№ 5/2016

Fìnansi Ukr. 2016 (5): 82–

MARKET OF FINANCIAL SERVICES

KORNIEIEV Volodymyr , KULPINSKY Serhii Vitaliiovych

USING DEVELOPMENT BANK TOOLS TO OVERCOME INVESTMENT DEFICIT

This article analyzes problems in budgetary and monetary domains and reasons for the deficit of investment resources in Ukraine’s economy. Key trends in the financial market of Ukraine and their impact on the deficit of financial resources for long-term investments are discussed. The need for creating development banks as a tool to mobilize investment resources for financing long-term and infrastructure development projects is emphasized. Experience of development banks in China, Brazil, Germany, Kazakhstan, Canada, and other countries is considered; their distinctive features and the amount of resources provided are identified. The article describes the institutional and legal framework of a development bank’s operation in Ukraine and potential areas of its activities under conditions of a credit squeeze and high interest rates. Solutions for increasing the funding base of this institution using monetary incentives and more financial market instruments, with the involvement of additional investors, are outlined. The possibilities of raising funds and areas of financing promising infrastructure and other projects by development banks are explained; potential sources of funding are identified, taking into account the need to minimize an adverse effect on the state budget. Potential benefits of creating a development bank in Ukraine for both the real sector and the financial market, as well as to improve the investment climate, are addressed.

Keywords:development banks, investment resources, infrastructure projects, refinancing, securitization.

JEL: E21, E52, E58.

KORNIEIEV V. . USING DEVELOPMENT BANK TOOLS TO OVERCOME INVESTMENT DEFICIT / V. . KORNIEIEV, S. V. KULPINSKY // Фінанси України. - 2016. - № 5. - C. 82-.

Article original in Ukrainian (pp. 82 - 96)

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