In Q2, the banks built up their volumes of retail deposits and wholesale funding, according to the quarterly Bank Funding Survey.
The respondents expect that in Q3, total deposits raised from both households and businesses will increase, as will wholesale funding.
The growth in the average cost of funding in Q2, the respondents said, was primarily driven by retail deposits, while the cost of wholesale funding did not change.
Financial institutions expect the cost of funding to rise in Q3 overall, primarily on the back of higher interest rates on retail deposits.
The share of FX funding shrank, but the number of banks expecting this downtrend to continue decreased from the previous survey.
Funding maturity increased. For two straight quarters, almost half of the banks by assets have been expecting maturity to rise in the next 12 months.
Almost all of the respondents said their total capital had risen over the past 12 months. Most of those polled anticipate this uptrend will continue in the next 12 months.
The banks once again cited profitability as a key driver of capital growth going forward, but they did not rule out that capital may decrease due to changes in regulatory and macroeconomic conditions or in risk appetite.
Although the respondents noted an increase in the cost of capital over the past 12 months, most banks do not expect the cost to change in the future.
The Bank Funding Survey was carried out from 16 June through 7 July 2025 among bank liability managers. The answers were provided by 26 financial institutions, which together held 96% of the banking system’s total assets. The survey’s results reflect the views of the respondents and are not assessments or forecasts by the NBU. A bank funding survey with the banks’ expectations for Q4 2025 will be published in October.