President of Ukraine Volodymyr Zelensky has made changes to the composition of the Council for Financial Stability of Ukraine, the website of the head of state has said.
In accordance with decree No. 60/2021 “On Amendments to the Regulations on the Financial Stability Council”, the Council includes the Deputy Head of the President’s Office, which is responsible for economic policy issues, as well as another Deputy Head of the National Bank of Ukraine (previously there was one deputy) who take part in its work on a voluntary basis.
Also, according to the new amendments, from now on, a meeting of the Council will be legally qualified if at least six members of the Council are present, including at least one representative from the National Bank of Ukraine and the Ministry of Finance of Ukraine.
In addition, decisions of the Council will be made by a qualified majority of votes of the members of the Council present at the meeting (at least five votes – if six members of the Council take part in the meeting, or at least six votes – if seven or eight members of the Council participate in the meeting).
It is noted that the decree comes into force on the day of its publication.
Financial stability in Ukraine will be kept even if the second wave of coronavirus disease (COVID-19) begins, and all major banks in the country will be able to survive it, Board Chairman of Raiffeisen Bank Aval Oleksandr Pysaruk has said.
“All major banks – systemic, large, medium – I am sure they will survive… Some of the small banks may suffer, but it will not affect anything… I don’t see any threat to financial stability,” he said in interview with Interfax-Ukraine.
According to Pysaruk, after the work that the National Bank of Ukraine (NBU) did to reform the banking sector, fairly stable banks have remained on the market.
“The Ukrainian banking system, like Ukraine as a whole, from the point of view of macroeconomic indicators has entered this crisis in better condition than at any moment in the past 30 years since independence… Largely thanks to the work of the NBU and the Ministry of Finance, by the way, with the IMF support,” he said.
He said that, according to the NBU Financial Stability Report, nine banks in the country may need additional capitalization, and two of them are state-owned. “Two well-known state-owned banks, which often lack capital, because their management quality is not good enough, the story is complicated. If they do not have enough capital again, the state will contribute it again,” he said.