Andrey Olenchik predicts 10 banks will go bankrupt by 2015.

FGVFLThe risk group in Ukraine includes up to 10 banks – Deposit Guarantee Fund

Up to 10 banks in Ukraine are currently at risk, according to Andriy Olenchyk, Deputy Managing Director of the Deposit Guarantee Fund (DGF), who spoke to journalists in Kyiv on Thursday.

He did not rule out that individual financial institutions from this list could be declared insolvent before the end of this year.

A. Olenchik recalled that in 2014, 31 banks were declared insolvent.

“2015 will be no less fun,” predicts a representative of the Deposit Guarantee Fund.

He clarified that the fund's financial resources as of December 1 amounted to UAH 15,9 billion, including UAH 13,4 billion in government bonds. According to the Deputy Managing Director, the Deposit Guarantee Fund expects additional support from the National Bank in the near future in the amount of UAH 9,95 billion.

In addition, according to the Fund, UAH 7,5 billion has been received to date from the UAH 10,1 billion government loan (provided in government bonds).

According to the Fund, by the beginning of December, 163 banks were its members: the total amount of deposits of individuals in these banks was UAH 371,6 billion, including UAH 182,1 billion in national currency.

The average deposit size in the Fund’s member banks is UAH 8188: 99,3% of depositors’ deposits are covered by the guaranteed compensation amount (UAH 200).

The Fund also reported that, over the course of its operations, it has supported the withdrawal of 65 banks from the market: Currently, 16 banks are in the process of liquidation, and temporary administration is working at 17 financial institutions.

Moreover, over the entire period of its operation, the Fund has paid out over 19 billion UAH to 700 thousand depositors.

Regarding claims and litigation work, the Fund noted that the Fund has sent 316 complaints to law enforcement agencies totaling UAH 50,3 billion: this is the amount of damage inflicted on insolvent banks by the actions of their officials.

 

INTERFAX-Ukraine

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