The industrial output in January dropped by 21.3% yoy due to protracted military conflict in Donbas and weak demand.
Highlight: Unhealthy banks - IS THERE A HOPE FOR BANKING SYSTEM?
On the surface Ukraine until recently had vibrant banking sector. In the end of 2013 there were 179 active banks. Banking business was sufficiently exciting that 26 new banks were established in 2009-2013. Top 10 banks held 54% of banking system assets and Top-5 had 40%. This allowed for quite a lot of healthy competition. The banking sector managed to stay profitable for the second year in the row after several years of post-crisis losses. Non-performing loans (NPLs) were still high at 13% of gross loans but banks provisioned for most of related losses in previous years.
View the contents of the new issue of MEMU No.3 (173)
