CURRENT TRENDS IN THE STATE-OWNED BANKS’ DEVELOPMENT IN UKRAINE
Journal Title: Держава та регіони. Серія: Економіка та підприємництво - Year 2018, Vol 4, Issue 103
Abstract
The research outlines the main indices for determining the current state-owned banks’ development in Ukraine with special attention attracted to the period of 2016–2018. The analysis of the domestic stateowned banks’ current state at both macro and micro levels is carried out; the structure of the domestic banking system assets ownership is determined; it is found that the state-owned banks account for more than 55% of the domestic banking system assets. The paper analyses Oshchadbank, Ukreximbank, PrivatBank, and Ukrgasbank amount of capitalisation and the negative consequences of such funds’ raising for the country’s financial and budgetary systems. The structure of the state-owned banks’ resources in Ukraine is presented, which consists of the banks’ equity capital and liabilities. The article also represents the comparison of the domestic state-owned banks’ financial results and their influence on the performance of the entire national banking system (it is found out that in 2016 PrivatBank had the greatest losses during the modern history of the Ukrainian banking system existence). In addition, the current market share of the state-owned banks in the Ukrainian banking system is highlighted. The factors, which predetermine the state-owned banks’ low efficiency are singled out, among which are the following: a) involvement into the national political activities; b) financial support of the projects relevant for the state but non-profitable from the commercial point of view; c) outdated methods of the corporate management and financial instruments used for customer service. The approaches to determining the state-owned banks’ influence on the socio-economic development of the country are underlined; the importance of the banks’ continuous governmental monitoring is emphasised.
Authors and Affiliations
V. V. Ohorodnyk
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