AUB: Approximation refinancing rates to reduce interest rates and loan rates

The Association of Ukrainian Banks supports the initiative of the National Bank of Ukraine (NBU) on the approximation of refinancing rates to interest rates. This was stated by the President of AUB Alexander Sugonyako, the press service department. According to him, such actions will help reduce the cost of banks, and subsequently have a positive impact on reduction of interest rates on loans. However, the Association noted that it is now talking about a direct correlation between interest rates on banks' operations with the National Bank refinancing rate it is too early. Significant volumes of refinance to banks under the National Bank provided the stabilization program in order to maintain liquidity and solvency of banks. Under such conditions, these volumes are refinancing can not be regarded as a source of credit. In addition, banks' access to refinancing the NBU is still limited, and therefore the rate of refinancing may not play a decisive role in shaping the market rates to attract resources.