As of 1 September 2016, the banks’ outstanding principal debt to the NBU on the refinancing loans decreased by UAH 25 billion (-25.2%) to UAH 74.35 billion. Thus, the total outstanding debt  fell below the level recorded as of 1 January 2014 (UAH 76.12 billion).

Overall, as of 1 September 2016, the banks’ debt on stabilization loans amounted to UAH 72.55 billion, whereas that on short-term loans to support liquidity stood at UAH 1.8 billion.

Over  the first eight months of 2016, the solvent banks reduced their debt to the NBU on refinancing loans by 44.4% (UAH 22.35 billion) to UAH 28 billion,  while the insolvent banks’ debt decreased by 5.5% (to UAH 46.4 billion).

Since mid-2015, the NBU has used only monetary liquidity support instruments with maturities of up to three months. Refinancing loans are provided to banks through liquidity-providing tenders. Loans are automatically granted to all banks that submit applications to participate in such tenders and pledge high liquid collateral (domestic sovereign bonds, certificates of deposit, foreign currency).  

In 2016, all the loans have been granted through tenders against the collateral of domestic sovereign bonds, which makes these loans risk-free