The National Bank of Ukraine published a readout of the Financial Stability Council’s review of measures under the Lending Development Strategy and the Mortgage Lending Development Strategy, with members giving a positive assessment of recent lending dynamics while initiating an update of both strategies to support sustainable credit growth amid changing conditions. The Council cited two consecutive years of rapid lending growth, including a one-third increase in net hryvnia loans to businesses and households in 2025, and noted that market-based lending grew four times faster than subsidized lending. It also highlighted market rates near prewar levels, including 15% per annum in December for new hryvnia loans to businesses, bank financing for energy projects supporting around 1.4 GW of new generation capacity, about UAH 6 billion in defence-industry loans under special programmes since the start of 2025, renewed lending growth in frontline regions, and declines in the non-performing loan ratio to a 15-year low and the default ratio to a 10-year low. The NBU’s systemic risk overview noted that risks from damage to energy infrastructure have largely materialized and intensified in recent months, while the risk of insufficient external assistance has diminished substantially following European Union decisions to support Ukraine through 2026–2027. To take forward the strategy refresh, the Council instructed its Financial Development Committee to prepare proposals, emphasizing the need for improved and expanded financial instruments, particularly long-term ones, and a systemic approach to lending-development infrastructure that increases credit penetration without building excessive risks to financial stability.

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