Factors ensuring the stability of money circulation under martial law

Abstract

Introduction. The article examines the results of banks activities for 2023, their contribution to the stability of the economy during the period of full-scale aggression against Ukraine. Problematic issues of the institutional development of the banking system were raised, which must be urgently resolved for the economic recovery of the economy. Problem Statement. The analysis of approaches to the strategy of regulating money circulation in the country was carried out. Estimated data are presented that allow specialists to compare the financial results of clusters of banks: with the participation of the state in the capital, banks of foreign financial groups and banks with private capital. The purpose is to study the efficiency of banks with state participation in the capital in 2023, to compare the obtained results with the indicators of private sector banks, including those with the participation of foreign capital, and to formulate proposals for further institutional development and legislative support in conditions of increased requirements for financial security. Methods. General scientific and special methods are used: analysis, synthesis, grouping, description, comparison, theoretical generalization and abstract-logical. Results. The dynamics of changes in the resource base of banks at the expense of legal entities and individuals, as well as credit and investment portfolios in the context of macroeconomic policy, which influenced the development of banks in 2023, were analyzed. The importance of resuming government cooperation with international financial organizations in 2024 was emphasized. Conclusions. Institutional changes in the development of the banks with the participation of the state in the capital are proposed in order to increase the capitalization of this sector and to attract foreign capital to the market for direct investment in the banking sector. The article proves that the financial security of Ukraine should be based on a transparent management sector of banks with state participation in the capital, which should have a long-term development strategy along with a transparent mechanism for assessing the quality of management work.