NBU shows how much net profit banks made since the beginning of the year.

Profit of Ukrainian banks in 2024 amounted to 118 billion UAH

Expenses increased, but solvent banks of Ukraine managed to receive significant net profit in 2024. In the first three quarters of the year, solvent banks earned 118 billion UAH, as stated in the National Bank's announcement.

The main sources of income were the increase in lending volumes and investments in government securities. This allowed banks to maintain a high net interest margin and a high operational efficiency. In addition, due to the high quality of the loan portfolio, the level of provisions for credit risks remained low.

According to the NBU data, only eight small banks out of 62 solvent ones were unprofitable in the nine-month period of 2024. The total amount of losses was 342 million UAH. This is mainly due to inefficient business models and problems faced by these institutions.

Thanks to the improvement in financial results, banks also increased the amounts of income tax accrued. In the first nine months of the year, these taxes amounted to 35 billion UAH.

At the same Time, the return on equity of banks in the first nine months of 2024 decreased to 45.8% compared to 56.9% in the previous year. However, with the enactment of the law providing for a 50% tax on banks' profits in 2024, the return on equity in the sector will decrease to about 30%.

It is worth noting that in 2023, banks earned 82.8 billion UAH net profit after paying 76.2 billion UAH of income tax at an increased rate of 50%.