The Ukrainian banking sector demonstrates stable growth in lending to both businesses and individuals in the first quarter of 2025. According to the latest Banking Sector Review, the net hryvnia loan portfolio of businesses increased by 9.5% compared to the previous quarter and by 28.4% year-on-year.This was reported by the press service of the National Bank of Ukraine.
The banking sector remains stable and profitable, having received UAH 40 billion in profit in the first quarter of 2025. The growth in lending in the agricultural sector, wholesale trade, construction and mechanical engineering is particularly noticeable.In parallel, there is a steady growth in lending to individuals, which amounted to 6.7% per quarter and 35.9% per year.
The structure of these loans is dominated by unsecured loans, while mortgage lending has slowed down. This is due to the restructuring of the “e-Housing” program, which remains the main mortgage lending tool.An important trend is the reduction in the role of subsidized business lending. The share of loans under the “Affordable Loans 5-7-9%” program in the total portfolio decreased to 31.2%. The reasons for this are favorable conditions for conventional lending and stable demand for unsubsidized loans. At the same time, there is still a high interest of businesses in financing long-term capital investments, as evidenced by the growth of loans with a term of over three years by 8.5%.
Source: https://fintechinsider.com.ua/bankivskyj-sektor-ukrayiny-aktyvno-naroshhuye-kredytuvannya-nbu/
