Bankers forecast fall of deposit rates in 2014
Deposit rates of all categories of urgency will decline in 2014, the Independent Association of Banks of Ukraine (IABU) has said in its forecast published Wednesday.
“In early 2014, a gradual decline of rates on deposits of all categories is expected, as well as strengthening of key positive trends of 2013,” a statement reads. According to the experts, this will be promoted by stabilization of state finances and improvement of the balance of payments of Ukraine as a result of placement of Eurobonds at USD 15 billion, reduction of a price for gas and renewal of a number of productions oriented toward the Russian market. In addition, the analysts forecast strengthening of trends of the previous year in 2014: growth in the volumes of population's deposits and the increase of their average terms. According to the NBU statistics, over 10 months of 2013, total volume of household deposits grew by UAH 65.7 billion (+18% to the level of the beginning of the year) - UAH 435 billion. The prevailing majority (86%) of this growth was ensured by long-term deposits for the term of more than one year, which increased by UAH 56.3 billion. It is also peculiar that an inflow of the household funds to the banking system was by 94% formed at the expense of the hryvnia deposits, whose volume grew over this period by almost UAH 62 billion.