The National Bank of Ukraine (NBU) has declared VTB Bank (Kyiv) insolvent, according to the website of the central bank.
The corresponding decision was approved by NBU Board resolution No. 796-rsh/BT dated November 27, 2018.
“Due to the decrease in liquidity of JSC VTB Bank and the subsequent deterioration of its financial state during the last month, the NBU on November 13, 2018 declared VTB Bank insolvent. At the same time, the deadline was set for the financial institution to carry out activities to bring its operations in compliance with the requirements of the legislation. Due to the VTB Bank owners’ failure to take real steps to prevent insolvency, as well as due to a lack of adopted and realistic measures to improve liquidity, the NBU on November 27 decided to recognize VTB Bank insolvent,” the report says.
The Individuals’ Deposit Guaranteeing Fund has started the procedure of withdrawing PJSC VTB Bank from the market by introducing temporary administration for one month from November 28 to December 27, 2018.
According to the fund’s website, Yulia Zabolotna has been appointed temporary administrator of the credit institution.
The beginning and procedure of paying guaranteed amount to depositors will be announced additionally on the fund’s website.
According to the NBU, 97% of VTB Bank depositors (59,108 persons) will receive deposits in full, since their size does not exceed the guaranteed amount of UAH 200,000. Larger deposits will be reimbursed within the specified amount. The fund will provide the payment of a guaranteed amount for a total of UAH 942.7 million, while as of October 1, 2018 the amount of customer deposits on the bank’s balance sheet stood at UAH 3.676 billion.