Fitch Ratings expects that the trend of the appearance of non-performing loans (NPL) in the credit portfolios of Ukrainian banks will continue in H2 2015, according to the Fitch's dashboard, a copy of which has been sent to Interfax-Ukraine.

Fitch said that the reorganization of new NPLs could follow a new revision of banks' assets, and banks could once again face the necessity of replenishing their reserves. The large-scale additional capitalization of banks is unlikely given regulatory relaxation on the observation of capital adequacy requirements and the unwillingness of shareholders.

Fitch also said that banks still have a vulnerable position along with highly unstable deposits, the lion's share of which are in foreign currency (51%).

The behavior of depositors remains sensitive to hryvnia exchange rate expectations. The recent stabilization of the hryvnia positively influenced the deposit trend after a large outflow of funds in 2014 and H1 2015, while the weakness of the national currency in general could entail the further instability of the deposit base, Fitch said.

The restrictions on cash withdrawal imposed in early 2014 have improved control over liquidity to some extent, Fitch said.