Profit of Ukrainian banks exceeded UAH 51B in Jan-Sept 2021 – NBU

In January-September 2021, Ukrainian solvent banks received UAH 51.4 billion in net profit, which is 37% more than in the same period last year, Ukrinform reports, referring to the press service of the National Bank of Ukraine (NBU).

"In January-September 2021, solvent banks got UAH 51.4 billion in net profit, which is 37% more than in the same period last year (UAH 37.6 billion)," the report says.

As of October 1, 2021, 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 2021, 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.

As Ukrinform reported, the net profit of banks for the first eight months of 2021 amounted to UAH 45.6 billion. The net profit of Ukrainian banks came to UAH 41.3 billion in 2020, which is 29% less than in 2019.

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