Interfax-Ukraine
13:53 27.01.2017

NBU head criticizes state-run banks for exorbitant deposit rates

1 min read
NBU head criticizes state-run banks for exorbitant deposit rates

State-owned banks offer the highest deposit rates on the market. This is inadmissible, Governor of the National Bank of Ukraine (NBU) Valeriya Gontareva has said.

"Where do we have the rights [deposit] rates now? At state-run banks. This is absolutely inadmissible. I think the issue will be solved now," she said at a press conference in Kyiv on Thursday.

Gontareva said that the development strategy for state-owned banks approved a year ago requires the revision due to the nationalization of PrivatBank.

She said that the new independent professional supervisory board will be responsible for the strategy of PrivatBank. However, it is to comply with the strategy of the rest of state-run banks.

"One cannot allow unhealthy competition," she said.

Earlier on January 26 former Deputy NBU Governor Vladyslav Rashkovan also tilted at state-run banks, two of which retain deposit rates for individuals at 19-20% per annum. He said that they could be cut by at least 4 percentage points and even to the NBU's refinancing rate being 14% per annum.

Rashkovan said that other banks, especially with Ukrainian capital, cannot allow themselves to attract the money at this cost.

AD
AD
AD