A debt of insolvent banks on refinancing credits issued by the National Bank of Ukraine (NBU) in January-June 2016 decreased by UAH 18.5 billion or 36.5%, to UAH 32.25 billion, the NBU has reported on its website.

Total debt reached UAH 31.89 billion as if July 1, 2016.

All banks that took stabilization credits or credits to support liquidity decreased their debt in H1 2016, the NBU said.

The central bank said that Oschadbank repaid the largest sum – its debt fell by UAH 10.56 billion, to UAH 3.5 billion, Ukrgasbank – by UAH 3.662 billion, to UAH 622 million, PrivatBank – by UAH 2.728 billion, to UAH 24.351 billion and Ukreximbank – by UAH 1.961 billion, to UAH 1.091 billion.

The NBU recalled that all its credits in 2016 were issued at tenders and government domestic loan bonds were used as collateral.

The NBU uses only monetary tools to support banks' liquidity from the middle of 2016 and the repayment terms do not exceed three months.

Banks receive refinancing credits at tenders. All banks that submit applications and give highly liquid collateral (government domestic loan bonds, deposit certificates and foreign currency) receive the credits automatically.