In November 2025, banks increased lending by 2.6%, or UAH 33.5 billion, to UAH 1 trillion 347.5 billion, and increased the deposit base by 0.9%, or UAH 27.1 billion, to UAH 2 trillion 982.1 billion, according to the National Bank of Ukraine (NBU).
According to the regulator, the main growth in the loan portfolio was provided by the corporate segment, where the volume of loans increased by 2.6%, or UAH 25.4 billion, to UAH 995.5 billion.
Hryvnia loans to businesses increased by 2.5%, or UAH 17.1 billion, to UAH 706.9 billion, while foreign currency loans increased by 2.4%, or $160 million, to $6.84 billion.
Households also increased their loans by 2.6%, or UAH 8.6 billion, to UAH 343.5 billion.
The increase in deposits in November is associated with an increase in the volume of deposits from individuals: hryvnia deposits grew by 1.1%, or UAH 14.9 billion, to UAH 1 trillion 355.5 billion, while foreign currency deposits increased by 0.9%, or $95 million, to $10.66 billion in dollar terms.
As for legal entities, their hryvnia deposits increased in November by 0.7%, or UAH 11.4 billion, to UAH 1 trillion 555.8 billion, while foreign currency deposits decreased by 5.9%, or $615 million, to $9.78 billion.
The National Bank noted that during the month, the dollar exchange rate rose to 42.1928 UAH/$1 from 41.9701 UAH/$1, with a historic low of 42.4015 UAH/$1 recorded on November 26.
Since the beginning of the year, the volume of hryvnia loans to legal entities has increased by 21.5%, and loans to the population – by 25.3%. As for foreign currency loans, businesses increased them by 13.7%, while the population reduced them by 11.1% – to $237 million.
Hryvnia deposits of legal entities have grown by 2.7% since the beginning of the year, while foreign currency deposits have decreased by 3.0%. The population has increased its hryvnia deposits by 14.0% over 11 months, and foreign currency deposits by 7.5%.
American payment system operator PayPal Holdings Inc. has applied to establish a bank. According to a PayPal press release, the application has been submitted to the Utah Department of Financial Institutions and the Federal Deposit Insurance Corporation (FDIC) for review.
The company expects PayPal Bank to be able to provide credit solutions to small businesses in the US, as well as offer interest-bearing savings accounts to consumers.
“Since 2013, the company has provided access to more than $30 billion in financing in the form of loans and working capital to businesses around the world,” the press release said. “The creation of PayPal Bank will allow us to offer credit solutions to businesses more effectively.”
PayPal Bank also plans to participate in the card business in the US.
The bank will be headed by Mara McNeill, who has 25 years of experience in the financial services industry. Prior to joining PayPal, she was president and CEO of Toyota Financial Savings Bank.
PayPal shares have fallen 29% since the beginning of this year.
The National Bank of Ukraine (NBU) fined Pivdenny Bank (Odesa) a total of UAH 18.5 million for violations of legislation in the field of preventing and combating money laundering (AML/CFT) and currency legislation.
According to a statement on the regulator’s website, the bank must pay UAH 17.5 million in fines for improper application of a risk-based approach, improper verification of customers, shortcomings in enhanced verification of high-risk customers, and violation of the procedure for providing information in response to NBU requests.
Separately, Pivdenny Bank was fined UAH 1 million for violating currency supervision requirements, in particular for improper analysis of currency transaction documents and failure to identify currency transaction indicators.
In addition, the NBU issued two written warnings to the bank: for deficiencies in internal documents on AML/CFT and risk management, as well as for errors in statistical reporting on currency transactions.
As reported, in November 2025, the NBU applied sanctions to two banks and two non-bank financial institutions, including fines totaling UAH 20.57 million.
Ukrainian banks will pay income tax at a doubled rate of 50% in 2026.
The corresponding law (No. 14097) on amendments to the Tax Code of Ukraine regarding the specifics of income tax for banks in 2026 was adopted by the Verkhovna Rada on Wednesday with 272 votes in favor, with a minimum of 226 votes required, according to a correspondent from the Interfax-Ukraine news agency.
According to Yaroslav Zheleznyak, first deputy chairman of the relevant parliamentary finance committee, banks will pay tax at this rate on a quarterly basis next year and in the first quarter of 2027, which should bring an additional UAH 15-23 billion to the budget in 2026 and about UAH 5 billion in 2027.
This is the third tax increase for banks to 50% since the start of Russia’s full-scale invasion, but the first two times — in 2023 and 2024 — the Rada made this decision retroactively in the fall.
At its meeting on October 30, the Financial Stability Council (FSC) noted the systemic risks that could be created by the introduction of a 50% tax rate on bank profits from 2026.
“Raising the tax rate for banks to 50% creates risks of limiting lending to the economy and weakening financial stability in wartime,” the FSC emphasized.
Council members also noted that the expected fiscal effect of raising the rate to 50% may turn out to be significantly lower than publicly communicated estimates.
Among other risks, the FRS cited possible complications in the privatization of banks with state ownership, failure by some institutions to implement capitalization programs within the specified time frame, difficulties in timely compliance with capital adequacy requirements in accordance with EU standards, the risk of violating the obligations under the Memorandum with the IMF, as well as a reduction in incentives to de-shadow the economy.
The National Bank also noted that banks and financial companies already have a higher level of income taxation compared to other sectors of the economy – 25% versus 18%.
According to the NBU, Ukrainian banks earned UAH 131.7 billion in net profit in the first 10 months of 2025, which is 4.9% more than in the same period of 2024, and paid 2.1% more income tax – UAH 34.7 billion.
The portfolio of domestic government bonds (OVDP) held by Ukrainian banks decreased by UAH 3.584 billion (0.4%) to UAH 912.852 billion, while that held by non-residents decreased by UAH 0.181 billion (1.2%) to UAH 15.446 billion.
The OVDP portfolio owned by legal entities increased by UAH 2.073 billion (1.1%) to UAH 190.889 billion, and that of individuals by UAH 0.288 billion (0.3%) to UAH 106.790 billion.
According to the NBU, the overall OVDP portfolio decreased by UAH 1.449 billion (0.1%) to UAH 1,895.060 billion from UAH 1,896.509 billion a day earlier, while the portfolio owned by the NBU and local authorities remained unchanged.
The official exchange rate on November 6 was UAH 42.0671/USD.
As part of its 19th package of sanctions, the European Union will impose a ban on transactions with five Russian credit institutions from November 12: Alfa Bank, MTS Bank, Absolut Bank, Zemsky Bank, and NKO Istina, according to an EU statement.
In addition, Belarusian Alfa Bank, Sberbank, VTB, Belgazprombank, BelVEB, as well as VTB’s subsidiary in Kazakhstan and VTB’s branch in Shanghai have been added to the EU sanctions list.
BAN, BANK, BELARUS, EUROPEAN UNION, RUSSIAN FEDERATION, SANCTION, TRANSACTION
