On October 2, 2015, upon the proposal of the Deposit Guarantee Fund, the National Bank of Ukraine issued Resolution No. 664 on withdrawal of the banking license and liquidation of Delta Bank JSC.
Delta Bank JSC was declared a problem bank in October 2014. On March 3, 2015, the National Bank of Ukraine adopted a decision on declaring this bank insolvent (Resolution No. 150 of March 2, 2015).
The main reason behind the decision to declare Delta Bank JSC insolvent was the failure by the bank owner to take timely, efficient and sufficient measures to improve the bank’s financial standing and bring its operations into conformity with applicable Ukrainian laws.
In view of the systemic importance of Delta Bank JSC, the Ministry of Finance of Ukraine and the National Bank of Ukraine have been engaged in comprehensive discussions over the bank's resolution plans and explored ways for the state to participate in its recapitalization. However, given the poor quality of the bank's assets, the regulator was compelled to approve the decision on declaring the bank insolvent.
For reference
As of October 5, 2015, 122 banks operate in Ukraine (excluding insolvent banks), including 39 banks with foreign capital.
During 2014 – 2015, the National Bank of Ukraine adopted 58 decisions to put banks into the category of “insolvent banks”, including 25 decisions made in 2015.
Over the aforementioned period, banking licenses have been revoked from 52 banks, in respect of which the winding-up proceedings have been launched. Among them, 33 licenses have been withdrawn in 2015. In addition, in 2015, it was decided to wind up another two banks (Bank Morskoy PJSC and BLACK SEA BANK FOR DEVELOPMENT AND RECONSTRUCTION PJSC), whose licenses were revoked in 2014.
In total, as of today, the category of insolvent banks comprises 8 banks, while 58 banks are under liquidation.