The National Bank of Ukraine (NBU) has announced that it will restrict credit unions ‘Svit’ and ‘Zakhyst’ from offering certain financial services until the end of 2025. This decision follows the NBU’s determination that the two institutions have not met prudential standards. The restrictions are part of the NBU’s efforts to enforce regulatory compliance and maintain financial stability within the country.
The NBU’s decision comes as part of its ongoing efforts to strengthen the financial sector and protect depositors. The prudential standards that the credit unions failed to meet include requirements related to capital adequacy, liquidity, and risk management. The NBU has stated that it will monitor the situation closely and may take further action if the credit unions do not improve their compliance.
The restrictions on ‘Svit’ and ‘Zakhyst’ are expected to have a limited impact on the broader financial market in Ukraine. However, the move is seen as a signal of the NBU’s commitment to regulatory oversight. The central bank has also emphasized that it will continue to support the development of the financial sector while ensuring that all institutions operate within the required legal and regulatory framework.