The Federation Council advocates banning all microfinance organizations (MFOs).
The chairperson of the upper house of parliament, Valentina Matvienko, spoke on this topic.
Russia has reached the point where it is time to think about banning microfinance organizations, the politician believes. She made this proposal to the head of the Central Bank Elvira Nabiullina, TASS reports.
The Federation Council speaker noted that the press and television periodically talk about Russians who find themselves in a difficult situation because of microfinance organizations.
Sometimes it comes down to losing an apartment or paying huge sums.
Matvienko believes that such organizations do not help citizens, but only drive them into real bondage.
Nabiullina would not rush to ban MFIs. Illegal lenders often operate under the guise of such organizations.
If these types of companies are banned, they will simply go into the shadows, the head of the Central Bank believes.
The activities of microfinance organizations are regulated by law and allow the Central Bank and other competent authorities to monitor their work and take some response measures.
Author: Dmitry Bobrov
