The authorized capital of PJSC Ukrainian Financial Housing Company (Ukrfinzhytlo) has been increased by UAH 20 billion by issuing internal state loan bonds (ISLBs) in exchange for shares of the company’s additional share issue, Deputy Prime Minister and Economy Minister Yuliya Sviridenko has said.
“The additional capitalization means that Ukrfinzhytlo will be able to continue to raise funds on the financial market to continue the work of eOseli and issue new tranches to partner banks. Accordingly, the partner banks will have the resource to issue new loans to Ukrainians for the purchase of housing”, – explained Deputy Prime Minister on Facebook on Tuesday.
According to her data, at the end of 2024 within the framework of the program “eOsela” was issued 8.5 thousand loans for 14.6 billion UAH, which is 65% more than in pre-war 2021, when banks issued mortgages for 8.9 billion UAH.
As Sviridenko pointed out, eOselia has become a factor in increasing demand for construction materials: their production in the first half of 2024 increased by 37.1%.
“Our goal is to move to the primary market to further enhance the economic effect. This year, the share of mortgages in the primary market has already doubled. The program also contributes to detenization – this year developers paid 2.2 times more taxes than in the same period in 2023 – UAH 1.6 billion in the first half of 2024,” she said.
In the structure of loans issued at 3%, more than half of mortgages fell on the military and security forces (55%, 8.1 thousand loans), 8.3% – teachers (1.2 thousand), 8.2% – medics (1.2 thousand), 2% – scientists (313 loans).
Loans at 7% were most often taken by Ukrainians who do not have their own homes (22%, 3.2 thousand loans), internally displaced persons (2.3%, 340 loans) and veterans (2%, 324 loans).
The leaders in the number of loans issued at the end of the year were Kyiv region (4 thousand loans), Kyiv (2.9 thousand), Lviv region (890), as well as Odessa (711), Vinnitsa (666), Ivano-Frankivsk (630).
According to the report, the average amount of the loan amounted to UAH 1.6 million, with the first installment on average – UAH 615 thousand. The average cost of purchased real estate – UAH 2.2 million, and its average area – 56.9 square meters. m.
As previously reported, earlier the Cabinet of Ministers instructed the Ministry of Finance to increase the authorized capital of Ukrfinzhytlo in order to increase the authorized capital of Ukrfinzhytlo by the end of 2024 issue of government bonds in exchange for shares of additional issue of PJSC in the total amount of UAH 20 billion.
According to the information on the website of the Cabinet of Ministers, UAH 10 billion of them – with the circulation term of 10 years and the rate of return at the level of 12.6% per annum and the coupon period of one year, UAH 5 billion – with the circulation term of 5 years and the rate of return at the level of 15.84% per annum and the coupon period of six months and the same amount with the circulation term of 4 years and the rate of return at the level of 16.35% per annum and the coupon period of six months.
The state program of affordable mortgage lending “eOselia” has been operating in Ukraine since October 2022. For a preferential mortgage at 3% per annum for up to 20 years with a down payment of 20% of the cost of housing can be claimed by contract servicemen of the AFU, security and defense sector workers, medical workers, teachers, researchers.
From August 1, 2023, war veterans, combatants, internally displaced persons (IDPs) and citizens who do not have their own housing above the normative area can apply for participation in the program at 7%.
The program involves 11 partner banks: state-owned Oshchadbank, PrivatBank, Ukrgasbank, Sens Bank, as well as MTB Bank, Tascombank, Globus Bank, Sky Bank, Credit Dnipro Bank, BISBANK and Radabank.
