PrivatBank, Ukraine's largest state-owned bank, continues to actively finance the economy while introducing new modern products for its clients with the sharp growth in retail loan portfolio 5,9 bln UAH (+10%). The total bank's loan portfolio has grown by 2% since the beginning of the year, despite significant seasonal repayments in the agricultural business sector.

In the first quarter of 2024, PrivatBank's business performance, measured by interest and commission income, increased by 2% compared to 2023, excluding expenses for reserves and taxes. The net profit for the bank in the first quarter of 2024 amounted to 13.86 billion UAH. However, due to increased tax rates and changing macroeconomic trends both domestically and internationally, the bank's profit for the first quarter of the year was 14% lower than in the same period in 2023.

The partial release of reserves for loans, reflecting the high quality of the loan portfolio, positively impacted the results of the first quarter of 2024. However, reinvesting funds from repayments of FCY government bonds into longer-term bonds required additional reserves for these securities.

The devaluation of the Ukrainian hryvnia during the first quarter of 2024 resulted in a negative revaluation of the bank's currency position, which was offset by a positive revaluation of indexed government bonds. Overall, revaluations affected the results of the first quarter of 2024 by 1.4 billion UAH.