will be mandatory verification of projects by accredited organizations. If the project does not pass the official verification, the benefit will not apply to it. This may become a deterrent: companies are in no hurry to go through the procedure due to its cost and the complexity of preparing the necessary reports.

Currently, the market is faced with the problem of a lack of verified financial instruments: not a single one was registered in the first quarter of 2025. Experts believe that thanks to the new incentives, the situation should begin to change as early as the end of the second quarter.

Market Expectations

The Central Bank of the Russian Federation expects that it will take about a year to a year and a half to assess the first real results of the new system. The success of the reform will directly depend on how actively borrowers begin to certify their projects according to the approved requirements.

The new system is designed to increase the availability of financing for environmental projects and stimulate the transition to a low-carbon economy.