NBU predicts record for ten years the profits of banks
The banking sector of Ukraine in 2018, can get a record for the last ten years, the profit forecast at the NBU.
Ukrainian banks by the end of 2018, will likely show record for the last ten years profit. This at a press conference in Kyiv on Monday, 17 December, said the first Deputy Chairman of the National Bank Ekaterina Rozhkova, reports Interfax-Ukraine.
“By the end of 2018, the sector will make a profit and, according to our preliminary estimates, the profit may become a record of more than ten years,” she said, Recalling that in the first ten months of this year banks have received about 15 billion UAH of net profit.
According to Rozhkova, the result was due to higher operating profit interest, fee and Commission, and reduced contributions to reserves.
“Interest income continues to be the main source of Bank profits with a significant decline in the last few years, cost of funds, purification from non-productive assets and increased lending”, – said the first Deputy head of the NBU.
The growth of fee income, according to her, is associated with the activation of consumer lending and the development of banking technologies.
In turn, the Director of the financial stability Department of the NBU Vitaliy vavryshchuk said that banks, which account for over 40% of sector assets, are currently working with the rate of return on capital of over 30%.
“This has never happened in the history of Ukrainian banking sector”, – he stressed.
Moreover, the NBU expects that the profitability of the banking sector will continue to grow and next year, primarily due to the completion of the work on clearing balances and the reduction of allocations to reserves.
Earlier it became known, what banks of Ukraine were the most profitable and which the unprofitable in January – October of 2018.
We will remind, the National Bank of Ukraine preparation for the sale of PrivatBank plan to start no earlier than 2020.
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