KIEV, June 16 – Ukrainian banks have started cutting interest rates on deposits, representatives of credit and financial institutions told Interfax-Ukraine.

"Taking into account the stabilization of the financial market, interest rates on deposits have become too high. A trend for a gradual cut of deposit rates, the level of which is being brought in line with the value of resources, is being seen. By autumn, the rates for one-year deposits denominated in hryvnias, which exceed 19%, would fall by 2.5-3%, and rates in dollars that exceed 11% would fall by 1.5-2%," said the first deputy board chairman of Kiev-based Prominvestbank, Vyacheslav Yutkin.

"Today, inflation is so that it allows us to make the following forecast – rates [on deposits] will not grow. Inflation in May was 0.5%, and there are grounds for a slight fall in interest rates if inflation is under control," said the board chairman of Kiev-based Raiffeisen Bank Aval, Volodymyr Lavrenchuk.