Features of State Regulation of the Bankin Sector in the Context of Information Society Development

Abstract

The article examines the transformation of state regulation of Ukraine’s banking sector in the context of transition to the information society and digital economy. The relevance of the research is driven by the need to modernize regulatory mechanisms in the context of rapid development of financial technologies, growing cyber threats, and wartime challenges. The aim of the article is to analyze the current state of banking institutions regulation, identify main challenges, and substantiate promising directions for improving regulatory policy under digitalization conditions. The research methodology is based on a comprehensive approach combining historical-logical, comparative, structural-functional analysis, forecasting and modeling methods. The study establishes that the evolution of the regulatory paradigm is characterized by a transition from a static “command-and-control” model to an adaptive system based on principles of flexibility, proactivity, and technological neutrality. Three stages of NBU regulatory approach transformation during 2020-2024 are analyzed, including adaptation to pandemic challenges, crisis management under wartime conditions, and formation of a new regulatory philosophy. The main challenges of state regulation are systematized, covering technological aspects (exponential growth of cyber threats by 450%, algorithmic bias), institutional problems (regulatory lag of 18-24 months with fintech product lifecycle of 6-9 months), and socio-economic challenges (25% of population without access to quality internet). Three strategic vectors for improvement are substantiated: preventive regulation using predictive analytics (increases risk forecasting accuracy by 40%), collaborative interaction model (reduces regulatory uncertainty by 60-70%), creation of next-generation regulatory infrastructure. The effectiveness of transition from entity-based to activity-based regulation for eliminating regulatory arbitrage is demonstrated. The potential of machine-readable regulation to reduce compliance costs by 30-40% is identified. A “regulatory hub” model is proposed as a coordination mechanism between NBU, NSSMC, cyber police and other regulators through a unified digital platform. The architecture of RegTech/SupTech solutions based on blockchain, API interfaces and distributed ledger technologies is developed. Practical significance lies in forming conceptual foundations for modernizing state regulation, taking into account specifics of the Ukrainian banking system, European integration requirements, and wartime realities. The results can be used by NBU and other regulators to improve the regulatory framework for financial sector digitalization.