The share of non-performing loans (NPLs) in the banking sector as of May 1, 2025 was 28.3%, which is 2 pp lower than the indicator as of the beginning of 2025.
This is stated in the message of the National Bank of Ukraine (NBU), the Ukrainian News agency reports.
The key factor in reducing the share of NPLs is the growth of the loan portfolio, however, the volume of NPLs is also decreasing.
The volume of NPLs for January-April decreased by UAH 8.1 billion, while the volume of gross loans in banks increased by UAH 62.5 billion during this period.
The reduction in the share of NPLs was recorded in all groups of banks and simultaneously in the retail and corporate portfolios - to 14.2% and 36.6%, respectively.
Excluding the debts of the former owners of PrivatBank and old bad debts in state-owned banks, the share of NPLs in the banking system is 17.0%.
Since 2025, banks have switched to determining non-performing loans NPLs according to the updated methodology in accordance with EU requirements, which did not have a significant impact on the share of NPLs given the balanced approaches of financial institutions to risk assessment and the good quality of the loan portfolio, while at the same time contributing to the transparency of the sector.
As the Ukrainian News agency earlier reported, on the eve of russia's full-scale invasion of Ukraine, the share of NPLs in Ukrainian banks has been steadily decreasing since 2018: from 55% to 27% as of March 1, 2022.
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