D.Sc. (Economics), Professor, Professor of the department of banking
Odesa National University of Economics, Ukraine in Odesa
8 Preobrazhenskaya Str., Odesa, 65082, Ukraine
kovalenko-6868@ukr.net
Sheludko Sergii
Ph.D. (Economics), Associate Professor, Project & Program Manager of the Department of Valuation and Collateral Operations,
Pivdenny Bank PJSCб
6/1 Krasnova Str., Odesa, 65059, Ukraine
e-mail: s.szeludko@gmail.com
CAPITAL ADEQUACY AS THE INDICATOR OF UKRAINIAN BANKS’ FINANCIAL STABILITY
Abstract. The paper determines that at the current stage of Ukrainian banks‘ functioning, an important problem is the improvement of the mechanisms for ensuring the adequacy of their capital as a key factor in the development of the strategy for financially sustainable development of the banking system in Ukraine. Crisis phenomena in recent decades have caused a resonance on global and national financial markets regarding the introduction of effective instruments for regulating the capital adequacy of banks. The structural and logical scheme of the analysis of the capital stability of banks is implemented in the following stages: the evolutionary study of international and national standards regarding the regulation of the capital adequacy; construction of the system of indicators characterizing a level of capital stability of banks; grouping of banks according to the level of their capital stability on the basis of clusterization; qualitative characteristics of the obtained clusters; determination of strategic directions for further capitalization of banks. The proposed structural and logical scheme was tested on the example of operating banks in Ukraine as of 01.12.2023. Its use made it possible to determine promising directions for further research in the field of bank capitalization management, e.g. making changes to the regulatory framework with the aim of stimulating investments in bank shares, in particular creating opportunities to determine the share exchange rate during M&A of banks on a market basis; implement measures to further improve the activity of the stock market, in particular, its transparency; implement a dividend policy aimed at ensuring high capitalization indicators of banks; to intensify the processes of reorganization of banks, in particular – of their associations based on merger, for which to provide tax benefits, simplification of organizational procedures.
Key words : bank; management; capital; capital adequacy of banks; economic regulations; cluster analysis; coefficient method; strategy; financial stability.
JEL classification: G21,G24, G29