The National Bank of Ukraine has disbursed the next tranche of a stabilization loan amounting to UAH 695 million to PRIVATBANK PJSCCB. The loan matures in two years.
The decision to provide liquidity support to this bank was approved by the Board of the National Bank of Ukraine (Resolution No. 212/БТ, dated April 2, 2015) to ensure that PRIVATBANK PJSCCB meets its obligations to individual depositors on time.
PRIVATBANK PJSCCB has pledged the aircraft and a guarantee issued by the holder of a qualifying holding in this bank as collateral against the refinancing loan from the National Bank of Ukraine. The collateral appraisal has been carried out by one of the leading international audit companies that meet the criteria set forth in the NBU regulations.
The reason behind the decision by the regulator to shore up PRIVATBANK PJSCCB is that the bank accounts for 26% of all household deposits and 15% of all the assets within the banking system. Furthermore, this financial institution is the largest bank in Ukraine that has the status of a specialized savings bank, with household deposits accounting for over 50% of the bank's liabilities.
The National Bank of Ukraine once again emphasizes that PRIVATBANK PJSCCB is a systemically important bank with the professional management team that operates in a sound manner, meets the prudential ratios and requirements set by the regulator, adheres to the practice of keeping customer service flowing smoothly without disruption, and has an approved recapitalization plan and the support from shareholders.
As a side note, last week the National Bank of Ukraine issued a statement in which it said that there were reasons for the customers and partners of PRIVATBANK PJSCCB to have concerns.
As a side note, last week the National Bank of Ukraine issued a statement in which it said that there were no reasons for the customers and partners of PRIVATBANK PJSCCB to have concerns.