Growth in hryvnia lending significantly supports banking sector assets

Hryvnia lending in Ukraine has been growing rapidly for the third quarter in a row, becoming the main driver of banking sector asset growth. Market-based lending outside of government support programs is dominant, and loan portfolio quality remains significantly high. The share of non-performing loans (NPLs) declined to 25%, the lowest level in a decade.

Source Minfin

According to the National Bank of Ukraine, the penetration of loans to gross domestic product (GDP) increased to 8.4%. The main recipients of loans were the trade, financial services, machine building, agriculture, energy, and food industries. There was also a decrease in the share of subsidized loans and an increase in demand for long-term loans for capital investments.

In September 2025, market interest rates on hryvnia loans decreased to 15.3% per annum, which is a positive trend. The NPL ratio, excluding old problem loans, remained at 14.3%. In the third quarter of 2025, the banking sector earned UAH 39.9 billion in profit, concentrated mainly on lending income.