Deposit yields in Ukraine continue to fall, but loan rates are also falling.

In June, the average interest rates on new hryvnia consumer deposits amounted to 10.8% per annum, 0.2 percentage points lower than a month ago, according to the National Bank. Interest rates on new deposits for the public in foreign currency remained at 1%.

Therefore, rates on hryvnia deposits slightly exceed the level of expected inflation, which will be about 8% by the end of the year. And the 8% growth in the dollar’s value practically eliminates the difference in rates between hryvnia and currency deposits. Commercial portfolios grew by 2.2% to ₴1.142T.

As for loans, in June the average interest rates on new hryvnia bank loans to households amounted to 34.1% per annum (-0.5 percentage points), and interest rates on loans for enterprises in hryvnia fell from 15.3% to 15.2% per annum. Consumer portfolios increased by 1.5% to ₴251B, for enterprises – by 1.6% to ₴791B.