On November 3, the National Bank of Ukraine together with Taras Shevchenko National University of Kyiv held a meeting of the representatives of banking community, experts in finance and scientists to discuss the theoretical and practical aspects of bringing the domestic legislation in line with the provisions of the European Union acts for the fulfillment of the requirements of the Association Agreement between Ukraine and the EU.
The discussion took place within the framework of the international scientific and practical conference on the subject: “Theory and practice of adaptation of banking legislation of Ukraine to the EU requirements”, organized by the NBU and higher educational institution.
The Head of NBU Office European Integration and International Programs Vladimir Kuchin opened the discussion, who told about the actions of the regulator on the creation of the mechanism for the implementation of the Association Agreement between Ukraine and the European Union.
In particular, the central bank is working towards the introduction of four fundamental acts for banking sector:
EU Directive 2013/36 and EU Regulation No.575/ 2013 (so-called CRD / CRR IV package), defining the rules for access to the activities of credit institutions, as well as supervisory powers and prudential supervision tools;
Directive 2002/87 / EU on supplementary supervision of banking groups;
Directive 2009/110 / EU, which defines the rules for the establishment, implementation and prudential supervision of the activities of institutions working with electronic money.
As Vladimir Kuchin comments on the event, the National Bank plans to update the legal framework with respect to the formation of new requirements for the structure of capital, the coefficients of its adequacy, the introduction of requirements for the banks regarding the internal process of assessing the capital adequacy, the improvement of the requirements for corporate governance in the banks, etc.
Currently, the regulator’s actions are aimed at developing competences for assessing the quality of risk management and degree of aversion to risk. In addition, the work is under way to improve the procedures for conducting operations using electronic payment instruments in accordance with the new European legislation – Directive 2015/2366 (PSD2 Directive) which implementation plan will be developed shortly.
It is also important to note that the National Bank continues the adaptation of its own legal framework to the recommendations of the Financial Action Task Force (FATF) and the provisions of the EU acts (Directives 2015/849 / EU and Regulation 2015/847 / EU) on improving the effectiveness of counteraction to laundering of proceeds obtained by criminal means and terrorism financing.
According to Vladimir Kuchin, the introduction of a new mechanism for banking supervision on the European model will be completed by 2021.
During the meeting, the representatives of the NBU had the opportunity to benefit from the experience of Poland in implementing the EU norms in banking legislation. Thus, the director of the department for the regulation of banks, payment institutions and credit unions of the Financial Supervisory Authority of the Republic of Poland, Andrzej Reich, stressed the need for regulatory and supervisory convergence with the EU of the states that intend to join the European community. The Director of the Office of Board of the Bank Guarantee Fund of the Republic of Poland, Arthur Radomski, in turn, shared the experience of implementation of the Directive 2014/59 / EU to the Polish legal framework in the field of the improvement and restructuring of credit institutions. At the same time, he emphasized the importance of ensuring public awareness about the innovations introduced.
The representatives of Kyiv National University presented their scientific works regarding the approaches to the implementation of the Directive (EU) 2015/2366 and the introduction of Basel III standards on the additional capital buffers of the banks. The National Bank plans to continue the cooperation with the Law Faculty of KNU.
It will be possible to have a look at all the reports of the international conference in the special issue of the Eurasian Academic Research Journal at the end of December, 2017.
On November 3, the National Bank of Ukraine together with Taras Shevchenko National University of Kyiv held a meeting of the representatives of banking community, experts in finance and scientists to discuss the theoretical and practical aspects of bringing the domestic legislation in line with the provisions of the European Union acts for the fulfillment of the requirements of the Association Agreement between Ukraine and the EU.
The discussion took place within the framework of the international scientific and practical conference on the subject: “Theory and practice of adaptation of banking legislation of Ukraine to the EU requirements”, organized by the NBU and higher educational institution.
The Head of NBU Office European Integration and International Programs Vladimir Kuchin opened the discussion, who told about the actions of the regulator on the creation of the mechanism for the implementation of the Association Agreement between Ukraine and the European Union.
In particular, the central bank is working towards the introduction of four fundamental acts for banking sector: