Bankers are predicting an increase in the yield of hryvnia deposits in Ukraine. In March, the rates on stock hryvnia deposits, depending on the term of placement of funds, may reach 17% per annum, predicts the top manager of Globus Bank, Dmytro Zamotaev. He specified that until t... #financeUkraine #GlobusBank #HryvniaDeposits #KeyPolicyRate #nbu #UkrainianBanks
How many Ukrainians use microcredit, and how often? The services of microfinance organizations are used by about 13% of the adult population of Ukraine. In comparison, the share of borrowers who took a loan to meet their daily needs while waiting for t... #financeUkraine #MicroCrediting #MicroFinanceUkraine
Banks’ profit in January increased by 14%, analysts explained why. In January 2024, Ukrainian banks produced ₴16.7B in net profit, ₴2.068B or 14% more than in January 2023. Net profit increased despite the increase in the tax rate: In January 2023, banks paid 18% tax... #financeUkraine #TaxesUkraine #UkraineBanksProfits #UkrainianBanks
The currency deficit in Ukraine has increased by 100%. The hryvnia fell to record-low levels but later stabilized. Last week, the National Bank increased the sale of dollars from reserves in connection with the growing currency deficit. The dollar rate in... #CurrencyMarket #CurrencySale #financeUkraine #hryvniaexchangerate #nbu
Ukrainian businesses increased the volume of soft loans by 34% over the year. The total volume of loans granted under the Affordable Loans 5-7-9% program increased by 2% in the fourth quarter of 2023 and by 34% for the entire year, according to the Banking Sector Review for Feb... #5-7-9loanprogram #AffordableLoans #CreditPortfolio #financeUkraine #LoansUkraine #nbu
Last year, banks in Ukraine earned 100% more than before the beginning of the war and almost completely paid off their refinancing debts. In 2023, Ukrainian banks produced almost ₴160B in pre-tax profit, 100% more than before the start of the full-scale invasion. Banks will have to pay a tax of half their total profit – more than ... #financeUkraine #nbu #TaxesUkraine #UkraineBanksProfits #UkrainianBanks
During the war, the exodus of foreign exchange from Ukraine increased by 100%. The NBU plans to gradually abolish currency restrictions, but at the same time, asks businesses to return foreign exchange revenues on time and in full and avoid fictitious import schemes, said NBU Ch... #AndriiPyshnyi #CurrencyMarket #CurrencyRestrictions #financeUkraine #nbu
Ukrainians have begun withdrawing money from banks, and the volume of deposits decreased for the first time in a year and a half. Consumer deposits in Ukrainian banks decreased by 2.1% to ₴2.35T in January of this year. A decline was recorded for the first time since August 2022. According to the NBU, household deposits decrease... #DanyloHetmantsev #financeUkraine #HryvniaDeposits #nbu #UkraineDeposits
Bank loans for Ukrainians are becoming more expensive, but the profitability of deposits is decreasing. According to the NBU, the national currency’s average interest rates on new consumer loans in January 2024 amounted to 34.6% per annum. The hryvnia’s nominated loan rates increased by 0.9 ... #BankDepositsinUkraine #BankLoans #CreditPortfolio #financeUkraine #HryvniaDeposits #nbu
Ukraine has increased its budget revenues, but the deficit reaches 34% of all revenues. From January 1 to February 8, budget revenues increased by 26.9% compared to last year, the NBU reported. Without international financial aid, they increased by 60% due to a 70% increase in tax revenu... #BudgetDeficit #financeUkraine #nbu #TaxesUkraine #UkraineBudget2024 #UkraineBudgetRevenue #UkraineEconomy
Over the past year, the share of NPL loans in the banking system decreased to 37.4%. As noted by the NBU, this is 0.8 percentage points below the January 1, 2023, indicator. The volume of NPL decreased by ₴9.7B for the year to ₴422.4B. The regulator explained that the key factor in re... #financeUkraine #LoanPortfolio #nbu #NPL #NPLukraine #UkraineBankingSystem
Credit rating agency Fitch Ratings has assessed Ukraine’s banking sector. Ukraine’s banking sector has demonstrated considerable resilience during the war, aided by supportive monetary policy and lenient regulation, Fitch Ratings notes. “We expect the main lendi... #CreditRatingUkraine #financeUkraine #FitchRatings #UkraineBankingSector #UkraineEconomy
The NBU is preparing for the second stage of currency policy liberalization. The head of the National Bank, Andriy Pyshnyi, said at a meeting with businesses: “The NBU is determined to continue currency liberalization despite all the challenges posed by the war. We will ... #AndriiPyshnyi #CurrencyLiberalization #financeUkraine #nbu #Ukrsibbank #YuriGeletiy
The NBU predicts a further decrease in the key policy rate. Most of the members of the Monetary Policy Committee of the National Bank predict a reduction of the discount rate to 14% by the end of the year. They believe that the NBU can return to lowering the d... #financeUkraine #KeyPolicyRate #nbu #UkraineEconomy #UkraineMonetaryPolicy
The NBU explains why the hryvnia strengthened at the beginning of the year. In January 2024, the situation on Ukraine’s foreign exchange market gradually improved, recovering amidst the fading effects of significant budget expenditures at the end of the year, explained NBU De... #AndriiPyshnyi #financeUkraine #Hryvnia #hryvniaexchangerate #nbu #UkraineEconomy #YuriGeletiy
The banking sector expects loan portfolios to grow during the year. According to the results of a quarterly NBU survey on lending conditions, improvement in the main indicators continues to be observed – most respondents expect an increase in lending to enterpri... #financeUkraine #LoanPortfolio #LoansUkraine #MortgagesUkraine #nbu
Eurobond prices are up amid lingering uncertainty about US aid. According to ICU, Ukrainian Eurobond prices rose last week in response to the anticipated approval of the EU aid package for Ukraine, while assistance from the US is still uncertain. Last Tuesday ende... #EFFprogram #financeUkraine #financialaidforUkraine #UkraineSecurities #Єврооблігації
Ukraine is preparing for the second stage of currency liberalization. The head of the National Bank, Andriy Pyshnyi, specified that he foresees an easing of trade financing and the possibility of paying interest on the obligations of Ukrainian issuers. At the same time,... #AndriiPyshnyi #CurrencyLiberalization #financeUkraine #ICC #nbu #VolodymyrShchelkunov
The NBU decides to keep its key policy rate at 15%. Thus, the National Bank has suspended the cycle of lowering the discount rate, which began in July last year, NBU Chairman Andriy Pyshnyi said. As he noted, the decision is consistent with the need to... #AndriiPyshnyi #financeUkraine #KeyPolicyRate #nbu
The Ministry of Finance raises ₴2.5B less from the sale of government bonds than a week earlier. At primary auctions on January 23, the agency placed OVDP in the amount of ₴6B, a week earlier, it was ₴8.51B. ₴289.33M was received from the sale of annual bonds at 16.8% per annum, ₴1.64B from bonds... #financeUkraine #OVDPselling #UkraineBond
Experts have recognized the “harm” of currency restrictions in Ukraine for economic recovery. Currency restrictions made sense at the beginning of the war in order to maintain economic stability, but now these restrictions only hold back the development of the economy and the attraction of pot... #CurrencyRestrictions #financeUkraine #InvestmentsinUkraine #UkraineEconomy
The Ministry of Finance received ₴552B from the sale of bonds; Ukrainians have doubled their investments in OVDP. Since the beginning of martial law, it has been possible to attract more than ₴1.2T to the state budget by issuing OVDP bonds. The government raised ₴552.6B ($14.5B) in 2023. The Ministry of Finance n... #Bondssale #financeUkraine #nbu #OVDPselling #UkraineBond
The National Bank predicts that loans will become cheaper. After the discount rate’s reduction to 15% in December, loans in Ukraine are likely to become cheaper, according to Deputy Chairman of the NBU Serhiy Nikolaychuk. As he explained, loan rates depend ma... #financeUkraine #LoansUkraine #nbu #SerhiiNikolaychuk #UkraineDeposits
In Ukraine, the yield on deposits has increased, but loans have become more expensive. In December 2023, the average bank interest rate on new consumer hryvnia deposits amounted to 11.7% per annum. A year ago, the figure was 8.2%, NBU data shows. Rates on new consumer deposits in forei... #BankDepositsinUkraine #financeUkraine #HryvniaDeposits #LoansUkraine #nbu
ICU analysts provide a forecast for OVDP rates for the next six months. In the coming months, there will be no noticeable reduction in the rates for OVDP because this trend has already played out in the second half of 2023 in response to the gradual decrease in the NBU di... #BondsUkraine #financeUkraine #KeyPolicyRate #nbu #OVDPselling
Security investments are gaining momentum in Ukraine: the number of investors has increased by 34%. According to the Settlement Center for Servicing Contracts in Financial Markets, registered investors in securities in Ukraine increased by 34%, or by 46,000, in 2023. The volume of operations with hr... #financeUkraine #investments #OVDPselling #ukrainebonds #UkraineSecurities
Due to the war, the share of non-performing business loans increased to 44%. According to the NBU, since the beginning of the full-scale invasion, the share of NPL in the banking sector had risen to 44% at the beginning of October 2023, and their volume reached ₴359B. “Two rea... #financeUkraine #LoansUkraine #nbu #NPL #NPLukraine
Analysts believe that the Ukrainian economy performed surprisingly well in 2023. As noted in the Atlantic Council, in the fall of 2022 Ukraine was forced to print money, and in December 2022, inflation rose to 27%. However, the budget deficit was offset with $40B of international ... #CurrencyMarket #financeUkraine #UkraineBudget2024 #UkraineEconomy #Ukraineinternationalreserves
What will the exchange rate be at the beginning of the year? At the start of 2024, the average exchange rate of the dollar may be in the range of ₴37.90-₴38.40, and the average exchange rate of the euro ₴42.10-₴42.60, analysts from the Center of Exchange Techno... #financeUkraine #hryvniaexchangerate #nbu #UkraineEconomy
Last year, the budget received more than ₴1.2 trillion in tax revenues. According to the State Tax Service, income (balance) to the consolidated budget in 2023 from taxes will amount to ₴1.213T. The Ministry of Finance of Ukraine’s budget indicators for the collected reve... #financeUkraine #TaxesinUkraine #UkraineBudget #UkraineBudgetRevenue
The NBU points to achievements in the financial market during the war. The National Bank has maintained exchange rate stability and switched to managed exchange rate flexibility, which will strengthen the economy and financial system’s adaptability and minimize the... #AndriiPyshnyi #CurrencyMarket #financeUkraine #nbu #UkraineBudget2024
Preferential loans for businesses will cost the state ₴5B this year. The state’s debt to banks for interest compensation under the 5-7-9% Affordable Loans program will reach ₴5B by the end of the year, the head of the parliament’s finance committee, Danylo ... #5-7-9loanprogram #AffordableLoansUkraine #DanyloHetmantsev #financeUkraine #LoansUkraine
Ukrainians think that the country’s economic condition has worsened. In December, assessments of the economic situation in Ukraine worsened, and optimism about the country’s economic situation in the medium-term perspective also decreased. It is noted that Ukrain... #EconomicConditionUkraine #financeUkraine #UkraineEconomicForecast #UkraineEconomy
The financial stress index in Ukraine is high but stable, so the NBU predicts a further decrease in the key rate. The financial stress index, which measures the level of current threats in the sector, is at a high but stable level, the NBU said, presenting a report on financial stability. The report notes that al... #financeUkraine #KeyPolicyRate #nbu #UkraineBusinessExpectation
Ukraine launches Plan B due to delayed funding from Western allies. Finance Minister Serhii Marchenko noted that the ministry is confident of receiving Western aid in 2024 but not in January and February. The EU will consider financial assistance for Ukraine on Februa... #financeUkraine #financialaidforUkraine #SerhiyMarchenko #SupportUkraine #UkraineBudget2024
Bankers forecast a 3% decrease in rates for deposits and loans in Ukraine in 2024. Under favorable economic, military, and political conditions in 2024, rates for bank loans and deposits may decrease by an average of 3%, according to the head of Globus Bank, Serhii Mamedov. He assum... #BankDepositsinUkraine #BankLoans #financeUkraine #GlobusBank #SerhiyMamedov #UkrainianBanks
Bankers name the obstacles to attracting foreign investment to Ukraine. The top manager of Ukrsibbank, Dmytro Tsapenko, said: “A new restraining factor that appeared after the war began is currency restrictions, for example, restrictions on the payment of dividends ... #CurrencyRestrictions #financeUkraine #InvestmentsinUkraine #Ukrsibbank
The IMF insists on increasing bank lending to hasten Ukraine’s recovery. In Ukraine, the level of bank lending is low, which is a significant obstacle to the recovery of the country, according to former member of the NBU Council, Bohdan Danylyshyn. Danylyshyn states that, ... #BankLoans #BohdanDanylyshyn #financeUkraine #imf #LendingInUkraine #nbu
Following a slowdown in inflation, the NBU lowered the key rate for the fourth time in a row. The National Bank of Ukraine decided to reduce the discount rate from 16% to 15% per annum starting December 15, 2023. The NBU continued its pattern of lowering the discount rate, which began in July,... #AndriiPyshnyi #financeUkraine #InflationinUkraine #KeyPolicyRate #nbu
Ukraine strives to solve its financing problems, but there are risks. Kyiv plans to cover its budget deficit primarily through more than $40B in external financing next year. At the same time, more than two-thirds of this amount has not yet been confirmed. Therefore, Uk... #CurrencyRestrictions #financeUkraine #nbu #UkraineBudget #UkraineBudgetDeficit
Ukrainians are increasing their government bond investments. In 2022, the population’s share of the OVDP portfolio increased by ₴5.1B, and in 2023, it increased by ₴20.9B to ₴51.2B. The simplification of purchasing OVDP bonds facilitated this trend. Until recen... #BondsUkraine #DiiaAppUkraine #financeUkraine #OVDPselling #SenseBank #Ukrgasbank
In Ukraine, non-transparent capital flows are twice as large as transparent ones. According to the Center for Economic Strategy, the share of domestic private constructive capital in Ukraine is about 22%, while corrosive capital is about 46%. Corrosive capital represents opaque cap... #ConstructiveCapital #CorrosiveCapital #financeUkraine #UkraineEconomy
Bankers share their forecast for deposit rates through the end of the year. By the end of the year, average rates on hryvnia deposits, depending on the term of the deposits, will remain at 14-14.5% per annum, predicts Globus Bank. It is noted that the average return on deposi... #DepositsInterestRate #financeUkraine #GlobusBank #nbu #UkraineDeposits
Revenues from the sale of bonds by the Ministry of Finance in November exceeded payments by more than ₴24B. For 11 months of the year, borrowing by the Ministry of Finance on the domestic debt market of ₴164.98B in equivalent exceeded payments on bonds of the domestic state loan (OVDP), particularly in Nove... #financeUkraine #nbu #OVDPselling #UkraineBond
In November, the NBU reduced interventions by 27% and canceled all restrictions on the sale of cash currency. The net sale of dollars by the National Bank in November, the second month after the transition from a fixed exchange rate regime to managed flexibility, decreased from $3.34B in October to $2.45B in ... #CurrencyMarket #CurrencyRestrictions #CurrencySale #financeUkraine #nbu
This fall, Ukrainian consumers’ optimism has fallen to its lowest level since last summer. The Ukrainian consumer sentiment index decreased by 2.8 points to 79.9 points in October. This is the lowest that the indicator has been since August 2022, when it was 75.3 points. At the same time, t... #BusinessActivityExpectations #ConsumerPrices #financeUkraine #UkraineEconomy
Ukrainians have taken ₴29B worth in microloans and accumulated debt. In nine months of the current year, Ukrainians were issued six million microloans (MFI) worth ₴29.1B. This is more than in 2022 but 40% less than in the corresponding period in 2021, when citizens too... #financeUkraine #MicroCrediting #Microloan
Ukrainians’ trust in banks is growing, and here is why. Over the past year, the volume of deposits in Ukrainian banks increased by more than 8.6%, reaching a record ₴1.14T. Ukrainians keep ₴733B of this amount in the national currency and ₴409B in foreign ... #BankDepositsinUkraine #financeUkraine #UkraineBankingSystem #UkrainianBanks
Bank profit tax increased to 50% in 2023 and 25% in subsequent years. The Ukrainian Parliament adopted a draft law on a temporary increase in the bank tax rate from an 18% to 50% tax on profits in 2023 and a permanent increase to 25% in the following years. The draft la... #financeUkraine #nbu #TaxesinUkraine #UkraineBanksProfits #UkrainianBanks
The war destroyed foreign currency lending in Ukraine. The Russian full-scale invasion has practically destroyed the demand for foreign currency loans, contributing to the reorientation to lending in the national currency, which is a good indicator for th... #BankLoans #CreditPortfolio #financeUkraine #nbu
