Bank loan rates in Ukraine may decrease in 2024 after the NBU cuts its key policy rate in December. At the same time, deposit rates are not likely to change significantly. This was stated by NBU Deputy Chairman Sergiy Nikolaychuk, Interfax-Ukraine reports.

"We do not expect a significant reduction in deposit rates, especially for term deposits in hryvnia, given the incentives we provide to banks through our auxiliary instrument - three-month deposit certificates," he said.

Nikolaychuk explained that in the case of loans, interest rates depend mainly on the riskiness of borrowers, while in the corporate sector, the situation with borrowers' creditworthiness is improving, judging by the dynamics of non-performing loans and the effectiveness of state lending programs.

The NBU Deputy Chairman expressed hope that the reduction in credit rates will be due to a decrease in the risk premium.

"The NBU, together with its partners, is developing a lending development strategy, a significant part of which should be aimed at reducing the risk premium in credit rates, especially for the corporate sector. This is our priority medium-term task," added Nikolaychuk.