Project aims to assist the National Bank of Ukraine in implementing risk-based supervision in line with EU best practices and to promote safe development and efficient services of non-bank financial institutions. Strengthening these institutions will play a key role in financing Ukraine’s post-war recovery and supporting its integration into the EU and global financial markets.

The project is implemented in collaboration with peer supervisory authorities and other competent public institutions from the EU Member States – the Polish Financial Supervision Authority (UKNF), the Bank of Lithuania (LB), and the International and Ibero-American Foundation for Administration and Public Policies (FIIAPP) with the Directorate General for Insurance and Pension Funds, Ministry of Economy, Commerce and Business of Spain (DGSFP).

The planned tasks include the development of methodologies for risks assessment, supervisory techniques, exchange of experience, training of supervisory staff, workshops for the Ukrainian insurance undertakings in line with EU legislation and best practices. This will support timely identification and mitigation of risks in the market, while reducing burden for market participants.

Overall objective (impact)
The overall objective of the project is to develop stable, secure and efficient financial services markets in Ukraine to provide financial resources to the national economy and support the country’s post-war recovery, economic and social development and integration into the global financial environment.

Specific Objectives (outcome)
The specific objective is to implement supervisory assessment of NBFI (non-bank financial institutions) in line with EU standards and development of the economic ratios model for NBFGs (non-bank financial group/s) in Ukraine.

Component A: Introduction of quantitative assessment of risks that pose a threat of capital loss, liquidity of NBFIs (non-bank financial institutions) and risk profile.
Component B: Development of risk-oriented supervision and introduction of supervisory assessment of NBFIs (non-bank financial institutions).
Component C: Development of a model of prudential requirements for NBFGs (non-bank financial groups).
Component D: Strengthening the NBU capacity for the implementation of the EU-Ukraine Association Agreement obligations and preparing for EU accession.