Ukraine's largest lender, state-owned PrivatBank, expects another year of strong expansion in corporate lending in 2026 as businesses continue investing in equipment, logistics and energy projects despite the challenges of the war, reported Ukraine Business News.

The bank's corporate loan portfolio grew by 29.6% in the first half of the year, and it expects growth to exceed 60% by the end of 2026, Yevgeny Zaigrayev, a member of PrivatBank's management board, said.

The forecast follows a similarly robust performance in 2025, when PrivatBank expanded its business lending portfolio by 62%, significantly outpacing the broader Ukrainian banking sector, where corporate lending increased by around 30%.

According to Zaigrayev, lending for investment projects and leasing, particularly among small and medium-sized enterprises (SMEs), rose by nearly 39% during the first six months of the year.

Businesses are primarily borrowing to purchase agricultural machinery, commercial vehicles and production equipment as they seek to modernise operations and maintain output under wartime conditions.

PrivatBank currently issues between UAH4bn and UAH14bn ($89-311bn) in new business loans each month, depending on the volume of financing provided to large corporate clients. Lending to SMEs typically accounts for UAH4-5bn of monthly disbursements.

Agriculture and food production remain the bank's largest corporate lending segment, reflecting the sector's central role in Ukraine's economy and export earnings.

Transport and logistics rank as the second-largest area of demand, followed by industrial companies, including businesses operating in the defence-industrial complex.

The bank is also seeing rising demand for financing related to the construction of logistics centres and warehouse facilities, reflecting efforts by companies to strengthen supply chains and expand storage capacity.

Energy projects have become another important area of lending. Businesses are increasingly seeking financing for electricity generation, battery energy storage systems, wind and solar power projects, as well as irrigation infrastructure aimed at improving agricultural resilience.

Ukraine's banking sector has remained well capitalised throughout the war, allowing lenders to gradually increase long-term financing as economic activity recovers. Analysts say growing investment lending is an encouraging indicator for the broader economy, as companies shift from short-term working capital borrowing towards projects intended to expand productive capacity and improve energy security amid continued uncertainty over the country's power infrastructure.