Ukrainians continue to withdraw money from banks
Depositors distrust Ukrainian banks and continue to withdraw their deposits from financial institutions. Not a single major bank has managed to stem the outflow of deposits, reports Kapital.
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In the first quarter, neither large private nor state banks, nor their small subsidiaries managed to stop the outflow of capital. Only the state-owned Ukrgasbank managed to increase hryvnia deposits (+54,8 million UAH, or 1,8%). Even in Oschadbank and Ukreximbank the population has less money left than at the beginning of the year.
The remaining institutions gave away more deposits than they attracted new ones. The leader in this process predictably turned out to be PrivatBank - Ukrainians withdrew UAH 2,309 billion (-4,5%) from its hryvnia accounts. “The main outflow was associated with a sharp rise in the dollar exchange rate and occurred during this period. Plus military operations in the east,” says PrivatBank press secretary Oleg Serga.” The second place in terms of withdrawal of hryvnia was taken by Ukrsotsbank (-765 million UAH), the third - by Ukreximbank (-717 million UAH).
The leader in outflow was OTP Bank, a subsidiary of the Hungarian OTP Bank, from which 22,7% of the portfolio was taken (-675,6 million UAH).
Banks explain the current situation by continued uncertainty in politics and the economy. “The return of money to the system will be possible subject to the cessation of bank failures, the stabilization of the hryvnia exchange rate, the cessation of military confrontation and the reduction of global economic and geopolitical risks. Only with general stabilization in the economy and the elimination of the threat of invasion will money be returned to the banking system,” says Konstantin Varnin, deputy head of the department of retail and small business at Industrialbank.
Let us recall that another 50 banks in Ukraine may go bankrupt in 2015.
Ukrainians continue to withdraw money from banks.