As of April 1, 2026, the share of non-performing loans (NPL) in the banking sector of Ukraine decreased to 12.9%. Compared to the beginning of the year, this indicator has reduced by 1 percentage point, and since March 2022, it has decreased by 13.7 percentage points.
This is reported by Finway
Main reasons for the decrease in the NPL share
The significant reduction in the share of non-performing loans in the first three months of 2026 was achieved due to an increase in the volume of new loans with better quality, as well as active resolution of problematic debts. As noted in the official statement,
“The factors contributing to the decrease in the NPL share in January – March 2026 were both the increase in the volume of new loans of better quality and the resolution of non-performing debts.”
In the first quarter of 2026, the total loan portfolio in the banking system grew by 75.8 billion UAH, which is 5.6%, reaching 1.436 trillion UAH. At the same time, the volume of non-performing loans decreased by 3.8 billion UAH (2.0%), reaching 185.5 billion UAH.
Dynamics by borrower and bank categories
In terms of borrower categories, a positive trend is observed: for individuals, the NPL share decreased by 0.5 percentage points in the first quarter of 2026, reaching 10.3%. For businesses, this indicator decreased by 1.3 percentage points, standing at 15.7%.
The decrease in the share of non-performing loans was recorded across all groups of banks. In state banks, this indicator decreased to 18.4%, in private Ukrainian banks to 7.8%, and in financial institutions with foreign capital to 6.2%.
It is worth noting that in the first year of the full-scale invasion, the default rate on loans reached about 20%, and the share of NPL in the portfolio was 39.1%. Since mid-2023, a gradual decrease in this indicator has been observed. In December 2025, state banks wrote off a significant volume of old non-performing assets — over 170 billion UAH, which allowed reducing the NPL share to the lowest level in the last 15 years.
Lending in Ukraine has shown stable growth for the second consecutive year. In March 2026, net hryvnia loans to businesses increased by 32% compared to March of last year, while loans to the population increased by 36%.