Legal basis of the banking system in Ukraine

Abstract

In order to build a perfect legal foundation for the functioning of the banking system in Ukraine it is necessary to further improve it, to develop the fundamental and applied bases for its further strengthening, to eliminate the negative manifestations that take place in the modern banking practice. Many issues remain unresolved, including the protection of creditors’ rights, the improvement of bankruptcy, the effi ciency of the banking system and risk assessment methods, the state strategy for the development of the banking system, and so on. Specifi cation of profile legislation, standardization and unifi cation in accordance with the existing legal models of banking activity of developed countries of the world, thoughtful protectionist policy of state institutions will give a real impetus to the development of the banking structure of Ukraine and, as a result, return to it the confi dence of citizens, which, in turn, will defi nitely favor dynamics of the economic component. The article shows the place of the modern banking system in the economic dimension of Ukraine, defi nes the concept of “banking system” as one of the central, systemforming concepts of banking law, outlines several approaches to understanding such a concept, shows the structure of the banking system of Ukraine, its elements, outlines the main functions. Particular attention was focused on the state of the study of banking law in general and the banking system in particular, noted scientists - researchers and scientists - economists who have made a significant contribution to the study and determination of theoretical problems of banking law, in the knowledge and research of the legal foundations of the banking system in Ukraine, the development of practical recommendations on the introduction of new elements in the foundation of its strengthening and development. The role of the central bank of the country (National Bank of Ukraine) in the structure of the banking system is emphasized and its main function is defined in accordance with the existing structure of stable legal relations. This publication will allow to understand, first of all, what the banking system is, its structuring and functions in accordance with the current regulatory framework.