Strengthening the functional capacity of public sector banks in the economic recovery of Ukraine

The Ukrainian banking sector is characterized by a significant share of state-owned banks. In terms of war, privatization of state institutions is not advisable, necessitating the utilization of this powerful institutional resource for economic recovery. This article substantiates the directions for enhancing the functional capacity of state-owned banks. In particular, it justifies the need to establish a development bank, expand opportunities for state banks to attract international financing, and implement European reporting standards. Special attention is given to developing proposals for increasing access to resources from the global sustainable finance market through international financial organizations that support sustainable development programs. Additionally, the article explores ways to improve the functional capacity of state-owned banks in their interaction with other state development institutions. A list of the most influential of these institutions is provided, along with an analysis of their collaboration with state-owned banks.