Individuals’ deposits in banks participating in Guarantee Fund exceed $28.7 billion
The indicator grew by UAH 58.4 billion ($1.6 billion) in December 2022.
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The total amount of deposits of individuals as of early January 2023 includes:
• UAH 654 billion ($17.8 billion) (+UAH 42.2 billion ($1.1 billion) for December) in national currency;
• UAH 397.5 billion ($10.8 billion) (+UAH 16.2 billion ($443 million) for December) in foreign currency.
The ratio of hryvnia deposits to foreign currency deposits remained practically unchanged in 2022: 62.6% and 37.4% at the beginning of the year against 62.2% and 37.8% at the end.
The share of individual entrepreneurs in the structure of depositors stood at 3.0%, while the amount of their deposits reached UAH 118.8 billion ($3.2 billion) (11.3% of the total amount of deposits).
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According to Olga Bilay, the deputy managing director of the fund, the annual increase amounted to UAH 375.9 billion ($10.2 billion) or 55.6% year-over-year.
“There are several factors that led to this growth,” she said.
“First, from April 13, 2022, (state savings bank) Oschadbank became a participant of the fund, and this added UAH 129.7 billion ($3.5 billion) to our reporting. The second factor is the revaluation of the hryvnia equivalent of foreign currency deposits as a result of the increase in the foreign currency exchange rate (+UAH 95.5 billion ($2.6 billion)).
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“But most importantly, we recorded a real increase in the balances of funds in the accounts of individuals and individual entrepreneurs (+UAH 150.7 billion ($4.1 billion). At the same time, the real growth of hryvnia deposits amounted to UAH 139.2 billion ($3.8 billion), and currency deposits amounted to UAH 11.5 billion ($314.4 million).”
Bilay also noted that the funds received in the accounts of the fund’s participating banks as social payments almost corresponds to the amount of cash withdrawals by the population. However, part of the funds remained in banks both in the form of hryvnia deposits (mainly in current accounts) and currency deposits.
Social payments to the population (in particular, the provision of financial assistance from the state and international organizations), payments to military personnel, as well as increasing public confidence in keeping funds in banks under martial law influenced the dynamics of the increase in the amount of deposits, Bilay said.
Read the original article on The New Voice of Ukraine
