The role of leading bankers in the rise and development of the NBU

The adoption of the Law "On Banks and Banking Activity" and the ratification of the Statute of National bank were followed by hard work aimed at putting the intentions set by this Law into practice.

It was necessary, to create the central bank of the country – the National bank – virtually "from scratch" to help Ukraine to gain credibility in the world. Lacking was appropriate personnel, due laws, methodology, equipment, and funds. There was only one thing -- the title of "The National Bank of Ukraine." And the first person, who had to head this new financial government agency was a well-known banker,Volodymyr Matvienko. In a short period of time (August 1991 - March 1992), when he was the Governor of the NBU Board, Mr. Matvienko managed to do quite a lot. In December 1991, the Verkhovna Rada passed a resolution about the ratification of the name and characteristic attributes of the monetary unit of Ukraine - the hryvnia. Between August and March of 1991 eighty two commercial banks were re-registered. At the beginning of 1992 the first Ukrainian bank with foreign interest was registered in Donetsk oblast‚ and by the beginning of February twenty two commercial banks already had been opened, direct correspondent relations were arranged with many foreign banks, and the NBU's computer center was created with the view of providing inter-bank settlements.

The second Governor of the NBU Board (March - November 1992) was another well-known banker,Vadym Hetman.

The first thing that Mr. Hetman did was to initiate mass computerization of the Central Bank. Also, he created organizational grounds for the establishment of the system of inter-bank electronic settlements. Under his leadership a completely an absolutely new department began to work in the National Bank - the department of balance of payments.

In June 1992, the formation of the Stabilization Fund for Ukrainian National Currency began. In July 1992, a single settlement-cash center of the NBU was created with the transition to settlements with the CIS member states via correspondent accounts opened by the NBU. In August 1992, the Currency Exchange of the NBU was created. In September 1992, Ukraine joined the International Monetary Fund and The World Bank, and in October of the same year she joined the European Bank for Reconstruction and Development. In November 1992, Ukraine left the "ruble zone".

Mr. Hetman made a considerable effort to foster the elaboration and adoption of the Law of Ukraine «On Banks and Banking Activity», together with the first President of the Association of Ukrainian Banks Mr. Markov‚ then a People's Deputy of Ukraine.

Ukraine was apparently lucky in that from the beginning and until now the central bank of the country has been headed by professionals.Victor Yuschenko, who was elected to the post of the NBU Governor after the retirement of Mr. Hetman, continued and developed the cause of his predecessors. He has had to bear a heavy cross -- in the period of transition from an administratively-command to the market-oriented economy he had to define monetary policy of Ukraine, create new instruments of the monetary market, conduct experiments, and advocate rigid monetary decisions in the Parliament.

In February 1997, Mr. Yuschenko was approved by the Verkhovna Rada of Ukraine to the post of the NBU Governor for the second time, for another four years. He continues his responsible cause. Everything‚ which is described below, directly concerns his personal participation in the improvement of banking and the banking system in Ukraine.

Date: 2015-01-11; view: 943