Mykhailo Krupka

The financial equilibrium (“financial health”) of the enterprises is a prerequisite for their sustainable development, which ensures macroeconomic stability of the economy and the welfare of the state. It should be supported by the banking system, which performs the function of the effective reallocation of capital. Recently, the Ukrainian banking system itself is in a challenging situation and is undergoing a period of transformation. The purpose of the study is to assess how sufficiently the banking system of Ukraine supports the financial equilibrium of enterprises and to find the possibilities to strengthen its role in the progress of the real sector of economy. The authors single out three stages of financial equilibrium growth; each of them can be supported by the relevant banking services. The empirical analysis proves that the Ukrainian banks successfully ensure only the first stage, namely, liquidity balancing. To quantitatively assess the role of the banking system in supporting the enterprises’ financial equilibrium, a multivariate regression applying mathematical gnostic analysis in the program shell R Console is used. The research makes it possible to find out that only the economy monetization, the share of time deposits of economic entities and growth rate of mortgage loans have a positive effect. The authors conclude that the problems of both enterprises and the banking system are in the sphere of development and implementation of government economic policy and are aggravated by the restrictive monetary policy.

In Ukraine, card payment systems develop at a rate similar to that of modern digital payment instruments in most European countries.
The purpose of the paper is to establish interdependence and explain the nature of changing situations in the market of bank payment cards (BPC) taking into account the dynamics of economic development parameters in non-financial sectors of the Ukrainian economy.
The methodology of the study includes graphic methods analyzing the dynamics of economic development indicators and a method for analyzing the cause-and-effect relationship between the studied parameters considered with different lags.
Results showed that the most significant parameters for the development of the payment card infrastructure were the level of provision with POS terminals and the share of non-cash transactions. Their correlation with the economic development indicators reached 0.97. Up to the stage when the volume of non-cash payments by cards reached 5% of GDP, the impact of the BPC market on the change in the level of economic development had been insignificant according to the general idea. The development of the economy up to that point stimulated the development of the BPC market. Subsequently, the BPC market that was already sufficiently developed became one of the drivers aimed at the development of non-financial sectors of the Ukrainian economy after overcoming the 5% GDP level.

Dividend policy, as part of corporate governance, is largely dependent on the institutional environment in which companies operate. The study aims to determine factors affecting dividend policy in the conditions of the Ukrainian underdeveloped stock market, legal insecurity of minority shareholders, high cost and concentration of capital. For this purpose, hypotheses about the impact of a company’s financial state, size, business risk, and ownership structure on dividend payments were tested using a sample of 58 Ukrainian non-financial public joint-stock companies and applying Interactive tree classification techniques (C&RT). The resulting classification model for predicting dividend decisions correctly classifies 92.86% of companies that paid dividends and 93.3% of companies that did not. The findings, based on the classification tree and importance scale, prove the hypothesis that companies in which individuals and institutional investors have a controlling interest are more likely to pay dividends than other non-state companies. The financial indicators accurately classify only those firms that do not pay dividends, and business risk does not affect classification accuracy at all. The paper substantiates the ways of using the study findings for economic regulation, protection of minority shareholders’ rights, and proliferation of modern corporate governance practices.

The article examines the competitiveness of Ukrainian banks influenced by economy digitalization, the dynamic spread of electronic payments and e-commerce, as well as innovative technologies aimed at providing digital services. When shifting to an Online Platform business model, a bank can expand its range of banking products, attract more customers, thereby forming a competition policy and gaining competitive advantages. The paper aims to assess the digitalization level affecting the general competitiveness of banks and its components based on Ukrainian banks. For this purpose, the following methods were used: standardized input statistical indicators, comparison and ranking, a cluster analysis, and a regression and correlation analysis. The cluster analysis confirmed the current role of digitalization as a competition driver that determines the competitive advantages of banks and creates additional opportunities to expand the customer base and the range of services. The correlation and regression dependence of the competitive position identified by the activity indicators of certain banks on the level of competitive digitalization confirmed a close direct impact on the competitive position of personal deposits arising from the development of digital banking technology; the pre-tax income, profiles of assets and personal loans, and corporate deposits are subject to a significant direct impact, while the weakest direct impact determines corporate loans. The foregoing substantiates the feasibility of large-scale introduction of innovative digital technologies by banks to maintain competitive positions in the banking sector of the economy. Applying the proposed approach based on certain regression equations, managers of Ukrainian banks will be able to assess the efficiency and make appropriate decisions concerning investing in digital tools and services.

The russian aggression against Ukraine underscores the need to reassess regional strategies for digitalization and inclusivity. The study aims to identify strategies for enhancing these areas during wartime. Taxonomy and cluster and factor analysis methods have shown that regions with a higher level of digitalization have lower levels of poverty and unemployment. Specifically, regions in the top quartile of the digitalization index reported, on average, 12% lower unemployment rates compared to those in the bottom quartile. The analysis identifies distinct regional groupings: areas such as Zaporizhzhia, Kherson, Donetsk, and Luhansk are partially occupied and exhibiting low digitalization and inclusivity, in contrast with Mykolaiv and Kirovohrad that show moderate progress. Rural regions face a significant digital divide, with only 60% of rural households having stable internet access compared to 90% in urban areas. Factor analysis confirms that wartime conditions have accelerated digital transformation, evidenced by a 42% increase in Diia app usage from 2021 to 2023 and a rise in internet penetration from 62% in 2019 to 78% in 2023. Additionally, IT sector export revenues grew by 20% in 2022, and technology startups doubled between 2019 and 2023. The study proposes a strategic framework for regional adaptation: intensive digitalization and inclusivity for Zaporizhzhia, Kherson, Donetsk, and Luhansk regions; digitalization for Mykolaiv region; inclusivity for Kirovohrad and Zakarpattia regions; and balanced adaptation for Chernivtsi and Khmelnytskyi regions. Recommended measures include modernizing digital infrastructure, expanding educational opportunities, supporting startups, and aligning digital and social initiatives to foster regional resilience and development.