Ukrainian banks expect a credit boom: business and household demand is growing

The Ukrainian banking sector demonstrates positive expectations for further growth in lending to both businesses and households. Financial institutions predict an expansion in loan volumes in the next 12 months, and market indicators have reached their highest values ​​in the last decade.

This was reported by the press service of the National Bank of Ukraine based on the results of the “Survey on Bank Lending Conditions” for the first quarter. According to the data, the balance of forecasts for business lending growth has reached its highest level since 2015, which indicates a significant revival of lending activity.

About two-thirds of banking institutions plan to intensify lending to the population. This means that financial institutions expect further growth in demand for consumer and mortgage loans, and are also ready to expand their own loan portfolios.

On the business side, demand for hryvnia and long-term loans is growing due to the need for capital investments and replenishment of working capital. The number of approved loan applications for businesses has been increasing for four consecutive quarters, indicating a steady trend of business activity recovery.

Increased interest in credit products is also being recorded among the population. Demand for consumer loans has been growing continuously since the second quarter of 2023, and for mortgage loans since the beginning of 2025. Banks predict that this trend will continue in the future.

Financial institutions are already responding to increased demand by increasing the amounts and terms of consumer loans. At the same time, further easing of mortgage lending conditions is expected, and the level of approval of applications for households continues to increase, in particular in terms of loan volumes and duration.

Despite the intensification of lending, the debt burden of businesses remains at an average level, and that of households is low. At the same time, an increase in credit, operational, and currency risks is being recorded in the financial sector. However, banks generally maintain optimistic expectations and predict a further increase in demand for all major banking products.