FINANCIAL SUPPORT OF STATE BANKS IN UKRAINE AND ITS IMPACT ON DEBT POLICY

The capitalization transactions of state banks in Ukraine are analyzed in the context of the establishment of an additional impact on the growth of the debt burden. It is shown that these operations were carried out in 2009-2016 under the contradictions of financial legislation in terms of lack of transparency, and the absence of clear rules that allow justifying the volumes, mechanism and consequences of state aid to banks in the form of capitalization. Overall during 2008-2016 years (first quarter) state spent about 88 billion UАН for such capitalization. Implementation of the capitalization of state banks at the expense of T-bills is very costly for the state budget. During the period 2008-2016 years (first quarter) state budget expenditures related to T-bills service, through which the capitalization of state banks was held, rich 37 billion UAH, or 15.4 percent of total expenditures made on public service debt over the named period.