Billion-Hryvnia Loans: Banks’ Contribution to Energy Recovery and State Support — V. Mudryi
Ukrainian banks are increasing financing for energy projects: within a year, billion-hryvnia loan portfolios have been formed, and the total capacity of new power generation facilities has reached over 705 MW. This was announced by Volodymyr Mudryi, Chairman of the Management Board of JSC OTP BANK and Chairman of the Board of the Independent Association of Banks of Ukraine, during the “Banking Market 2025” forum organized by Ekonomichna Pravda, the NABU Association with the support of Mastercard.
“We don’t just generate profits — we provide real support to the country. In particular, through financing energy projects. In June 2024, banks signed a Memorandum on lending for energy infrastructure recovery projects. As a result, loans worth UAH 18.2 billion have been issued, and the total capacity of generation financed through loans to businesses amounts to over 705 MW,” said V. Mudryi.
According to him, since mid-2023, bank loan portfolios have been growing by approximately 30% annually. Financial institutions are actively supporting small and medium-sized businesses, whose share in total lending has already exceeded 60%. At the same time, the volume of the state support program “Affordable Loans 5-7-9%” is gradually decreasing, which contributes to optimizing budget expenditures.
“Everything is relative: in Ukraine, the volume of lending is about 20% of GDP, while in Poland it is 33%, and in Hungary — 35%. It’s also important to consider the loan-to-deposit ratio: in Ukraine in 2024 — 53%, in Poland — 56%, in Turkey — 57%. Banks cannot allocate all liquidity to lending. To ensure growth in lending volumes, private business must develop, and account balances must increase,” added the Chairman of OTP BANK.
During his speech, V. Mudryi also mentioned the main challenges facing the banking sector: macroeconomic uncertainty, new conditions of global trade, adaptation to changes in international financial support, and the need for a full-fledged recovery of mortgage lending. According to him, financial institutions are introducing new tools to support the economy, forming consortia to finance large-scale projects, lowering rates, and increasingly switching to commercial financing. “We do this to support the state, businesses, and clients. Our task is to make loans accessible and beneficial for everyone,” emphasized the banker.
As a reminder, OTP BANK offers special support conditions for projects aimed at strengthening the energy independence of Ukrainian businesses. Co-financing programs with international partners allow enterprises to gain additional benefits in the form of partial cost compensation. There is also an opportunity to obtain loans under the state program “Affordable Loans 5-7-9%.” And if a company does not meet the criteria of the program, the Bank, within the framework of the Memorandum on financing energy infrastructure recovery projects, offers special conditions with a preferential rate.
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Public Joint Stock Company OTP Bank is a subsidiary of OTP Bank, which is the largest independent Central-Eastern-European banking group. JSC OTP Bank is one of the largest domestic banks, a recognized leader in the financial sector of Ukraine. The Bank provides a full range of financial services to corporate and private customers, as well as to small and medium enterprises. The bank entered the Ukrainian market in 1998, and since then it enjoys a staunch reputation of socially responsible, reliable and stable institution providing its consumers with services of European quality standard.
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