Quality of loan portfolios of state banks, except for PrivatBank, deteriorates - NBU
The quality of credit portfolios of state-owned banks, except for PrivatBank (Kyiv), has deteriorated, Deputy Head of the National Bank of Ukraine (NBU) Yekateryna Rozhkova has stated.
"The quality of loan portfolios of state-owned banks has deteriorated," she said at a press conference in Kyiv.
Rozhkova noted that at present there are no significant changes in the direction of improving the structure of the debt of the banks' credit portfolios, while the quality of collateral is deteriorating.
"We are not talking about some new factors, it's a question of not taking significant steps to improve the debt structure of large groups during two years, especially in 2017. Because the concentration in banks' loan portfolios is very high, and we know that a significant part of the structure of non-performing assets belongs to industrial groups known in Ukraine," she stated.
Rozhkova also said that due to the deterioration in the quality of loan portfolios, the possibility of additional capitalization of state-controlled Oschadbank and Ukreximbank (both based in Kyiv) is being studied.
