Finance

Thursday, November 28

What financial support have international partners promised Ukraine in the coming years, and will this be enough to repel Russian aggression?

What financial support have international partners promised Ukraine in the coming years, and will this be enough to repel Russian aggression? The agreements already concluded by Ukraine with its allies give grounds for optimistic expectations regarding the external financing deficit in 2025 being covered, analysts noted. In 2025, the Ukrain...

Piraeus Bank opened its fifteenth branch in Zhytomyr as part of its strategy to expand its network across Ukraine.

Piraeus Bank opened its fifteenth branch in Zhytomyr as part of its strategy to expand its network across Ukraine. Despite the war’s challenges, Piraeus Bank remains a reliable partner for Ukrainian businesses with over 100 years of history and steadfast European values. This marks the fifteenth branch openi...

Wednesday, November 27

The hryvnia continues to weaken under the National Bank’s control.

The hryvnia continues to weaken under the National Bank’s control. Last week, the National Bank kept the intervention volume below this year’s average weekly figure. It allowed the hryvnia exchange rate to weaken slightly. The market’s total foreign excha...

The US has provided another $40M in lending guarantees for Ukrainian businesses.

The US has provided another $40M in lending guarantees for Ukrainian businesses. The US Development Finance Corporation (DFC) and USAID have signed an agreement with Lviv Bank to provide $40M in portfolio guarantees. The agreement enables Ukrainian entrepreneurs to receive loans o...

The ECA insures an investment project for a Ukrainian food manufacturer, providing ₴92M in coverage against war risks.

The ECA insures an investment project for a Ukrainian food manufacturer, providing ₴92M in coverage against war risks. The Export Credit Agency has insured the second project against war risks for an amount of ₴92M. The project is being implemented by a private enterprise, Vilis, which produces pasta and apple jam. Th...

Ukraine’s EU allies are allocating hundreds of millions for energy and military support.

Ukraine’s EU allies are allocating hundreds of millions for energy and military support. On December 4, the EBRD will approve a loan of up to €180M to Ukrzaliznytsia to finance the purchase and installation of equipment for small gas-fired generation with a total capacity of up to 270 MW....

Tuesday, November 26

The EU and the US will provide $112M to the Ukrainian to the private energy holding to restore infrastructure.

The EU and the US will provide $112M to the Ukrainian to the private energy holding to restore infrastructure. The EC is providing €62.8M to the DTEK energy company for equipment and materials needed to restore generation capacity after Russian attacks, and the US government is providing $46.1M to purchase con...

Last year, financial and industrial groups in Ukraine earned almost ₴6T.

Last year, financial and industrial groups in Ukraine earned almost ₴6T. 23,300 companies that are part of Ukrainian financial and industrial groups (FIG) and submitted financial statements for 2023 collectively earned ₴5.8T, according to a YouControl study. As of October,...

Monday, November 25

UN climate summit approves $300B in annual funding for developing countries.

UN climate summit approves $300B in annual funding for developing countries. Countries in attendance at the COP-29 UN climate summit have agreed on a new collective climate financing deal. Wealthy countries have pledged to provide poorer countries with $300B annually by 2035 t...

The Netherlands will provide grants of up to €4M to joint Ukrainian recovery ventures.

The Netherlands will provide grants of up to €4M to joint Ukrainian recovery ventures. The Netherlands Enterprise Agency (RVO) has launched a partnership program with Ukraine to restore the Ukrainian economy. In particular, a subsidy program will support Dutch companies and civil societ...

Friday, November 22

The Biden administration plans to cancel over $4.6B of Ukraine’s debt.

The Biden administration plans to cancel over $4.6B of Ukraine’s debt. US President Joe Biden submitted a statement to the US Congress stating his intention to forgive half of Ukraine’s debt for economic assistance that was received as a loan. State Department spok...

International financial institutions will create $210M in risk-sharing mechanisms for Ukrainian enterprises.

International financial institutions will create $210M in risk-sharing mechanisms for Ukrainian enterprises. The IFC, the DFC, and Raiffeisen Bank Ukraine will create two risk-sharing mechanisms for Ukrainian enterprises worth $210M. Assistance will be allocated to small, medium, and large companies in Ukrai...

The largest EU economies will issue joint defense bonds to stop the Russian Federation’s “imperial ambitions.”

The largest EU economies will issue joint defense bonds to stop the Russian Federation’s “imperial ambitions.” During a meeting of heads of foreign affairs from five EU countries, Germany, France, Italy, Spain, and Poland gave their support to a proposal to create joint European defense bonds to strengthen the...

How have relocated Ukrainian businesses affected their new regions financially?

How have relocated Ukrainian businesses affected their new regions financially? Since the beginning of the full-scale war in Ukraine, an enterprise relocation program has existed. For the regions where these companies have moved, this means additional jobs and tax revenue. Accord...

Thursday, November 21

The EU will spend the revenue from frozen Russian assets on armaments for Ukraine.

The EU will spend the revenue from frozen Russian assets on armaments for Ukraine. The head of EU diplomacy, Josep Borrell, proposed directing a significant part of the future second tranche of revenue from frozen Russian assets to the Ukrainian defense industry. According to Borrel...

The NBU lifts some currency restrictions to support foreign trade and international technical assistance programs.

The NBU lifts some currency restrictions to support foreign trade and international technical assistance programs. On November 20, the National Bank made changes to currency restrictions. “On the one hand, the NBU eased several restrictions to support international cooperation in foreign trade and internatio...

The ruble has collapsed, and refineries are standing still: How is the Russian economy surviving as the third year of the war approaches?

The ruble has collapsed, and refineries are standing still: How is the Russian economy surviving as the third year of the war approaches? Almost all the available Russian economic resources have already been used, and the country finds itself in a unprecedented situation. The unemployment rate has fallen to a historic low of 2.4%, and t...

Tuesday, November 19

State banks are displacing their competitors: How much did financial institutions earn in three quarters of the year?

State banks are displacing their competitors: How much did financial institutions earn in three quarters of the year? After paying taxes, 62 Ukrainian banks generated ₴117.63B ($2.8B) in profit for the first nine months of the year. Even though the banking sector’s tax rate increased significantly this year, to...

The hryvnia’s fate: Experts provide their forecasts.

The hryvnia’s fate: Experts provide their forecasts. Bankers, households, and financial analysts expect the dollar to the hryvnia exchange rate to rise over the next 12 months. Banks predict that the exchange rate will be ₴44.92 per $1, which is higher ...

Monday, November 18

Ukraine will receive financial support from the World Bank, the EU, and Finland.

Ukraine will receive financial support from the World Bank, the EU, and Finland. Ukraine will obtain soft loans totaling over $1B from the World Bank and €150M from the EU. “Within the framework of this agreement, the money will be directed to the restoration of the port inf...

Friday, November 15

Ukrainian OVDP increased by 12% in a month amid expectations that Trump will soon stop Russia’s war against Ukraine.

Ukrainian OVDP increased by 12% in a month amid expectations that Trump will soon stop Russia’s war against Ukraine. Over the past month, Ukrainian sovereign bonds denominated in dollars have risen in price by 12%. Investors expect that the re-election of Donald Trump will lead to a ceasefire, and Ukraine will be ab...

Lending to businesses and households in Ukraine has been growing for a year and a half; rates have been reduced for both loans and deposits.

Lending to businesses and households in Ukraine has been growing for a year and a half; rates have been reduced for both loans and deposits. According to the NBU, in the third quarter of 2024 loan portfolio volume increased by 22.4%. Hryvnia business loans grew by 6.9%, and individual loans increased by 9.7%. Loans in wholesale trade and t...

Thursday, November 14

Ukraine has already received $100B in external financing and has completed all tasks to receive a new tranche from the IMF.

Ukraine has already received $100B in external financing and has completed all tasks to receive a new tranche from the IMF. Before the sixth review of the EFF’s (Extended Fund Facility) extended financing program, Ukraine had fulfilled all structural beacons by the end of October and all quantitative performance crit...

What are the government’s plans for the ₴25B in reconstruction money in 2025?

What are the government’s plans for the ₴25B in reconstruction money in 2025? The Ministry of Finance, the Ministry of Economy, and the Ministry of Infrastructure selected 136 reconstruction-focused investment projects from 750 proposals submitted through the Dream system. Howe...

Ukraine will receive a loan of up to €50M from Finland and a $1.35B grant from the US for humanitarian and social programs.

Ukraine will receive a loan of up to €50M from Finland and a $1.35B grant from the US for humanitarian and social programs. The Government of Finland will provide Ukraine a loan of up to €50M for energy, education, and infrastructure projects. The grant represents at least 35% of the total cost, allowing preferential finan...

ARX and the DFC team up to offer war risk insurance coverage to businesses for up to ₴100M.

ARX and the DFC team up to offer war risk insurance coverage to businesses for up to ₴100M. The ARX company, a subsidiary of the international Fairfax Financial Holdings group, together with the DFC (US International Development Finance Corporation), will offer Ukrainian and international co...

Wednesday, November 13

In 2024, banks in Ukraine earned ₴118B thanks to lending and bonds.

In 2024, banks in Ukraine earned ₴118B thanks to lending and bonds. From January to September, solvent Ukrainian banks earned ₴118B ($2.8B) in net profit. The NBU explained that the primary income sources were the increase in lending volumes and investment in governme...

Tuesday, November 12

Ukraine expects the IMF to approve a $1.1B loan.

Ukraine expects the IMF to approve a $1.1B loan. “The ongoing IMF mission to Kyiv ends on November 18, with discussions expected to continue virtually after that”, said an IMF resident representative in Ukraine, Priscilla Toffano. The In...

The NBU has improved its forecast for Ukraine’s international aid for the coming years.

The NBU has improved its forecast for Ukraine’s international aid for the coming years. According to the NBU, Ukraine is expected to receive about $42B in international financing for 2024, $38B in 2025, and $25B in 2026. By the end of 2024, Ukraine will receive $4.8B under the SPUR progr...

The DFC helps Piraeus Bank to unlock $25M in new bank lending to Ukrainian SMEs.

The DFC helps Piraeus Bank to unlock $25M in new bank lending to Ukrainian SMEs. Small and medium-sized enterprises (SMEs) are the backbone of Ukraine’s economy, creating jobs and providing much-needed goods and services. Because of the war, commercial lending in Ukraine has becom...

Friday, November 8

Ukraine plans to reserve part of the $50B G7 loan for its financial needs after 2025.

Ukraine plans to reserve part of the $50B G7 loan for its financial needs after 2025. The G7 initiative for Ukraine that will provide $50B secured by revenues from frozen Russian assets eliminates the state budget deficit for 2025. However, the government plans to keep part of these fu...

Thursday, November 7

Ukrainian securities and stock prices growafter Trump’s victory.

Ukrainian securities and stock prices growafter Trump’s victory. Fund managers have been buying Ukraine’s dollar bonds in a bet that Donald Trump would win the US election, accelerating an end to the war with Russia. Ukrainian Eurobonds and GDP warrants increased w...

Wednesday, November 6

In October, the Ministry of Finance raised a record ₴107B from the issuance of government bonds.

In October, the Ministry of Finance raised a record ₴107B from the issuance of government bonds. Last month ₴106.9B was obtained from OVDP sales, equivalent to ₴83.4B and $569M. At the same time, military bonds accounted for almost ₴82.8B of the total volume of government bonds issued last month....

Tuesday, November 5

The IMF criticizes the 50% tax rate on banks’ profits and advises Ukraine to increase its internal financing sources.

The IMF criticizes the 50% tax rate on banks’ profits and advises Ukraine to increase its internal financing sources. The deputy head of the IMF mission in Ukraine, Trevor Lessard, noted that the introduction of a 50% tax on bank profits for the second year in a row contradicts the nature of taxing excess profits, un...

Monday, November 4

The West is changing its position toward confiscation of frozen Russian assets.

The West is changing its position toward confiscation of frozen Russian assets. “If earlier the West spoke very cautiously about the possibility of using these assets, now we hear the statements of the G7 that these assets will remain immobilized. This is a ‘break in ...

The World Bank will provide almost $600M in financing for Ukrainian businesses, and USAID provides $6M to four companies to increase exports.

The World Bank will provide almost $600M in financing for Ukrainian businesses, and USAID provides $6M to four companies to increase exports. The World Bank is starting a new $593M program to support small and medium-sized businesses in Ukraine. The financing consists of $283M from the ADVANCE Ukraine trust fund (from Japan), $300M from the...

Friday, November 1

The US wants additional guarantees regarding its share of the G7’s loan to Ukraine.

The US wants additional guarantees regarding its share of the G7’s loan to Ukraine. The US wants to receive an additional premium on its share of Ukraine’s €45B loan to compensate for the sanctions-related risks that this agreement carries, wrote Politico. The premium being neg...

Thursday, October 31

Bankers do not expect a change in the key policy rate by the end of the year, but there are risks.

Bankers do not expect a change in the key policy rate by the end of the year, but there are risks. Ukrainian bankers believe that the Board of the NBU will leave the discount rate at the current level of 13% per annum at a meeting on Thursday. “However, a return to tightening monetary policy ...

Wednesday, October 30

The yield on deposits will continue to decline, but commercial lending conditions have softened for the first time since 2021.

The yield on deposits will continue to decline, but commercial lending conditions have softened for the first time since 2021. Ukrainian banks expect a further reduction in deposit rates for both individuals and businesses. A survey on lending conditions showed that in the third quarter, the largest share of respondents since...

Tuesday, October 29

Ukraine will settle nonperforming loans, which will help to attract private investment.

Ukraine will settle nonperforming loans, which will help to attract private investment. The National Bank of Ukraine and the IFC signed an agreement to create an infrastructure for resolving nonperforming loans (NPL) in the Ukrainian banking system. The agreement envisages the creation o...

Nova Poshta records high demand for its bonds from institutional investors.

Nova Poshta records high demand for its bonds from institutional investors. Nova Poshta from the Nova Group, a leading logistics operator in Ukraine, notes a significant demand for its bonds from a wide range of institutional investors, the group’s financial director Pe...

Ukraine expects to receive another $15B from its partners by the end of 2024.

Ukraine expects to receive another $15B from its partners by the end of 2024. The Ministry of Finance of Ukraine expects to receive more than $15B in foreign aid in the last two months of 2024. During October 21-26, the ministry’s team led by Minister Serhii Marchenko hel...

Monday, October 28

Ukraine will receive the first funds from the G7 $50B loan in December; Ukraine’s goal is to confiscate all frozen Russian assets.

Ukraine will receive the first funds from the G7 $50B loan in December; Ukraine’s goal is to confiscate all frozen Russian assets. The leaders of the G7 countries have reached a consensus on providing about $50B in loans to Ukraine, secured by revenues from frozen Russian sovereign assets. In a communique published by world finan...

Ukrainians have bought the equivalent of 33% of Ukraine’s international aid for their savings.

Ukrainians have bought the equivalent of 33% of Ukraine’s international aid for their savings. The purchase of foreign currency by the Ukrainian population has increased by 250% compared to the previous year. In the last 12 months, the population bought foreign currency worth $10.6B, including ...

Friday, October 25

Ukrainian dollar bonds are rising in price; funds believe that Trump’s victory will contribute to a faster end to Russia’s war in Ukraine.

Ukrainian dollar bonds are rising in price; funds believe that Trump’s victory will contribute to a faster end to Russia’s war in Ukraine. Ukrainian bonds are reported to have risen almost 6% in October, becoming one of the best performing assets on the market, with their value approaching $.50-1. Warrants linked to Ukraine’s econo...

The IMF encourages Ukraine to make profound tax changes but not to raise rates.

The IMF encourages Ukraine to make profound tax changes but not to raise rates. IMF experts unveiled their proposals for reducing Ukraine’s national debt as part of their recommendations. The IMF’s Deputy Director of the Fiscal Affairs department, , noted that their r...

Since the beginning of the year, Ukrainians have increased hryvnia deposits by more than ₴54B.

Since the beginning of the year, Ukrainians have increased hryvnia deposits by more than ₴54B. As of October 1, the total amount held in individual deposits (including individual entrepreneurs) in Ukrainian banks amounted to ₴1.3257T. Over the month, it increased by ₴24.7B ($625M), according to...

Thursday, October 24

Scholz said the G7 is finalizing work on allocating a $50B loan to Ukraine; the US has confirmed this information.

Scholz said the G7 is finalizing work on allocating a $50B loan to Ukraine; the US has confirmed this information. German Chancellor Olaf Scholz said that completing the work to provide the $50B loan agreed upon by the G7 countries is a clear signal to Putin regarding his long-term support for Ukraine. In turn, US...

Wednesday, October 23

Ukraine will receive a $3B loan from Britain and €35B from the EU secured by frozen Russian assets.

Ukraine will receive a $3B loan from Britain and €35B from the EU secured by frozen Russian assets. Ukraine will receive a loan from the UK for £2.26B ($2.93B), secured by profits from the frozen assets of the Russian Federation. The funds will become additional funding (up to £3B in military aid pe...

Tuesday, October 22

Denmark will provide Ukrainian cities with loans of up to €100M for energy-efficient projects that have been unable to attract investors.

Denmark will provide Ukrainian cities with loans of up to €100M for energy-efficient projects that have been unable to attract investors. The Ukrainian government has approved a procedure for selecting projects enabling energy efficiency, energy saving, and alternative fuels, which will be financed within the Danida Business Finance pro...

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