REUTERS
The National Bank of Ukraine has published the results of the diagnostics of Ukraine’s 60 largest banks, which account for 98% of the assets of the country’s banking system, concluding that 39 banks needed recapitalization.
According to the NBU website, the results of the diagnosis of the first group of 20 largest banks, including Raiffeisen Bank Aval, Sberbank, VTB Bank, OTP Bank, UkrSibBank, First Ukrainian International Bank, Alfa -Bank, Oschadbank, Ukreximbank, Ukrsotsbank, Prominvestbank , Pivdenny, Credit Dnipro, PrivatBank, UkrGasBank , ING Bank Ukraine, Citibank, and Credit Agricole, show the recapitalization had to be carried out in 16 financial institutions. Eight banks from this group have completed the program in advance, while another two, namely Fidobank and Khreshchatyk, were declared insolvent.
Read alsoBorrowers of 3 bankrupt banks owe UAH 20 bln on loansAccording to the results of diagnostics of the second group of 19 banks, including VSBank, Kredobank, ProCredit Bank, Piraeus Bank ICB, A-Bank, Taskombank, Pravex Bank, Misto Bank, Clearing House, Diamant, Bank of Investments and Savings, Arcade, Megabank, IIB, Universal Bank , Globus, and BM Bank, 12 financial institutions were in the need of recapitalization. So far, only one bank from the group has carried out the program in its entirety, while another two financial institutions - Platinum Bank and Fortuna-bank - were declared insolvent.
Diagnostics of the next group of 21 banks, including BTA Bank, Forward, Express-Bank, First Investment Bank, SEB Corporate Bank, Deutsche Bank DBU, Credit Europe Bank, Poltava-Bank, Grant, Creditwest, Idea Bank, Kominvestbank, Bank Sich, Vostok, Unex, IndustrialBank, Marfin Bank, Lviv, Noviy, Evroprombank, and Finbank, showed that 11 financial institutions needed recapitalization. Data on the implementation of recapitalization programs by the banks from this group have not yet been published.
Earlier, the National Bank reported that, according to the results of diagnostics of 60 largest banks, 26 of them had fulfilled their obligations under the approved capital increase plan.
On February 13, the National Bank announced the start of diagnostics of the rest 37 banks that had not completed the procedure.
Diagnostics of Ukraine’s TOP20 banks showed that by September 1, 2016, the largest banking institutions have taken steps to implement their recapitalization programs totaling UAH 108 billion.
In the framework of a recapitalization plan, agreed with the International Monetary Fund, the Ukrainian banks have to achieve capital adequacy of 10% over the next 4 years.