russians May Lose a Lot of Money on Bonds

russia’s corporate bond market is rapidly heading toward a massive wave of defaults amid a deteriorating economic situation caused by the war against Ukraine and the protracted crisis in the rf’s economy. Due to falling returns on bank deposits, russians have begun investing heavily in bonds in hopes of earning higher returns, but an increasing number of experts are warning of the risk of losing these savings.

According to analysts’ estimates, about 25% of the russian bond market is already at risk of default. This means that a significant portion of investors may receive neither interest nor a return on their invested funds in case of the issuing companies’ bankruptcy.

The trend toward rising defaults in the rf is intensifying: in the first quarter of 2026 alone, 11 bankruptcies were recorded among companies that had issued bonds. By comparison, there were just as many defaults in all of 2024, while in 2025, the number had already reached 24.

Experts attribute the sharp deterioration of the situation to the consequences of the war and russia’s economic exhaustion. The rf central bank’s high key rate makes business loans prohibitively expensive, while tax pressure, rising VAT, and falling consumer demand only deepen the crisis. In 2026, russian companies will also have to repay up to 6.6 trillion rubles in debt, placing a critical strain on their finances.