Deposit rates are on the rise: NBU data analysis

In July of this year, bank deposit rates increased. According to the National Bank of Ukraine (NBU), deposit rates for the hryvnia have been rising for a long time. Last month, the average rate increased by 0.7 percentage points and now stands at 14.9% per annum.

At the same time, the yield on foreign currency savings remained low, not even exceeding 1% over the course of the year. However, recent months have shown positive dynamics. The average rate has risen to 1% per annum. In July, this rate increased by 1 percentage point, reaching 1.2% per annum.

Total deposits in the banking system increased by 0.6%, reaching UAH 968.2 billion.

In July, Ukrainians showed a greater preference for deposits in the national currency. The volume of the hryvnia portfolio increased by UAH 6.7 billion (1%) to UAH 640 billion.

However, the volume of foreign currency deposits decreased by USD 30 million (0.3%), falling to USD 9 billion. Such dynamics indicate changes in consumer attitudes toward deposit types caused by possible changes in the economic environment and the banking sector.