OREANDA-NEWS. March 10, 2010. On 9 March 2010, the NBU decreased the interest rates on both its secured loans (from 15.5% to 12.5%) and unsecured loans (from 17.0% to 13.5%). Meanwhile, the NBU discount rate remained unchanged at the previous level (10.25%).

Millennium Capital sees the news to be positive for commercial banks, since a decrease in the cost of NBU funds will enable them to reduce both their deposits and loans interest rates. According to Millennium Capital’s estimation, this is to reduce the average loans interest rates of commercial banks to around 20% in 3Q-4Q10.