OREANDA-NEWS. On 31 March 2009 was announced, that on 24 March the NBU set the temporary administration in the Bank of Regional Development (BRR). Meanwhile on 19 February the NBU provided UAH 80mn refinance loan to the BRR and appointed its curator to BRR. Note that the BRD is 12th bank where the NBU set its temporary administrations.

Millennium Capital sees the news to be NEGATIVE for the BRR, since it seems about bank’s inability to recover its financial stability only with the assistance of the NBU’s curator. In particular, it may mean that the bank was unable to stop the deposit withdrawals of the population, which took around 64% in the bank’s deposit portfolio, which further deteriorated the bank’s solvency. Meanwhile, the temporary administration will completely eliminate the deposit withdrawals.

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