---
title: "Credit boom in wartime: why Ukrainian businesses continue to borrow money"
description: "Ukraine has recorded a record 15-year growth in lending: the hryvnia portfolio is increasing by more than 30% annually. 📈 Businesses are actively borrowing for production modernization despite the war and a high refinancing rate of 15%. 💸 The NBU notes a historically low level of defaults."
date: 2026-06-29T11:28:00.000Z
lang: en
url: https://xab.info/en/posts/credit-boom-in-ukraine-lending-growth-by-30-en
tags: []
publisher: "XAB.info"
---

# Credit boom in wartime: why Ukrainian businesses continue to borrow money

![Historic building in Kyiv symbolizing resilience of Ukrainian business during war and growth in lending](https://xab.info/media/2026/06/29/kreditnyy-bum-v-ukraine-rost-kreditovaniya-na-30/kreditnyy-bum-v-ukraine-rost-kreditovaniya-na-30-1.webp)

Ukraine is witnessing an unprecedented economic phenomenon: the country is experiencing its longest period of credit growth in the last 15 years. According to the National Bank's new Financial Stability Report, the hryvnia credit portfolio has shown an annual increase of more than 30% for the past year. Acceleration is also observed in the segment of foreign currency loans.

Experts and regulators note a paradoxical situation: demand for borrowed funds from businesses remains high, despite economic slowdown and constant military risks. The banking sector, in turn, is not only not scaling back operations but is ready to lend to companies more actively. Financing conditions for small and medium-sized businesses have been easing for the fourth quarter in a row.

### Investments in recovery instead of working capital

The structure of lending is undergoing changes: banks are increasingly providing funds for long-term periods. If loans were often taken out previously to support current operations, now a significant portion of financing is directed towards strategic goals. The main drivers of demand remain not only the need for working capital but also investments in the recovery and modernization of production.

According to enterprise surveys, 35% of respondents expect a need for new loans in the near future. This is 3 percentage points higher than in the previous quarter, indicating growing business confidence in the need to expand or update assets.

### Factors of stability and portfolio quality

The regulator links this steady growth to several key factors. First, there is high demand from businesses. Second, the availability of bank loans has improved. Third, companies are demonstrating financial stability: they are increasingly able to attract financing on market terms without the need for state subsidies.

The NBU also emphasizes the high quality of the credit portfolio. The share of defaults remains at a historically low level, and the debt burden of borrowers is assessed as acceptable. Banks continue to successfully resolve problem loans, which reduces systemic risks for the financial system.

### NBU policy and external threats

Despite active credit growth, monetary policy remains tight. The NBU's refinancing rate remains unchanged: in June, the regulator fixed it at 15% per annum for the third time. The reason for this pause, according to the National Bank, is the need to mitigate risks from the conflict in the Middle East and neutralize threats due to insufficient external financing.

Thus, the Ukrainian financial sector demonstrates the ability to adapt to difficult conditions, providing businesses with resources for recovery even in the face of high interest rates and geopolitical instability.