Page 41 - UKRRptNov20

8.0​ Financial & capital markets 8.1​ Bank sector overview
Ukraine’s banking sector emerged from its crisis and profits returned to 2019 levels in September and October after they fell away to zero in August.
Ukraine’s banks have weathered the crisis very well, and much better than their Russian peers, by maintaining strong profits every month bar June and August. Monthly profits in September and October were UAH4.3bn and UAH45bn which was better than the previous year’s results of UAH4bn and UAH3.6bn respectively.
On a cumulative basis the banks are doing slightly less well with cumulative profits for the year hitting UAH37.6bn in October, down from the UAH52bn banks had earned by the same point last year.
But most of the damage done to the bank's profits were concentrated in the two bad months while the rest of the year was much better. That has pulled down the overall profits for the sector but it remains well ahead of the results in 2018 and 2017 when banks had earned UAH14.8bn and UAH2.1bn in October respectively.
The banks are also looking healthy from a capital adequacy ratio (CAR) perspective​ where the ratio has continued to improve over the summer and currently stands at a very comfortable 21.9%.
41​ UKRAINE Country Report​ November 2020 ​ ​www.intellinews.com