The National Bank of Ukraine expects moderate growth in bank lending in Ukraine in the second half of this year, NBU Governor Valeria Gontareva said at the Ukrainian Financial Forum, the NBU reported on Facebook.
According to her, since some banks have increased the authorized capital and credit rates have been decreased, the regulator predicts moderate growth of credit portfolio of banks in the second half of this year, but a full-scale resumption of lending will only happen in the coming years.
”We have gradually and carefully lowered the discount rate throughout this year. Lending rates are also reduced. But to accelerate this process means to ignore our inflation targets and ignore the risks to price and financial stability,” Gontareva said.
According to the NBU governor, several factors are standing in the way of credit recovery, which are beyond regulator`s responsibility.
Among such factors, Gontareva highlighted the high level of arrears and a large debt load, the completion of additional capitalization of banks, as well as legal risks, among which is the need to adopt the draft law on protection of creditors` rights, judicial reform and police reform.