The portfolio of loan agreements concluded by state-owned Oschadbank with agricultural, food and processing companies in the large corporate business segment has tripled during the war and as of October 1, 2024, reached UAH 9.9 billion compared to UAH 3.3 billion in 2021, Yuriy Katsiyon, Deputy Chairman of the Board of the bank in charge of corporate business, said in an interview with Interfax-Ukraine.
According to him, the volume of agreements concluded to support enterprises in these segments among Oschad’s corporate business clients in 2024 amounted to UAH 1.4 billion, or 20% of the total volume of agreements concluded during this period.
“We finance companies that have suffered from military aggression, such as Nibulon. We financed the first military sowing season, setting an example for all other banks to start lending. As a result, we more than doubled our corporate loan portfolio among agricultural, food and processing companies in the year from 2022 to 2023, from UAH 4 billion to UAH 8.8 billion. As of October 1, 2024, this corporate business portfolio reached UAH 9.9 billion,” he said.
Mr. Katsion also said that Oschad’s share in financing businesses in all industries has reached 14% of the total market, which is the second place among Ukrainian banks. In addition, Oschad ranks second among all legal entities in financing in the agricultural business segment and food production. These loans account for UAH 23.7 billion, or more than 15% of the financial institution’s portfolio.
The Deputy Chairman of the Board added that the volume of concluded loan agreements in the agrarian, food and processing industries, food trade in the segment of large corporate business in 2021 amounted to UAH 0.87 billion, in 2022 – UAH 4.6 billion, in 2023 – UAH 11 billion, and in 2024 – UAH 4 billion. In total, during the war, Oschad provided almost UAH 20 billion in loan agreements for corporate business.
The number of Oschad’s clients in this segment reached 15 business groups or 30 companies. At the same time, more than 80% of them started borrowing from the bank for the first time during the war.
“Since the beginning of 2023, we have increased our market share by 1.5 times. This year alone, the growth is 4%,” summarized the Oschadbank’s corporate business manager.
According to the financial institution, the top five banks in agricultural financing are as follows: Raiffeisen, Oschadbank, Ukreximbank, FUIB, and Credit Agricole Bank.
According to the National Bank of Ukraine, as of September 1, 2024, Oschadbank ranked 2nd (UAH 425.75 billion) in terms of total assets among 62 banks in the country. The financial institution’s net profit for the first eight months of this year amounted to UAH 11.18 billion.
