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The Solution To The Lending Problem

While US banks come increasingly under fire for scaling back traditional lending due to minor details like near 10% unemployment, at least one emerging market country has made sure that its citizens will have access to loans regardless of economic conditions. Russian state-owned bank Sberbank was ordered by Vladimir Putin to keep on lending despite a rise in bad loans and continued economic contraction. Vlady also made sure the bank didn't just close unprofitable branches to focus on money-making ventures.

A significant part of the [branch] network is not profitable but you cannot abandon it," he said. "This is your payment for the state support."

Make bad loans and love it- the very words the now state-controlled banks in the US have lived by for years.