Economy 2021-12-15T07:46:43+02:00
Ukrainian news
Cabinet Officially Confirms Decision To Nationalise PrivatBank

Cabinet Officially Confirms Decision To Nationalise PrivatBank

Cabinet of Ministers, NBU, NSDC, PrivatBank, Ministry of Finance, Oleksandr Danyliuk, Valeriya Hontareva, nationalisation

The Cabinet of Ministers has officially confirmed the decision to nationalise PrivatBank.

Ukrainian News Agency learned this from a statement made by the Cabinet of Ministers’ press service.

At a session on Sunday, the Government considered the issues of securing stability in the nation’s financial system.

Take into account results of the meeting of National Security and Defence Council (NSDC), the Cabinet supported a proposal made by the National Bank and the Financial Stability Board on the transfer of PrivatBank into 100% State ownership.

The State, represented by the Ministry of Finance will become the owner of 100% of shares in PrivatBank PJSC and guarantees uninterrupted functioning of this financial institution and preservation of its clients’ funds.

NBU Governor Valeriya Hontareva, who was taking part in the Government session, and Minister of Finance Oleksandr Danyliuk informed members of the Cabinet that private shareholders of PrivatBank had approached the Government with a proposal that the State becomes its full owner for the benefit of the bank’s clients.

The transition period starts on December 19.

The government will ensure a smooth transition, stable operation of this institution in the course ordinary and usual for its clients.

On Monday, the Head of State’s website published Decree 560 of December 18, which puts into effect the National Security and Defence Council (NSDC) resolution on urgent measures to safeguard national security of Ukraine in economy, and on protection of depositors’ interests.

Pursuant to this NSDC resolution of December 18, the Cabinet was proposed to consider, basing on the National Bank’s proposals on the capitalisation by the state of PrivatBank public joint-stock company.

The Government, with the participation of the NBU, the Deposit Guarantee Fund and the National Commission for Securities and Stock Market were instructed to take exhaustive measures to prevent destabilisation of the nation’s financial system, and to secure the depositors’ rights.

As Ukrainian News Agency earlier reported, President Petro Poroshenko calls on PrivatBank to keep calm.