Ukrainian banks expect an increase in lending volumes for both businesses and consumers in the second quarter and throughout the year. This is indicated by the results of a survey conducted by the National Bank of Ukraine, which shows positive expectations among bankers despite potential risks and a deterioration in the quality of household loans.
This is reported by Business • Media
Expectations for Loan Demand in the Second Quarter
“In April-June, a significant portion of respondents expects an increase in demand from consumers for both mortgages and consumer loans,” the NBU study notes.
Regarding the business segment, bankers identified several key reasons for the growth in demand for various types of commercial loans. The main reasons include improved consumer sentiment, increased spending on durable goods, positive forecasts for the real estate market, and a decrease in interest rates. At the same time, they predict stability in the quality of corporate loans, but a slight deterioration in the condition of household loans.
Planned Changes in Lending Standards
In the first quarter, Ukrainian banks softened lending conditions for both mortgages and consumer loans. In the second quarter, they plan to tighten requirements for corporate clients, especially regarding short-term and hryvnia loans. There is also an expectation of a relaxation of standards for consumer loans and mortgage lending, which should help activate the lending market.
Overall, these changes are expected to support the lending market and stimulate economic development in the coming months.