The NBU predicts a 20-25% increase in lending this year, with banks utilizing ₴1T in resources.

As reported by Kateryna Rozhkova, Deputy Head of the National Bank, it is expected that bank loan portfolios will grow by approximately 20-25% this year, which would balance investments in government bonds.

“From the point of view of business credit metrics, such as business solvency, debt-to-income ratio, and debt service expenses-to-income ratio, the vast majority of enterprises are in good shape,” she stated.

According to the banker, this indicates that businesses have managed to adapt and recover. Therefore, most enterprises now appear attractive to banks as potential borrowers.

Rozhkova noted that the regulator is observing an increase in the share of loans with terms of one to three years in bank loan portfolios, indicating a rise in the volume of longer-term financing, which is often investment-related. She added that the total capital in Ukraine’s banking system allows for an increase in lending volume by ₴1T ($24B). Funding for large projects is possible thanks to consortium lending. Rozhkova also highlighted the existence of credit guarantees, which reduce credit risks for banks.