Penza, 26 October 2017. PenzaNews. The first deputy minister, head of the Department of the City Capital Construction Svetlana Kruglova thinks that reduction of mortgage rates is a result of developers' efforts but not an objective indicator of the market conditions.

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"When it comes to mortgage lending I do not share everyone's optimism. [...] At the moment we understand that it is rather a one-time offer involving developers rather than banks' good will to reduce the mortgage rates," she said at the meeting in the regional government on Thursday, October 26, commenting on the report of the first deputy minister of economy of the Penza region Rauf Chakaev about forecast of social and economic development for 2018 and the planned period 2019-2020.

Svetlana Kruglova specified that at that moment the average mortgage rate amounted to 9.7%.

"But this became possible only because developers compensate a part of the rate. In reality it equals to 11-12%," she added.