The share of non-performing loans (NPL) in the total volume of loans in Ukraine in June 2018 fell by 0.37 percentage points (p.p.), to 55.68% as of July 1, 2018, according to the National Bank of Ukraine (NBU). The central bank said that in particular, the share of NPL in the loan portfolio of state-owned banks fell by 0.77 p.p., to 71.06%, including a 0.44 p.p. fall in PrivatBank, to 84.64%, in portfolios of foreign bank groups – by 0.29 p.p., to 42.54% and banks with private capital – by 0.96 p.p., to 24.09%.
The share of NPL in insolvent financial institutions grew by 10.92 p.p., to 69.3%.
The loan portfolio grew by 0.33% in June, to UAH 1.125 trillion. Since the start of the year, the share of NPL has grown by 1.13% and the portfolio has expanded by 3.09%. The share of troubled assets of the banking system, taking into account off-balance sheet liabilities, was 29.21% (0.12 p.p. down) as of July 1, 2018. It was 0.88 p.p. more than as of late 2017. The total troubled assets grew by 0.04% in June, to UAH 2.234 trillion, and by 1.6% since early 2018.
The NBU first published statistics for NPL meeting the requirements in resolution No. 351 dated June 30, 2016 on assessment of credit risks in March 2017. The resolution says that NPL notion as close as possible to the common notion in global practice “non-performing exposures/loans” (NPE/NPL). According to the new rules, NPL are loans overdue for over 90 days (30 for banks) or it is unlikely that the debt without seizing collateral can be collected.
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Real wages in Ukraine in June 2018 compared to June 2017 increased by 13%, compared to May 2018 by 4.8%, the State Statistics Service has reported. It said the average nominal wage of full-time employees in June 2018 compared to May 2018 rose by 4.8%, in annual terms by 24.2%, amounting to UAH 9,141, while in May it was UAH 8,725, in April some UAH 8,480, in March some UAH 8,382, in February some UAH 7,828, and in January UAH 7,711.
According to statistics, the largest growth in the average wage of full-time employees in June 2018 compared with June 2017 was observed in Zakarpattia (28.2%), Zhytomyr (27.4%), Dnipropetrovsk (27%), Poltava (26%), Vinnytsia and Zaporizhia (26.9%), Mykolaiv and Kirovohrad (25.8%), Volyn (25.6%), Ternopil (24.8%), Kyiv (24%), Khmelnytsky (23.7%), Lviv (23.6%), Cherkasy (23.5%), Ivano-Frankivsk (21.9%), Chernivtsi and Chernihiv regions and Kyiv (22.2%).
Wage growth in Donetsk and Luhansk regions (excluding part of the joint forces operation) was 20% and 33.4% respectively.
The highest level of wages in the past month was recorded in Kyiv at UAH 13,553, the lowest one in Chernihiv region at UAH 7,341.
Agromars Complex LLC (Kyiv region) plans to build a flotation sludge recycling plant.
“The second project being considered by Agromars Complex is construction of a flotation sludge recycling plant. Flotation sludge appears after purification of water used in slaughtering houses and extra sludge from biological treatment facilities,” the company said on its website. In particular, Agromars is interested in a project of Dutch Mavitec.
The flotation sludge recycling plant and the chicken manure recycling plant will generate electricity using a gasification method. It would be able to generate 1.1 MWh of heat and organic fertilizers.
“We have a plant producing biological additive from animal byproducts. When we build two more plants, we would complete the chain for treating any waste. This would allow solving all environmental issues as it is done in Europe,” Deputy Technical Director Oleksandr Surmach said.
State-owned company Ukrspecexport in January-June 2018 saw a 2.3-fold rise in net profit under Ukrainian accounting standards (129.9%) year-over-year, to UAH 158.34 million. According to a company report in the information disclosure system of the National Commission for Securities and the Stock Market, its net revenue in H1 2018 grew by 24.83%, to UAH 773.12 million.
In January-March 2018, Ukrspecexport increased net profit by 69.26%, to UAH 64.38 million and net revenue – by 7.86%, to UAH 364.13 million.
Ukrspecexport is an authorized state intermediary in carrying out foreign economic activities in the sphere of exports and imports of goods and services that are subject to export control.
Since December 2010, under the government’s decision Ukrspecexport and its subsidiaries have joined the Ukroboronprom State Concern.
