In January-September, Ukrainian solvent banks received UAH 51.4 billion in net profit, up by 37% YoY, the press service of the National Bank of Ukraine (NBU) reported.
As of October 1, out of 71 solvent banks, 64 financial institutions were profitable and received a net profit of UAH 51.7 billion, which covered the losses of seven banks for a total sum of UAH 0.3 billion. In general, this result is the best compared with the relevant months of more than ten years in a row. The return on capital of the banking sector increased to 32% compared to 24% a year ago. This was largely due to a reduction in allocations to reserves: in January-September, compared with the same period, they decreased by more than 60%, on loans – by half and returned to pre-crisis levels.
Banks also showed high operational efficiency, significantly increased interest and commission income compared to the crisis year of 2020. Net interest and commission income rose by 35% and 28%, respectively, due to the low cost of resources, increased lending and the growth of non-cash transactions. (Ukrinform/Business World Magazine)
