Page 55 - UKRRptAug22

8.1.2 Loans
The credit portfolio of enterprises has increased by almost UAH 30B since the beginning of the war. The credit portfolio of enterprises in hryvnia increased by 5.7% from February 23 to July 1, 2022 - from UAH 519.9B to UAH 549.4B. This was reported by the head of the parliamentary committee on finance, Danylo Hetmantsev. According to Hetmantsev, loans to the economy in hryvnia, granted to enterprises and the population, increased by 2.1% or 15.6 billion during this time. The main supporting factors for business lending remain the high hryvnia liquidity of the banking system and the state program of preferential lending, the5-7 -9 program with state guarantees to banks lending to small and medium-sized businesses.
New business loans under the 5-7-9 program will be issued at a 20% rate.
At a meeting on July 29, the Cabinet of Ministers approved changes to the regulations on targeted lending programs, the government website says. This decision was made because after the NBU increased the discount rate, programs such as 5-7-9, financial leasing, and state portfolio guarantors slowed down. Thus, due to the changes, banks can increase the interest rate to 20% for new loans during martial law. Emphasis is also being placed on investment loans, as the main goal of the changes is to activate preferential lending programs for businesses.
55 UKRAINE Country Report XXXX 2018 www.intellinews.com