Fitch: Ukraine banks credit could improve

Fitch Ratings said the introduction of new regulatory capital requirements for Ukrainian banks is likely to lead to increased capital-raising activity and better liquidity management, resulting in potential improvements in banks' credit profiles.

However, in the short-term, some banks are likely to experience heightened pressure on regulatory capital adequacy ratios and may need to actively manage balance sheets to prevent breaches of minimum capital requirements, the agency said.

Fitch said in the short-term the resulting pressure on regulatory capital is likely to constrain growth at some banks and require more active balance sheet management, pending capital increases.

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