Abstract
The effect of factors hindering the transition of the domestic economy to sustainable development is analyzed. based on an objective assessment of its state after the fall in 2020. Among the most powerful factors hindering economic growth is the imperfection of the structural construction of domestic social production. It is characterized (compared to highly developed countries) by a significant share of the primary sector. This, combined with the policy of foreign trading partners to protect their markets from imports of high value-added products, gives the domestic economy a distinct raw material character. Thus, the state and its banking system face the issue of solving the complex problem of structural restructuring of the entire economic complex as the most important prerequisite for sustainable economic growth. The most justified way to fulfill this task is to significantly strengthen investment processes, which, combined with the innovation component, will allow Ukraine in the near future to take a decent place among the industrialized countries. One of the crucial areas of this task is to expand the process of lending to businesses by all financial institutions and, above all, by the banking system. The great importance of foreign direct investment for the Ukrainian economy is determined, as they are usually aimed at the use of new technologies and production of high-tech products. Important components of the Government's action plan to stimulate economic development based on the creation of favorable conditions for lending to small and medium-sized businesses in the country are considered. The reasons for insufficient efficiency of investment programs implementation are revealed. The shortcomings of the NBU's policy in its attempt to stimulate the expansion of the process of lending to the real sector of the economy by commercial banks have been revealed. The state and peculiarities of foreign direct investment movement for the last two years are analyzed. Based on the study, the need to introduce measures that can strengthen the influence of the banking system on the dynamics of economic growth is substantiated.
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