NBU extends bank refinancing window to 7 years

The National Bank of Ukraine approved of extending the period of prolonging loan refinancing at seven banks for up to seven years, in an order dated July 28, Interfax reported on Friday. The banks listed in the order were Nadra Bank, Bank Kyiv, Finance & Credit Bank, Ukrprombank, Rodovid Bank, Ukrgazbank and Imexbank. These banks will be allowed to secure refinancing at the NBU discount rate plus 0.5 pp. Andrii Parkhomenko: The move is definitely favorable for the banks, as refinancing at the NBU discount rate plus 0.5 pp is currently only 11.5% per annum – significantly lower than the rate at which banks could have attracted funds elsewhere.