Share of non-performing loans in state-owned banks decreased

Share of non-performing loans in state-owned banks decreased

As of October 1, the share of non-performing loans (NPLs) in state-owned banks (excluding PrivatBank) decreased from 47.6% to 43.5%, the press service of the National Bank of Ukraine (NBU) wrote on Facebook.

According to the central bank, state-owned banks have begun to implement plans to clean the balance sheets from the legacy of previous years - non-performing loans.

In September 2020, state-owned Ukreximbank wrote off UAH 16.6 billion in non-performing loans, for which 100% of reserves had previously been formed.

As a result, the share of NPLs in state-owned banks (excluding PrivatBank) decreased from 47.6% on September 1 to 43.5% on October 1.

At the same time, the share of NPLs in the banking sector declined from 48% to 45.6% as of October 1.

As reported, in late June 2020, the Financial Stability Council approved the plans developed by state-owned banks, which provide for a reduction of UAH 305 billion in the NPL portfolio within the next three years.

The approval of action plans of state-owned banks to reduce NPLs means the implementation of one of the structural beacons under Ukraine's cooperation program with the IMF.


Let’s get started read our news at facebook messenger > > > Click here for subscribe

While citing and using any materials on the Internet, links to the website not lower than the first paragraph are mandatory. In addition, citing the translated materials of foreign media outlets is possible only if there is a link to the website and to the website of a foreign media outlet. Citing and using materials in offline media, mobile apps, Smart TV are allowed only with written permission from Ukrinform. News and publications marked as "Advertisement" and "PR" and articles in the section "Releases" include promoted content, and an advertiser is responsible for the content.

© 2015-2021 Ukrinform. All rights reserved.

Website design Studio Laconica

Extended searchHide extended search
By period: