The National Bank of Ukraine published its quarterly Bank Funding Survey, showing that bank funding volumes continued to grow in Q4 2025 as household and corporate deposit inflows persisted and wholesale funding increased mainly at some large banks. Average funding costs rose over 2025, driven in Q4 by higher client deposit costs, although banks now expect overall funding costs to decline. Respondents expect no significant changes in client deposits in Q1 2026, with household and business funding edging lower while wholesale funding increases, supported by anticipated inflows from the European Union and international financial institutions (IFIs) for reconstruction projects and by investor appetite. The share of foreign currency (FX) funding has fallen for three straight quarters and is expected to keep declining, while funding maturity has increased and is projected to extend further over the next 12 months. Most banks reported higher capital over the past 12 months and expect this to continue through 2026, with profitability cited as a key driver and regulatory changes, macroeconomic conditions and risk appetite as constraints; banks holding 14% of system assets reported shareholder intentions to scale up capital during 2026. The survey was conducted between 12 December 2025 and 9 January 2026 among 26 banks representing 96% of banking system assets, and the National Bank of Ukraine noted the results reflect respondents’ views rather than its own assessments or forecasts. A new survey covering expectations for Q2 2026 is due for release in April 2026.
National Bank of Ukraine 2026-01-28
National Bank of Ukraine Bank Funding Survey shows rising bank funding volumes and higher deposit costs in Q4 2025
The National Bank of Ukraine's quarterly Bank Funding Survey shows continued growth in bank funding volumes in Q4 2025, with rising average funding costs due to higher client deposit costs, though a decline in overall funding costs is expected. Conducted among 26 banks covering 96% of system assets, the survey highlights expectations of stable client deposits, increased wholesale funding, declining foreign currency funding, and extended funding maturity, with profitability driving higher capital levels despite regulatory and macroeconomic constraints.