In Q3 2016, the solvent banks reduced debt due to the National Bank of Ukraine under refinancing loans by 13%.  According to data from banks’ financial statements, as of 1 October 2016, the total outstanding debt stood at UAH 28.1 billion, including the principal amount of UAH 27.8 billion.

During Q3 2016, the banks’ total outstanding debt to the NBU shrank by UAH 4.2 billion.

During Q3 2016, all the banks that had received stabilization loans and liquidity support loans reduced their debts to the NBU. Loan servicing is performed as a routine procedure in accordance with approved schedules.       

Since mid-2015, the NBU has used only monetary liquidity support instruments with 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), which makes these loans risk-free.

For reference

Banks’ debt due to the NBU, according to banks’ financial statements