Deposit policy of Ukrainian banks: current realities and prospects

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Deposit policy of banks is defined as an important component of the banking strategy, since banks operate mainly with attracted resources. Therefore, volume and quality of the resource base of banks determine their opportunities for lending and investment activity. An important component of the study is the impact of the National Bank of Ukraine on the deposit policy of commercial banking institutions in terms of interest rate policy and deposit insurance system, which needs to be improved. The author’s definition of the term “deposit program” is proposed, and a determining factor in a bank’s deposit program is that it is developed individually and is aimed at providing the required amount of attracted resources in order to maximally meet the needs of customers and taking into account the priorities of the bank. The prospects for improving the deposit policy of the banks are highlighted as providing marketing innovations is a prerequisite for ensuring competitiveness. They need to be implemented systematically and interconnected with other business processes, including introducing new types of accounts and modern channels for selling banking products. In particular, due to the pension reform in Ukraine, the non-state pension insurance system is developing, and opening of IRA for clients is a promising direction for attracting funds by commercial banks.

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    • Figure 1. Number of banks in Ukraine in 2013–2018
    • Figure 2. Amounts of liabilities and clients’ deposits in Ukrainian banks in 2015–2018
    • Figure 3. Change of the NBU discount rate in 2012–2018
    • Figure 4. Interest rate (mean) on deposits in UAH and USD in 2013–2018
    • Figure 5. Innovations in the bank’s marketing strategy