In 2024, the banking sector of Ukraine demonstrated stable growth and high profitability. The main factors contributing to this were the growth of the business loan portfolio (+21%) and the population (+40%), as well as an increase in investments in government bonds (+35%). The decrease in deposit rates helped banks maintain a high net interest margin, which had a positive effect on their profitability. There was also an increase in net commission income (+11.3%), which in December 2024 reached the pre-war level for the first time. A positive signal was the decrease in the level of deductions to reserves for credit risks, which is almost half the figure in 2023. Despite the increase in administrative expenses, the operational efficiency of banks remains at a high level. This indicates the stability of the banking system and its adaptation to current economic conditions.
Source: https://minfin.com.ua/ua/2025/02/19/145662109/?utm_source=daily_news&utm_medium=email&utm_campaign=2025-02-19
