Ukraine To Triple The Amount Of State-Guaranteed Deposits
The Deposit Guarantee Fund for Individuals (DGFI) can triple the amount of guaranteed deposits, however, provided that the government agrees to restructure the Fund's obligations.
As noted in the press service, the DGFI was forced to attract loans from the government and the NBU to pay depositors of insolvent banks. Today, the debt of the DGFI at par of bills to the government is 48.1 billion hryvnia, plus interest on these loans, which must be repaid by 2031.
According to a press release from the NBU, “the scenario supported by the Council will make it possible to move to an increase in the amount of state-guaranteed deposits to UAH 600,000 after the restructuring of the said debt obligations of the Fund. For the implementation of this recommendation, it is necessary to make appropriate amendments to the legislation, ”the message says.
As of January 1, 2020, the amount of individuals' deposits in banks participating in the Deposit Guarantee Fund amounted to UAH 474 billion, which is 8% more than a year ago.
According to the fund, deposits (up to UAH 200,000) of 98.4% of depositors in the fund's member banks are fully protected. In terms of the amount, 43.1% of deposits are fully covered by the fund's guarantees, which is UAH 204 billion.