Cabinet capitalize the two state banks at UAH 10 billion
The government decided to recapitalize two state-owned Bank “Oschadbank“by 4.7 billion UAH, “Ukreximbank” – to UAH 5.4 billion.
The Ministry of Finance will issue sovereign bonds with a maturity of up to 15 years in exchange for Bank shares. Shares of additional issue of the “Ukreximbank” will be 9% per annum, “Oschadbank” – 5% per annum.
Recall that in early February this year, the Cabinet has taken a decision to recapitalize the two state banks. Then “Oshchadbank” allocated UAH 3.5 billion, “Ukreximbank” – 3 billion UAH.
After the nationalization of “PrivatBank”, the government became a monopolist in the Ukrainian banking market. Share of state banks in the net assets increased to 51.3% (from 28.1% in early 2016), on deposits of the population – almost three times, to 59.5%.