Management and Development of Depository Activities Under Martial Law in Ukraine
Abstract
Introduction. Depository activities are integral to developing a country's financial system and ensure the accounting, preservation, and circulation of securities. The effective management of depository activities is critical for maintaining the stability of the financial market, protecting the rights of investors, and maintaining trust in financial institutions. In Ukraine, the issue of the effective management of depository activities becomes especially important for ensuring the stability of the stock market and maintaining investment attractiveness for international investors, as it requires a comprehensive approach that combines the legal and economic tools necessary to reduce existing risks that require the adaptation of legal regulations and the implementation of new management strategies to ensure the continuity and security of depository operations.
Aim and tasks. The aim is to study the features of the expansion of depository operations in Ukraine, considering martial law, economic challenges and threats that have affected the functioning of financial agents and the stock market.
Results. An analysis of the factors that influenced the activities of depository institutions during war and economic crises was carried out. The efficiency of accounting and depositors' activities in depository institutions was analysed. The directions for the optimisation of the depository activities of Ukrainian depository institutions are substantiated. During the 3rd quarter of 2023, the volume of depository assets increased by 7.2% compared to the same period of 2021, the volume of accounting operations increased by 41.6%, and the number of depositors' accounts increased by 76.5%, which indicates the positive dynamics of depository activities on the stock market of Ukraine. The correlation coefficient was 0.088, indicating a weak positive relationship between the volume of accounting transactions of depository institutions and the number of accounts of depositors of depository institutions.
Conclusions. The study analyses the grouping of negative factors (military action, constant shelling, devaluation of the currency, inflation, decrease in investment attractiveness of institutions, and low level of income of citizens) that influenced the development of depository activities in Ukraine under martial law, as well as the efficiency of depository institutions, through the analysis of individual performance indicators. The results of the study are essential for joint-stock companies that issue securities regularly and depository institutions to identify critical areas for the development of depository activities in the war and post-war periods and to ensure a more transparent and efficient system of attracting investors and households to the investment activities of the stock market.
Keywords:
depository institution, stock market, issuance activity, legal relations, management.References
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