1. Why the Strategy Matters
“Banks are ready to lend—our task is to build the conditions.”
— Andriy Pyshnyi, Governor, National Bank of Ukraine
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War has frozen mortgage markets: high risks, damaged housing stock, and legal gaps.
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New framework seeks to revive lending: by capping risks, aligning with EU standards, and opening capital‑market funding channels.
2. Pillars of the Strategy
A. Risk Reduction
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Mass war‑risk insurance program to cover property damage and default exposure.
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Updated construction‑site oversight and escrow models to protect buyers.
B. Accessible & Transparent Lending
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Re‑tool state support schemes (e.g., concessional‑rate mortgages) to target first‑time buyers and veterans.
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EU‑style disclosure templates so borrowers compare offers easily.
C. Creditor‑Rights Protection
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Streamlined foreclosure and debt‑workout procedures to shrink non‑performing loans.
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Digital registry link between courts, banks, and credit bureaus.
D. Capital‑Market Funding
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Securitisation laws to let banks package and sell mortgage pools.
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Covered bonds framework for long‑term, low‑cost refinancing.
3. Implementation Roadmap
| Timeline | Lead Actors | Key Tasks |
|---|---|---|
| 2025 | NBU · Ministry of Finance | Finalise war‑risk insurance design; draft covered‑bond bill |
| H1 2026 | Verkhovna Rada | Pass construction‑escrow and securitisation legislation |
| H2 2026 | NBU · banks | Pilot affordable‑mortgage programme with insured loans |
| 2027+ | NSSMC · NBU | Launch covered‑bond market; scale securitisation |
4. Expected Outcomes
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Loan affordability: mortgage rates cut by 3–4 pp via risk sharing and market funding.
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Market depth: annual issuance could reach ₴150 billion by 2030—triple pre‑war levels.
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Housing supply: safer pre‑sale financing boosts new‑build volumes, easing price pressure.
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Investor confidence: structured finance and covered bonds attract pension funds and IFIs.
5. Next Steps for Stakeholders
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Lawmakers: fast‑track bills on securitisation, covered bonds, and construction warranties.
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Banks: upgrade risk‑management IT to integrate war‑risk coverage and EU disclosure templates.
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Developers: adopt escrow and warranty standards to qualify for insured mortgages.
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Donors & IFIs: co‑finance war‑risk pool and provide technical assistance.
Bottom Line: The Mortgage Development Strategy aims to reboot Ukraine’s housing finance by pairing war‑risk insurance with EU‑grade lending rules and capital‑market funding—laying the groundwork for widespread, affordable mortgages despite post‑war challenges.
