The National Bank notes that in January-March of this year, the volume of hryvnia funds of individuals in banks increased by 10.8% at the expense of funds on demand, in foreign currency - decreased by 8.6% in dollar terms.
This is stated in the message of the NBU, Ukrainian News Agency reports.
Funds of business entities decreased in the quarter by 13.1% in hryvnia and by 10.6% in foreign currency.
The level of dollarization of customer funds for the quarter remained almost unchanged.
The loss of the banking sector is due to the need to form reserves for expected losses.
The banking sector remained operationally profitable, despite hostilities, but the need to form reserves for expected losses for the first time since 2017 led to its loss in the first quarter in the amount of UAH 0.16 billion, including UAH 10.1 billion in March.
The number of unprofitable banks in the quarter increased from 5 to 25 institutions.
In the future, the implementation of credit risk will be the main factor in the impact on the decline in the capital of banks.
It is indicated that the National Bank will not apply measures of influence to banks for non-compliance with capital and liquidity requirements during martial law, and after its completion will provide enough time to resume stability.
As Ukrainian News Agency earlier reported, the banks' net assets decreased by 2.2% in the first quarter as a result of a decrease in investments in deposit certificates of the National Bank and government domestic loan bonds.
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