Banking sector loans, deposits slow in June

Макроэкономика 12.07.2012 Ukrainian banking sector deposits added 1.2% mom in June, according to the National Bank of Ukraine. In yoy terms, deposits decelerated from 11.3% yoy in May to 9.4% yoy in June. The system’s aggregate loan portfolio grew 0.4% mom in June solely on corporate facilities. Retail loans continue to shrink: 1.2% mom and 9.1% yoy. Banking sector loans and deposits, USD bln ------------------------------------------ June 2012 mom yoy ------------------------------------------ Total loans 99.3 0.4% 3.5% corporate loans 76.2 0.9% 8.1% retail loans 23.2 -1.2% -9.1% Total deposits 63.3 1.2% 9.4% corporate deposits 20.9 0.3% 1.9% retail deposits 42.4 1.6% 13.5% ------------------------------------------ Source: NBU Olena Zuikova: Weak YTD banking data was expected due to liquidity problems in the sector and the uncertain macro environment. We do not expect a turnaround in 2H12 and keep our full-year 2012 projections of 5% growth for the aggregate loan portfolio and 11% for deposits.