PrivatBank’s related-party loans accounted for just 4.71% of its total loan portfolio in September 2016.
“Ukraine Bank Eludes Curbs” (Money & Investing, Oct. 6) contains an inaccurate third-party estimate about PrivatBank’s related-party lending. Using the National Bank of Ukraine’s own methodology, PrivatBank’s related-party loans accounted for just 4.71% of its total loan portfolio in September 2016. When applying International Financial Reporting Standards, related-party lending stood at 17.7% at the end of 2015, as confirmed by a PwC audit. It is nothing like the 40% quoted in the article. Furthermore, only half of our related-party loans concern PrivatBank directly, with the rest related to the companies of the shareholders. We endeavor to exceed the expectations of all valued customers, shareholders and regulators.
Read at The Wall Street Journal.