The report on the state of the banking sector for the first quarter of 2025 notes that banks in Ukraine have significantly intensified the process of lending to businesses and continue to expand the volume of loans for individuals. The growth rate of the net hryvnia loan portfolio for businesses reached 9.5% compared to the previous quarter, and on an annual basis, this amounts to 28.4%.
This is reported by Finway
Growth in Lending to Farmers and Builders
“Traditionally, the volume of loans to farmers, wholesale trade enterprises, as well as in the construction and machine engineering sectors has increased,” the NBU reported.
The volume of net hryvnia loans granted to individuals also shows active growth: it increased by 6.7% over the quarter and by 35.9% year-on-year. At the same time, the share of non-performing loans decreased by 1.7 percentage points over the quarter and by 7.5 percentage points over the year, reaching 28.6%.
Profitability of the Banking System
“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 continue meeting regulatory requirements but also to increase lending to the economy,” the NBU concluded.