ASSESSING THE FINANCIAL STABILITY OF THE BANKING SYSTEM BASED ON FINANCIAL STABILITY INDICATORS AND THE FINANCIAL STRESS INDEX TO MAINTAIN THE ECONOMIC SECURITY OF THE STATE

Introduction. A stable banking system is the basis for the effective functioning of the financial sector, maintaining public confidence and ensuring the continuity of economic processes. The experience of crisis periods in Ukraine (2004, 2008, 2014) and in the conditions of Russian military aggression has shown the importance of reforming the banking sector, increasing transparency, effective regulation and risk management to prevent systemic threats. The relevance of studying the financial stability of the banking system as a factor of the economic security of the state is due to the need to ensure the stability of the national economy in the face of global financial crises and martial law. The purpose of the article is to assess the financial stability of the banking system based on financial stability indicators and the financial stress index to maintain the economic security of the state. Results. The financial stability of the banking system of Ukraine in wartime and its ability to withstand threats were studied. Despite the crisis, the system remained resilient and improved its financial performance in 2024. Effective macroprudential measures of the NBU reduced the impact of war risks. The analysis of 2019–2024 indicates a decrease in the level of non-performing loans. The factors of bank capitalization were determined and the importance of the financial stress index for assessing crisis phenomena was emphasized.