World economy and international economic relations

The unification of national banking systems regulation in the EU countries: experience for Ukraine

Economic Annals-XXI

Economic Annals-ХХI: Volume 168, Issue 11-12, Pages: 14-17

Citation information:
Shuba, M. (2017). The unification of national banking systems regulation in the EU countries: experience for Ukraine. Economic Annals-XXI, 168(11-12), 14-17. doi: https://doi.org/10.21003/ea.V168-03

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Maryna Shuba
PhD (Economics),
Associate Professor,
V. N. Karazin Kharkiv National University
4 Svobody Sq., Kharkiv, 61022, Ukraine
marinashuba@karazin.ua
ORCID ID: https://orcid.org/0000-0003-2581-6914

The unification of national banking systems regulation in the EU countries: experience for Ukraine

Abstract. In order to prevent the emergence and spread of crises in the future, there is an undeniable need for reform of the regulatory and supervisory functions of state structures in the banking sector. This issue has already been the subject of many publications and discussions at various levels. However, no unitary decisions have been made, and recommendations of international economic and financial organisations, governments of individual countries and financial institutions are sometimes diametrically opposed. Thus, the purpose of the article is to investigate regulatory initiatives of the EU banking sector in terms of global financial instability and the possibility of their use in Ukraine. The need for state regulation of various spheres of society should be taken into account when developing recommendations for reforms of the regulation of national banking systems. In order to implement international standards of banking regulation in Ukraine, it is essential to adapt the Ukrainian standards to the regulation relevant to the national banking systems of EU member-states and the EU requirements of banking supervision. Despite some difficulties, the modern period of transition to international standards, the continued dialogue with regulators of the banking activity from the EU and the implementation of Basel III in Ukraine is an important and integral part of both the European and global integration processes for our country. At present, the banking sector in Ukraine is aligned with the Basel I and part of Basel II standards, the gradual implementation of which should be completed by 2020. The implementation of the Basel III standards in Ukraine are realised mainly by banks with foreign capital. Further studies of the regulation of the national banking system should be based on the EU experience in this area and focused on identification and implementation of effective mechanisms and tools to ensure strengthened and effective banking regulation and supervision in terms of the European integration of Ukraine.

Keywords: Bank; Banking Regulation; European Union; Basel Committee; Basel III; Financial System

JEL Classification: E58; F36

DOI: https://doi.org/10.21003/ea.V168-03

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Received 16.05.2017

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