The material on this site is for financial institutions, professional investors and their professional advisers. It is for information only. Please read our Terms & Conditions, Privacy Policy and Cookiesbefore using this site. Please see our Subscription Terms and Conditions.

All material subject to strictly enforced copyright laws. © 2022 Euromoney, a part of the Euromoney Institutional Investor PLC.

Ukraine’s banking law: a step forward, but not a leap

A new law prohibiting the return of banks to their former owners will unlock international funding for Ukraine. But is it really the game changer some are claiming?


Ukraine has a new banking law. On May 21, with much fanfare, president Volodymyr Zelenskyy finally put his signature on the bill, which had been in the works since last autumn. His supporters, and many of Ukraine’s international backers, hailed it as a big step in the country’s reform process.

So, what is the new law, and why was it so important?

Briefly, it addresses the question of bank resolution, which has been a hot topic in Ukraine since the Maidan revolution of 2014.

In the following three years, more than half of the country’s 180 banks were closed as part of a clean-up of the sector and one – market leader PrivatBank, owned by Ihor Kolomoisky and Gennadiy Bogolyubov – was nationalized.

The new law ensures that none of these decisions can be reversed. It forbids the return of banks to their former shareholders and directs courts to respect the conclusions of the regulator, the National Bank of Ukraine (NBU), in this respect.

It allows for the payment of compensation to former owners but only on the basis of an assessment by international auditors.

You have reached premium content. Please log in to continue reading.

Read beyond the headlines with Euromoney

For over 50 years, our readers have looked to Euromoney to stay informed about the issues that matter in the international banking and financial markets. Find out more about our different levels of access below.


Unlimited access to and

Expert comment, long reads and in-depth analysis interviews with senior finance professionals

Access the results of our market-leading annual surveys across core financial services

Access the results of our annual awards, including the world-renowned Awards for Excellence

Your print copy of Euromoney magazine delivered monthly

£73.75 per month

Billed Annually


Unlimited access to and, including our top stories, long reads, expert analysis, and the results of our annual surveys and awards

Sign up to any of our newsletters, curated by our editors


Already a user?