The Banking Sector Review for the first quarter of 2025 notes that banks in Ukraine have accelerated the pace of business lending and continue to increase loans to the population. In particular, the growth of the net hryvnia loan portfolio for businesses reached 9.5% compared to the previous quarter and 28.4% year-on-year.
This is reported by Business • Media
Growth in Lending Volumes
“Traditionally, the volumes of loans to agrarians, wholesale trade enterprises, as well as in the construction and machine engineering sectors have increased,” noted the National Bank of Ukraine (NBU).
The volume of net hryvnia loans to individuals also demonstrated significant growth: 6.7% for the quarter and 35.9% for the year. At the same time, the share of non-performing loans decreased by 1.7 percentage points for the quarter and by 7.5 percentage points for the year, reaching a level of 28.6%.
Normalization of Banking System Profitability
“The profitability of the banking system as a whole is normalizing, and the structure of income is approaching pre-war levels. Sufficient profit supports the capital of banks, allowing them not only to meet regulatory requirements but also to increase lending to the economy,” summarized NBU experts.