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They said they “don’t think USA is dealing with 20%+ interest rates like Russia is,” emphasis mine.
(Russian mortgage rates are around 30% for general population and 3 to 6% for “IT workers, families with young children and buyers in Russia's far east” eligible for state-subsidised mortgages, which comprise “70% of all mortgage loans” [1].)
> 85square apartment costs around 100k$, it's not a problem
That’s 7x average salary [2]. The equivalent in America is $440k [3]. That’s $1,300/sq ft, comparable to New York City [4].
[1] https://www.reuters.com/markets/europe/imminent-russian-rate...
[2] https://www.timechamp.io/blogs/the-average-salary-in-russia-...
[3] https://www.ssa.gov/oact/cola/AWI.html
[4] https://www.silive.com/data/2024/12/nyc-has-most-expensive-h...
> In late 2024, the Kremlin became increasingly aware that its off-budget funding scheme is unleashing potentially disruptive systemic financial risks, such as prohibitively high interest rates, liquidity and reserve problems at banks, and a severely compromised monetary transmission mechanism.
Those liquidity and reserve problems always end the same way: the majority of regular people lose their deposits. My grandfather didn’t get his first bank account until 2020 and that was only to easily receive money from family in other countries, not to store his existing money.
And investing/keeping money in assets is not exactly widespread there in general population.
> its not a problem
Look, mom, I’m trolling!