Share of bad loans in Ukraine's banking system 0.86 p.p. down in Nov
The share of bad loans in the banking system of Ukraine as of December 1, 2017 was 54.9%, which is 0.86 percentage points (p.p.) less than a month earlier.
Relevant data were posted on the website of the National Bank of Ukraine (NBU).
The total volume of the loan portfolio in November increased by 0.2%, to UAH 1.058 trillion.
The NBU also clarifies that the ratio of non-performing loans to the loan portfolio of state-owned banks over the month decreased by 0.36 percentage points, to 70.18%, foreign banking groups by 1.88 percentage points, to 43.42%, banks with private capital by 0.35 percentage points, to 24.21%, insolvent banks by 0.22 percentage points, to 58.44%.
The share of problem assets in the banking system, including off-balance liabilities as of December 1, was 29.24%, which is 0.22 percentage points more than a month earlier. At the same time, the total volume of such assets in November decreased by 2.16%, to UAH 2.104 trillion.
From March 2017 the National Bank launched monthly statistics on non-performing (default) loans, formed on the basis of requirements of resolution on credit risk assessment No. 351 of June 30, 2016. The resolution, in particular, defines a "non-performing asset/loan" as close as possible to the generally accepted concept of "non-performing exposures/loans" (NPE/NPL) in the world practice.