The Law of Ukraine on Banks and Banking

This is the official document of the Ukraine Law relating to the regulatory environment for the banking sector in the country. The paper is divided into 6 sections where:

Section 1 of the paper discusses the following:

• Independence of the banks;
• Legal structure of the banks;
• Various banking entities associated with the banking structure.

Section 2 describes:

• Establishment of banks;
• Naming, registration and licensing of the bank;
• Grounds for state registration denial and revocation of banking license;
• Preliminaries and prerequisites for establishment of banks with foreign capital;
• Procedures for opening branches and bank reorganization.

Section 3 of the paper:

• Discusses capital, funds, reserves of a bank, and also the ways and means to raise the required funds;
• Deals with capital adequacy norms and other laws related to management issues, controlling bodies, auditing commission, obligation in terms of protecting the interest of bank by means of risk management and internal audits related to the bank;
• Mentions rules and regulations regarding the credit operations of a bank.

Section 4 discusses banking activity regulation and supervision along with its form, purpose, ground and scope of supervision.

Section 5 provides guidelines on provisional administration, liquidation of the banks and methodology for liquidation.

Last section of the document explains the implementation of all the above mentioned provisions for the banking industry and their adherence to the same within the given time period.