Newsletter, #12 (July 2025)

Executive Summary

Ukraine’s banking system has undergone substantial transformation in the past decade. While structural reforms have made progress, significant gaps still exist with EU standards—especially in digital compliance, NPL management, AML enforcement, and supervisory integration. With a focused roadmap and coordinated support, Ukraine can bridge these divides by 2028. 

Introduction: Ukraine–EU Financial Integration

Following the 2014 EU–Ukraine Association Agreement and 2022 EU candidate status, banking sector reform has become a national priority. Alignment with the EU’s Single Supervisory Mechanism (SSM), Capital Requirements Directive (CRD), and Basel III forms the cornerstone of this transition. 

European Union Launches New Twinning Project to Support National Bank of Ukraine in Non-Bank Financial Oversight