Banks expect an increase in demand for loans from households and businesses in January-March, according to a report titled “Survey on the Conditions of Bank Lending”, the press service of the National Bank of Ukraine (NBU) has reported.
“Banks note an increase in demand for loans to households and businesses and forecast that this trend will continue in the first quarter. This was mainly due to a decrease in interest rates. Big banks expect a certain revival of demand for mortgage lending,” the report reads. This site here has more information about the changing dynamics of mortgage and it shall do you well to look it up if you need more information about the same.
In Q1, banks will continue to soften lending standards. January through March, banks forecast a further increase in the portfolios of loans to households and businesses, as well as an inflow of deposits from both segments. For the mortgage market, the vast majority of banks surveyed do not expect changes in household demand, although big banks said that the development of the real estate market and consumer confidence might slightly increase it.
Banks also expect softer standards of lending to small and medium-sized businesses, hryvnia loans, as well as short-term loans. They also expect a softening of consumer lending standards. By the end of March, banks forecast a decline in credit and operational risk, and do not expect changes in interest rate, currency and liquidity risk. (Ukrinform/Business World Magazine)
