ТHE ROLE OF BANKING INSTITUTIONS IN ENSURING THE COUNTRY’S FINANCIAL SECURITY

The role of banking institutions in ensuring the financial security of Ukraine under the systemic banking crisis conditions has been studied. The present article substantiates that stability and reliability of the banking system is the basis for ensuring the financial security of the state. It was determined that in the face of a systemic banking crisis, the banking system of Ukraine has ceased fulfilling its basic functions as a result of the critical deterioration of financial performance, which, in its turn, requires efficient anti-crisis measures to create preconditions for updating and improvements of the current banking management system. The primary steps to ensure the financial security of the State in the banking sector should be further purification of the banking system, recapitalization of banks, removing insolvent institutions from the market, improving management requirements of banks, increased accountability of bank managers and stockholders, protection of creditors' rights, reform of the foreign exchange market, etc.