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 government securities.
Since the beginning of the year, the hryvnia loan portfolio increased by 14.5% and the net portfolio by 23.6%. The investment volume in OVDP increased by 21.1%. A decrease in the value of deposits was observed, which allowed a high net interest margin to be maintained.
Out of 62 solvent banks, only eight small institutions were unprofitable, with a total loss of ₴342M ($8.3M). During the reporting period, banks paid ₴35B in income tax. It is planned to introduce a 50% income tax in 2024. This could lead to a decrease in capital profitability by up to 30%, which will affect the pace of its accumulation and lending possibilities for the economy. The banks’ return on equity in the first nine months of 2024 was 45.8%, down from 56.9% in the same period a year ago.