Non-bank Institutions Research Articles

Платіжні системи в Україні та ризики їх функціонування

The article is aimed at defining the main aspects of the development of the current state of electronic payment systems in Ukraine and generalizing the main risks of violation of their functioning. The carried out research systematized information on the functioning of payment systems (both internal and international) and forms of payments in Ukraine (cash, non-cash – electronic). Among more than 80 domestic and international payment systems created by banks and non-bank institutions, the National Bank of Ukraine defines the following categories of importance of payment systems in Ukraine in order to ensure their continuous and stable functioning – systemically important, socially important and important. It is determined that in Ukraine at the legislative level, taking into account world trends, the payment infrastructure is being actively modernized, especially in the direction of protection of the rights of financial services consumers in the online space. Along with the advent of new technologies of electronic banking, opportunities to diversify the product range of remote services, atypical threats to traditional banking activities of both the internal and the external nature arise. The research systematizes the key risks inherent in functioning payment systems: legal, financial (total commercial risk, liquidity risk, commercial risk), settlement, operating, systemic. It is determined that the main risk in the banking and non-banking sectors is operational risk – the risk of loss of profit due to errors in the implementation of daily routine financial transactions. Prospects for further research in this direction are to find and implement effective mechanisms for minimizing or preventing risks of electronic payment systems.

КОНЦЕПТУАЛЬНІ ПОЛОЖЕННЯ ДОСЛІДЖЕННЯ ТРАНСФОРМАЦІЇ ФІНАНСОВОЇ ПОВЕДІНКИ ДОМОГОСПОДАРСТВ В УМОВАХ ДИДЖИТАЛІЗАЦІЇ РИНКУ ФІНАНСОВИХ ПОСЛУГ

In modern conditions, the financial services market is actively developing and transforming taking into account the impact of complex information and digital technologies. The active use of such innovations by financial institutions gradually changes the established model of providing services to economic entities, including households. Moreover, the introduction of the outlined technologies affects the model of financial behavior of consumers of banking and non-banking institutions, changes the process of interaction between them and producers of financial services. Accordingly, the outlined situation actualizes the issues of research of such behavior, the features of formation of its modern model in the conditions of digitalization of the financial services market. At the same time, development and study require not only theoretical and applied aspects of ensuring the formation of the optimal model of financial behavior of households, taking into account the impact of digital technologies on financial services, but also methodological ones. Within the article, conceptual provisions for the study of the transformation of financial behavior of households as a result of the impact of digital technologies are analyzed and studied. In particular, the essence of the financial services market, the main changes that occur within it in the context of the digital economy are considered. Methodological problems of the cognition of financial behavior of households are also singled out and analyzed on this basis, two aspects of the cognition of models of such behavior are singled out, namely: static and dynamic; their essence is considered. The use of the methodology of the process approach allowed to develop the concept of the RCPS methodology for the implementation of the study of the digitalization impact on the transformation of household behavior within this market. The essence of this technique is to identify and study the effects of certain types of digital technologies used today by financial institutions in providing services to their customers, within certain stages of forming the models of this behavior. In particular, the content of the following main stages is singled out and described: reflection (R - reflection); choice (C - choice); purchase (P-purchase); service (S-service).

Особливості новітніх способів відмивання грошей з використанням фінансових установ

Activities to counter laundering the money, obtained by criminal means, require constant monitoring of the market, monitoring the activities of financial and non-financial institutions in order to prevent capital loss and financing of terrorism, as methods of money laundering are gaining new features every year. The article is aimed at systematizing the latest money laundering schemes appearing in the financial market and developing measures to prevent the implementation of such schemes through financial institutions. An analysis of data by the State Financial Monitoring Service of Ukraine (SFMS) on the number of detected suspicious financial operations showed that the large majority of reports concerning such operations comes from banks. In view of this, the role of banks in countering the legalization of criminal income in Ukraine remains decisive today. The expansion of the range of financial instruments led to the emergence of new money laundering schemes. Such schemes can be based on P2P technologies, implemented through crowdfunding platforms, in particular through crowdinvestment. The authors also focused on the possibilities of using cryptocurrencies and online gambling tools for the purposes of legalizing criminal revenues. The peculiarities of applying the risk-oriented approach in the process of due diligent verification of clients of financial institutions and the operations they carry out, as well as the list of threats to financial institutions in case of their joining the money laundering activities, are determined. Such threats are manifested in reputational and legal aspects, and in the future inevitably lead to financial losses. The use of the latest technologies for the legalization of criminal income requires banks and non-bank institutions to improve the software used to detect and register suspicious transactions, improve cybersecurity, as well as maintain a high level of qualification of employees. The State own regulators should ensure proper control over the activities of highly risky financial infrastructure entities, as well as raise public awareness of the risks and consequences of criminal capital legalization.

MODERN CONDITION AND ROLE OF MICROFINANCE ORGANIZATIONS (ON THE EXAMPLE OF GEORGIA)

The financial companies have hold an important position in the Georgian financial industry, and for this reason, their regulation is an essential issue, which should continue at least in the same manner. In the developed countries the non-bank sector plays an important role in the development of financial sector as well as the whole economy, which we cannot say about Georgia, due to the obvious dominance of commercial banks in the country. The aim of our study is to identify the role of microfinance organizations in the financial system of Georgia, and also to show the current state of this market segment. The article is based on the newest references and rich factual materials. The object of the research is microfinance organizations and the degree of their regulation by the state. The National Bank of Georgia has a full authority to supervise the work of commercial banks, non-bank deposit institutions, microfinance organizations and other organizations, envisaged by the law. The majority of the institutions with microfinance organization status, registered at the National Bank of Georgia, are consumer finance companies with their content. Their work is absolutely legitimate, however, the issuance of the loans are based not on the customer’s finance analysis, but the evaluation of a subject or property, presented for the loan insurance, and the funds are not directed to finance the business, but for the customer’s needs. The financial companies have hold important position in the Georgian financial industry, and for this reason, their regulation is an essential issue, which should continue at least in the same manner. It is problematic that currently many financial companies, pawnshops, internet-lenders or private individuals that are left beyond regulations. There is no guarantee the customers› rights will be protected when the work of the financial intermediaries is not regulated. Such circumstances create a threat to the spread of predatory lending practices in the market, the victim of which becomes the unaware customer. The results show that it is important to take more active steps on the part of supervisory organizations to develop the segment of microfinance organizations, so as not to reduce their role and importance in the financial system.

Trust and Commitment Toward Mobile Payment Platform

With the rapid growth of online technology in financial services, Mobile Payment has becomepopular in recent years. Many studies have investigated financial innovations based oninformation and communication technology (ICT) in bank institutions. Specifically, this studyis important to explore the use of Mobile Payment provided by non-bank institutions. Thisstudy focuses on trust and commitment to improving their continuous usage intention ofMobile Payment. We argue that the advantages of Mobile Payment (Mobility, Customization,Security, and Reputation) contribute to trust and commitment. The findings of this studyillustrate that the Mobile Payment reputation has a positive effect on trust. Trust is mediatedby commitment has a positive influence on continuance intention. This study recommends thatthe topic of research needs to be explored more in order to understand and develop marketingstrategies for Mobile Payment users.

Impact of Strategic Relationship Marketing on the Performance of Banks in Nigeria

The increasing patronage of non-bank institutions by customers exerts marketing pressure on the Nigerian commercial banks. Existing studies have not adequately addressed the gap created by this paradigm shift, hence the call for business philosophy that focuses on strategic relationship marketing (SRM) approach with the customers. Therefore, this study examines the influence of the SRM dimensions on customer retention of banks in Nigeria. The sample comprised 1500 commercial bank customers and marketing officers from 300 bank branches in Nigeria. Structured questionnaires were administered for data collection. Hierarchical regression model was fitted to the data collected. The findings revealed that strategic relationship marketing dimensions could lead to increased customer retention with adequate implementation of relationship acquisition strategy, and retention strategy. Further, inclusion of banking industry alignment strategy would make the banks to benefit maximally through customer linkage and also cause an optimal compensation or remedial system. The findings stressed the need for relationship acquisition, relationship maintenance and retention strategy as the strategic marketing tool to enhance customer retention of the banks. Keywords: strategic relationship, marketing, customer retention, banking industry alignment, banks DOI: 10.7176/JMCR/74-03 Publication date: December 31 st 2020

COMMANDITER FELLOWSHIP IN COMMERCIAL LAW

Economic activity in the country of Indonesia experienced very rapid development. This can cause the emergence of a problem that exists in the community. Vice versa, a legal entity in carrying out its business activities also requires money. One of the business entities is Commander Association. A Commander Association is a form of business that is not a legal entity. A Commander Association in carrying out its business activities gets capital through loans from banking institutions and from non-banking institutions with a certain guarantee. This journal is written using a normative juridical method because this journal uses secondary data that is used as a tool to collect data. Therefore, the journal that is written will explain about a Commissioner Alliance in commercial law. The main problem in this journal is more focused on explaining the meaning of business entity, forms of business entity, understanding of Communist Alliance, process of establishing Communist Fellowship, responsibility of allied parties of Commander Association, forms of Commander Association, legal status of Commissioner Alliance, and dissolution process of Commissioner Alliance. This is because there is no legal rule that specifically regulates a form of business entity in the form of the Commander Association.

Intellectual capital components and its relationship to Microfinance institutions’ performance

In a majority of banking and non-banking institutions, intellectual capital (IC) is one of the prominent factors that contributes to the development of knowledge-based economy and increase in competitiveness. However, there is an ambiguity in whether a firm’s precious resources could guarantee the success of new strategies. Thus, this study was undertaken to examine the significant effect of intellectual capital on the performance of MFIs. This study also examined whether the MFIs specification could have a moderating effect on the relationship between intellectual capital and MFIs’ performance. The current study used the PLS-SEM to analyze the research model and found that it explains 43.6 % of the substantial amount of variance in the performance of MFIs. Theoretically, the study extends the resource-based view (RBV) in projecting the MFIs’ performance. The empirical results show that there is a significant relationship between IC and MFIs’ performance for both banking and non-banking MFIs.

Public finance during the reign of Catherine the Great

Subject. We study the main directions and special aspects of the monetary system development during the reign of Catherine II. We discuss the monetary reform associated with the introduction of bank notes and the emergence of the banking system, as well as the creation of new financial systems. Objectives. We focus on identifying the economic reasons that propelled Catherine the Great to use a new instrument of State regulation of the financial system, on showing how the creation of the banking system, still within the conditions of serfdom, acquired its own specifics. Methods. We apply the logical, historical and diachronous approaches, economic research methods. We also use the principles of historical method, dialectics, the method of scientific abstraction and analysis, which determine the foundations of the financial reforms of Catherine the Great. Results. We revealed the role of creating the banking system and non-banking institutions during the second half of the eighteenth century, classified their types and goals, determined the main characteristics of paper money. The monetary reform of Catherine the Great, which created favorable conditions for external borrowings, ensured the recovery of public finance in general. Conclusions. The study concludes on important role of State regulation in the development of financial infrastructure, on the need to use the experience in the modern practice of private enterprise development and capital accumulation. The findings can be used in lectures and seminars for basic courses, like History of Finance and Economic History.

Determinants of Access to Credit: Evidence from a Fragile Conflict-Affected Setting

This paper investigates factors that affect microentrepreneurs’ access to credit in a conflict-affected setting. Specifically, the paper focuses on the effects of loan officer, and the loan-co-insurer, a creditworthiness criterion required of borrowers who lack the physical assets needed as collateral for loan qualification. Using data from a quasiexperiment of microentrepreneurs in Liberia, the paper finds that loan officers and the loan-co-insurer criterion have negative effects on access to credit from a microfinance bank, but positive effects on access to credit from nonbank microfinance institution. Although more evidence would be required in order to generalize these results, the negative effect of the loan-co-insurer is contrary to the predominant argument of the microfinance literature about the effectiveness of social guarantees on access to credit.

Bancassurance as a form of effective cooperation between banks and insurance companies

At the present stage of financial market development, the needs of individual clients are constantly growing. Competition in the market of traditional services between banks, as well as between banks and non-banking institutions is intensifying. With this in mind, banks must constantly work to diversify their sources of income, develop new services for the banking system; as a result, there are products of cooperation such as bancassurance. However, the level of their development is quite low, which requires appropriate research and generalization of their results in order to develop appropriate recommendations to improve the efficiency and further development of this type of cooperation. The leader in the provision of parabanking services in Ukraine is the insurance market, but its level of development is much lower than in foreign countries. The combination of banking and insurance services is one way to maintain and even increase the number of customers and assets. The interaction of banks and insurance companies can take various forms, including bank insurance and the provision of banking services to insurance companies – placement of funds, settlement services and others. The article examines the emergence of the concept of bancassurance, as a relatively new type of interaction between banks and insurance companies. The formation of such cooperation in Ukraine took place during three main stages. The main advantages of bancassurance singled out separately for insurance companies, for banks and for the clients themselves – consumers of financial services. An analysis made in terms of five banks in the Ukrainian financial market, and the most relevant insurance products they offer and with which companies work closely selected. The study found that in the insurance market of Ukraine, the dynamics of net insurance premiums and payments tends to increase. Insurance companies through the sale of services in banking institutions receive about a third of income. For the purpose of generalization, a SWOT analysis of bancassurance presented, with a clear identification of advantages, disadvantages and opportunities for further development in the Ukrainian financial market. It is determined that bancassurance has many advantages and potential opportunities for further improvement and expansion within Ukraine, while the shortcomings and threats are based on the existing shortcomings of the domestic financial market.

Concentração e Competição no Mercado de Crédito Doméstico

RESUMO Contexto: o mercado financeiro tem vivenciado acentuadas reestruturações e concentrações nas últimas décadas. À medida que os bancos expandem o escopo de suas atividades, levantam preocupações quanto ao impacto sobre a competitividade do setor. Se as características da indústria financeira, que colaboram para tornar o setor mais concentrado, podem torná-la menos competitiva, implica avaliar a relação entre concentração e concorrência. Objetivo: o objetivo geral deste estudo consiste em promover diagnóstico da organização do mercado de crédito nacional mediante cálculo e análise de indicadores de concentração e de competição, entre 2000 e 2019. Métodos: para mensurar a concentração, são utilizados os índices de Herfindahl-Hirschman e a Razão de Concentração dos Cinco Maiores. O grau de competição é estimado via modelo econométrico de Lerner aplicado a dados dispostos em um painel com informações contábeis-financeiras de instituições financeiras. Resultados: os resultados sugerem que embora a concentração tenha se elevado no recorte temporal considerado, a competitividade não se deteriorou, reforçando o argumento de referências seminais de que concentração não necessariamente prejudica competição. Conclusão: diante de ausência de consenso acadêmico, este trabalho elucida a relação entre concentração e competitividade. Ainda, ganha relevância ao apontar o papel da regulação e das cooperativas de crédito no aumento da concorrência recente. O trabalho torna-se, assim, passível de apoiar políticas capazes de promover a contestabilidade, como iniciativas que flexibilizem restrições à entrada de instituições não bancárias e de empresas de tecnologia financeira.

KOLABORASI LEMBAGA KEUANGAN, PEMERINTAH DAN PERUSAHAAN DALAM MENINGKATKAN PERAN KOPERASI KARYAWAN INDUSTRI SEBAGAI ALTERNATIF SOLUSI DALAM PEMBANGUNAN SEKTOR EKONOMI INDONESIA

KOLABORASI LEMBAGA KEUANGAN, PEMERINTAH DAN PERUSAHAAN DALAM MENINGKATKAN PERAN KOPERASI KARYAWAN INDUSTRI SEBAGAI ALTERNATIF SOLUSI DALAM PEMBANGUNAN SEKTOR EKONOMI INDONESIA

Wanprestasi yang Dilakukan oleh Pihak Debitur Pelaksanaan Perjanjian Kredit Pada Koperasi Dana Rahayu

Untuk meningkatkan kesejahteraan masyarakat, salah satu lembaga non perbankan yaitu koperasi memfasilitasi pinjaman kredit untuk kebutuhan hidup masyarakat. Tujuannya yakni guna memberi sarana penyalur pinjaman atau kredit diperuntukan masyarakat diperioritaskan serta orang-orang pada umumnya. Tetapi nyatanya, makin mudah diberikan jasa kredit pada masyarakat, cenderung jadi permasalahan didalam pembayaran kredit terkait. Misalnya wanprestasi yang dilakukan oleh masyarakat karena tidak melaksanakan perjanjian yang telah disepakati. Oleh karena itu penulis tertarik untuk melakukan penelitian dengan rumusan masalah 1). Apa penyebab terjadinya wanprestasi oleh pihak debitur di dalam pelaksanaan perjanjian kredit pada Koperasi Dana Rahayu ? 2). Bagaimanakah cara penyelesaian wanprestasi oleh pihak debitur pada Koperasi Dana Rahayu? Metode penelitian yang digunakan adalah metode penelitian empiris. Debitur bisa disebut bertindak wanprestasi jika debitur tak melaksanakan yang disanggupi akan dilakukannya, melaksanakan tapi tidak sebagaimana dijanjikan, melakukan apa yang dijanjikan tetapi terlambat, melaksanakan sesuatu menurut perjanjian tak boleh dilakukan. Penyebab terjadinya wanprestasi di Koperasi Dana Rahayu dikarenakan debitur tidak membayar tunggakan selama satu tahun sembilan bulan seperti yang sudah diperjanjikan dalam perjanjian kredit. Dalam Keputusan Pengurus Koperasi Dana Rahayu wanprestasi debitur pada perjanjian kredit diselesaikan dengan cara sedapat mungkin dilakukan pendekatan kekeluargaan kepada anggota peminjam, Jika masih memungkinkan dilakukan penjadwalan kembali menyangkut jadwal pembayaran atau jangka waktunya, Jika semua hal-hal yang sifatnya kekeluargaan sudah tidak mampu dan tidak mungkin untuk dilakukan penyelesaian maka jalan terakhir adalah melakukan penyitaan jaminan.

Binding of Third Party Guarantee Objects in Financing Agreement in PT Multindo Auto Finance in Padang City

Financial institutions both banks and non-banks play an important role. Financial Institutions is one non-bank institution that is developing rapidly. Consumer financing is one form of financing institutions that is often encountered. The financing institution in practice uses Guarantees provided by the debtor are not entirely the debtor's personal property, but are collateral which is the property of third parties submitted as collateral. Default is one that can occur during the ongoing financing and a third party as the owner of the Guarantee can also be made compared to an increase in default. In the financing agreement the parties only consist of creditors and debtors. The formulation of the problem in this return is how the binding of third parties as collateral in spending and how legal protection to third parties The research method used is a sociological juridical method, namely discussing the problem by looking at applicable legal norms then discussing with legal facts that in the field. The study was conducted at PT Multindo Auto Finance Kota Padang. Binding of objects belonging to third parties is done with a letter of release of vehicle ownership rights and financing agreements are only signed by creditors and debtors. One of the legal protection for guarantees is through fiduciary. Decision of the Constitutional Court Number 18 / PUU / XVII / 2019 regarding the implementation of fiduciary executions that were not voluntarily approved by the debtor, the procedure must be carried out to execute a court decision with permanent legal force. Protection of the owner.

ОСНОВНІ ТЕНДЕНЦІЇ РОЗВИТКУ СУЧАСНОГО РИНКУ КРЕДИТНИХ ПОСЛУГ В УКРАЇНІ

Для розширення господарської діяльності та забезпечення безперервності господарського обороту економічні суб’єкти в якості запозичених ресурсів найчастіше вдаються до кредитування. Відтак кредитні послуги банків та небанківських фінансових установ займають вагому частку на вітчизняному ринку фінансових послуг. Основними суб’єктами ринку кредитних послуг є банки, небанківські фінансові установи та інші юридичні особи, що не мають статусу фінансових установ, але мають відповідні ліцензії. Ринок кредитних послуг постійно перебуває під дією інституційних, економічних та соціально-політичних чинників, які можуть призвести до дестабілізації, спроб запровадження методів недобросовісної конкуренції, втрати довіри, і, як наслідок, призвести до порушення процесів відтворення. У проведеному дослідженні виявлено, що банківська система є безперечним лідером на ринку кредитних послуг. Проте, нині значну конкуренцію в сегменті кредитування фізичних осіб банківським установам складають різноманітні фінансові установи. Структура кредитного портфеля банків у розрізі клієнтів свідчить про те, що банківські установи достатньо активні в сегменті кредитування фізичних осіб, а тому розглядають фінансові компанії як конкурентів. На ринку зростає попит на короткострокові позики з терміном до одного місця. Також небанківські установи значно випереджають банківський сектор за показником приросту обсягів надання кредитних послуг. Зростає значення ринку лізингових та факторингових кредитних послуг. Ситуацію на ринку кредитних послуг ломбардів можна вважати відносно сталою, обсяг наданих кредитів цими установами зростав повільніше, ніж інші види кредитування. Отже, дія різноманітних ринкових чинників та незавершеність процесів регуляції небанківських фінансово-кредитних установ призводить загострення конкуренції між суб’єктами ринку, до змін в організаційних формах кредитних відносин та у процесах формування попиту та пропозиції кредитних ресурсів.

ISLAMIC SOCIAL FUNDS: ENABLING THE UNABLE TO BE ABLE

The low level of financial inclusion for the poor becomes a time bomb amid Islamic finance growth as an alternative and way of life, particularly for those who believe in the application of Islamic tenets in finance. Further, the evolving of fully-fledged Islamic Financial Non-Bank Institutions, particularly Islamic Microfinance Financial Institutions (IMFIs) are one of the myriad ways in alleviating poverty. Indonesia, with the highest number of the Muslim population in the world, can reduce the poverty percentage by using Islamic social funds, namely infaq, zakah, shadaqoh and waqf. This study sheds light on how to optimise the Islamic social fund benefit for improving the poor’s quality of life; both by injecting money to provide them with a business skill and to feed people them who are poor. We use meta-analysis method to recap different findings related to maximise the usage of Islamic social funds across a different point of view, hence a fit mechanism is found to be applied. It found that Islamic social funds can be used to sustain the fund whilst enabling the poor for generating income by integrating the fund with economics activities.

DOMINANT IDEAS OF FINANCIAL TECHNOLOGIES IN DIGITAL BANKING

The purpose of the research is the definition of the dominant ideas of financial technologies in digital banking. The methods of theoretical generalization, qualitative, quantitative and correlation analysis, causality tests, description and explanation are used, which made it possible to establish the relationship between the volume of investments in financial technologies and the performance of the banking system, identify the areas of application of financial technologies in the activities of the bank, determine the dominant ideas of financial technologies in digital banking and to uncover the factors and prospects of intensifying the use of financial technologies in digital banking in Ukraine. Results of the research are to substantiate the impact of artificial intelligence, biometrics, cloud services, big data, blockchain and open banking services on digital banking. Due to financial technologies in digital banking, it is possible to generate and store large amounts of data, simultaneously analyze and apply the results of their analysis, provide personalized banking services, perform the functions of central storage of information about the client of financial and non-financial nature, which facilitates the effective investment and credit decision-making, as well as improving the level of information security of banking operations. Practical implications. Financial services markets are transformed by the impact of financial technologies. Development of financial technology instruments by non-banking institutions necessitates the identification of opportunities for their use in banks. The set of financial technologies used by banks forms the digital banking system, the development level of which is the main competitive advantage of the bank in the business environment. Digital banking is characterized by the continuity and security of banking services, which provide the consumer with the ability to receive them online anywhere around the clock, personalization of banking services, digital authentication of users and digitization of banking transactions with the replacement of paperwork. The use of financial technologies in digital banking enables to automate customer segmentation processes, reduce costs on payment transactions, optimize accounting, financial and tax accounting, improve customer service and expand your customer base while maximizing revenue in certain business segments. Value/originality. The basic spheres of the use of financial technologies in digital banking, as well as the factors and prospects of intensifying the use of their instruments in Ukraine are revealed. The main areas of use of financial technologies in digital banking are customer behavior analysis, transaction monitoring, customer identification and segmentation, fraud management, banking services personification, risk assessment and regulatory compliance, customer response analysis, process automation, financial advice, investment decision-making, trade facilitation, syndicated loan services, and P2P transfers. The prospects for developing financial technology tools in digital banking include strengthening the interaction between regulators, banks and financial technology companies, the increased use of biometrics, the development of neo-banking and open banking services.

Development of national payment systems: problems and prospects

The article presents the theoretical aspects of the payment system, clarifies the definition of the national payment system of a complex and interconnected set of payment and technical elements, each of which contributes to the efficient functioning of both the financial sector and the national economy as a whole. The classification features according to which payment systems are classified are generalized and their types are given. The main tasks of payment systems functioning are outlined. The components of the payment system of Ukraine are considered. The modern basic requirements to payment systems are defined. The current payment systems in Ukraine are analyzed, among which: the national electronic payment system (EPS), created by the National Bank of Ukraine, the National Payment System "Ukrainian Payment Space", 10 intrabank payment systems, 2 money transfer systems, 11 money transfer systems, 1 system settlements and 1 card system created by non-banking institutions, as well as 8 money transfer systems and 4 card payment systems created by non-residents, as well as international payment systems, which include 5 money transfer systems created by Ukrainian banks and 4 money transfer systems created by non-banking institutions . The current state of operations of Ukrainian banks with electronic money is studied. The basic requirements for national payment systems are given. Measures to increase the level of security of the national payment system of Ukraine are outlined. Recommendations for the development of the electronic payment system of Ukraine are presented. Special attention needs to be paid to the development of the national payment system of Ukraine, which depends on the effectively implemented innovations, which consist in the application and expansion of non-cash forms of payment and guarantee of the electronic payment system.

Assets of households in the formation of investment potential of Ukraine in conditions of socio-economic instability

The investment capacity of the households of any country is the decisive factor of increasing the wellbeing of each person, population, and socio-economic system of a state in general. Growing nominal and real income of population and creation of respective financial resources that secure their transformation into the investment resource are the major preconditions of improvement of the households’ investment opportunities. Households become increasingly active savers and perspective investors for the domestic economy as they invest temporary free funds in various financial tools. The article examines the study of households, their financial behavior and interests, as increasing the welfare of each individual strengthens the entire socio-economic system of the state. The question of the peculiarities of the formation of financial resources in the conditions of market relations in Ukraine is outlined. Factors influencing their state of formation are determined. The role of household savings in the development of the economy is substantiated, the classification of savings depending on the nature of mobilization is considered. The dynamics of savings attracted by the banking system of Ukraine is analyzed. The situation with deposits of domestic households is outlined, and the dependence of investment decisions of households on the general political and economic situation in the country is demonstrated. Emphasis is placed on non-bank credit institutions, in particular on credit unions and private pension funds, life insurance contracts. The popularity of unorganized savings of households in Ukraine is proved, which is due to the lack of public confidence in financial institutions. The author proposes directions to motivate the savings of households in Ukraine in order to increase the productivity of their operation.