Financial and economic crisis and its impact on forming regional policy of development of banking system of Ukraine

Oksana I. Kopylyuk

Abstract


The effect of the financial crisis on banks in Ukraine and singled out factors, such as the gap between basic indicators in the domestic banking over a long time (the discrepancy between the terms of funding and allocation of resources by banks), significant "dollarization" of the given credits, significant amount of foreign currency consumer credits and inadequate personal income of individuals, inadequate capitalization of banks, non-compliance of certain regulations with the requirements of increasing the operational, financial and investment risks of banks, destabilized banks at national and regional levels, and resulted in losses. The analysis and evaluation of the efficiency of the regional banking system of Ukraine revealed the asymmetries and imbalances of its development and suggested the division into regions of high, medium and low concentration of institutions and capital. It is proved that the major problem of the banking system of Ukraine is its territorial unevenness accompanied by a high concentration of institutions and their capital within a region, especially in Kiev, where the concentration of capital is the largest. Directions of improvement of regional banking systems are as follows: analyzing and reforming the existing legal framework, developing recommendations for socio-economic and cultural development of the regions by means of distinguishing mechanisms of attracting potential banking institutions to the development of local communities and identification of priority areas to fund and allocate financial resources, meet the various development needs at the level of areas, study tools of effectively functioning regional banking systems and the development of regional policy for the banking sector, which is the strategy and tactics of forming and effective functioning of banking institutions of regions that interact with each other and with the environment, carry out resource support for economic, social, labor, political, legal and other relationships and satisfying innovation and investment needs of the regional economy.

Keywords


regional banks; regional development policy banks; deposits; credit; crisis performance

Full Text:

PDF

References


Voytenko, O.M. (2010). Banking crisis: the nature and features. Retrieved from http://www.rusnauka.com/7_NMIV_2010 [in Ukrainian].

Dzyublyuk, O. (2009). Monetary policy during the crisis in global financial markets. Visnyk of the National Bank of Ukraine, 5, 20-30 [in Ukrainian].

Druhov, O.O. (2006). Regional Policy of the banking system of Ukraine. The Bulletin of the Ukrainian Academy of Banking of the National Bank of Ukraine, 1 (20), 56-60 [in Ukrainian].

Gumanitarnye tehnologii: informacionno-analiticheskij portal (2014). KOF Index of Globalization. Retrieved from http://gtmarket.ru/ratings/kof-globalization-index/info [in Russian].

Leshchuk, V. (2012). The banking system of Ukraine in a globalizing world economy. The University of Banking of the National Bank of Ukraine Review, 1 (13), 136-139 [in Ukrainian].

Pantyelyeyeva, N.M. (2012). Trends in the banking business as a prerequisite for promotion of innovative activities of national banks. The University of Banking of the National Bank of Ukraine Review, 1 (13), 170-177 [in Ukrainian].

Fostyak, V.V. (2010). Current trends of concentration of capital banks Ukraine. In N.M. Pantyelyeyeva (Ed.), The banking system of Ukraine in conditions of globalization of financial markets (p. 90-92). Cherkassy: State Higher Educational Institution Banking University Cherkasy institute [in Ukrainian].

Khomutenko, L.I. & Honcharenko, T.P. (2011). The main features of transformation processes of financial space in globalization. In I. Dyakonova (Ed.), The collection of scientific works "Problems and development prospects of the banking system of Ukriane” (Vol.2, p. 81). Sumy: Ukrainian Academy Of Banking [in Ukrainian].

Shums'ka, S.S. (2010). The development of the global banking industry and the systemic crisis of 2008-2010. Economy and forecasting, 4, 39-61 [in Ukrainian].


Refbacks

  • There are currently no refbacks.