Analysts expect further profit growth of Ukrainian banks

The Ukrainian banks have accumulated sufficient funds for reimbursement of losses and be able to further increase profits. This is referred to in analytical review of company Foyil Securities. "According to the National Bank of Ukraine (NBU), in January and February, net income of Ukrainian banks was 205 million USD. For the first two months of the year net interest income of banks reached 9.1 billion USD, which according to experts, a 9% increase over the same period last year. Analysts note that the net fee and commission income and trading income also rose by 13% and 18% respectively over the same period last year. Provision for losses on loans decreased by 40% to $ 4.2 billion UAH. "Banking sector development is in line with our expectations. Most banks have already accumulated substantial reserves for losses on loans in 2009-2010, which now enables them to significantly reduce the relevant charges. Reducing payments to the reserve is a major cause of rising profitability of the sector, so We expect further revenue growth of Ukrainian banks by year's end, "- noted the director of the Department of analysts Foyil Securities Agshin Mirzazade.