By KYIV. May 10 (Interfax-Ukraine) – At its regular meeting on May 4, the Financial Stability Board (FSB) agreed on the concept of a new Strategy for the development of the financial sector, the development of which is provided for by the Memorandum on Economic and Financial Policy between Ukraine and the International Monetary Fund (IMF).
“Adoption of the strategy after all proposals have been worked out is scheduled for June,” the Finance Ministry said in a statement on Wednesday.
According to the ministry, the activities envisaged in the concept along the planning horizon are focused on two points: quick actions to stabilize and minimize the effects of war, and development, which provides for changes in the financial sector to lay the foundations for post-war recovery and the development of a new economy.
“The main goals of the updated strategy will be to ensure macroeconomic and financial stability, focus the financial system on the country’s recovery, modern financial services, and effective regulation of the financial sector,” the Finance Ministry said.
He pointed out that among the key elements of the strategy is an assessment of the stability of banks, launched at the end of April with 20 largest banks. Its results will determine how to safely wind down the emergency measures imposed in Ukraine in the first months of a full-scale invasion, and priorities for resolving non-performing loans.
The meeting participants also considered the results of the activities of the group for the development of the domestic debt market, which, a month after its creation, determined the priorities of its work and held a number of meetings with market participants – state-owned banks and subsidiaries of foreign banking groups.
“The dynamics in the sector indicates positive changes in the domestic debt market,” the Finance Ministry said, without going into other details.
The Financial Stability Board was established in March 2015 by decree of the President of Ukraine and is a forum for professional discussion of systemic risks that threaten the financial stability of the state.
