DIGITALIZATION PARADIGM OF UKRAINIAN FINANCIAL MARKET

Authors

DOI:

https://doi.org/10.35774/jee2021.04.648

Keywords:

Digitalization, financial market, financial centers, Fintech, digital economics, information technologies, digital market.

Abstract

The article examines the key concepts and theories of modern digitalization paradigm of global financial market, its equilibrium, conditions of financial centres, e-commerce, and FinTech companies. It identifies positive and negative aspects of financial market digitalization and its transformation in global digitalization. Effective principles for the digitalization of Ukraine’s economy are explored. The key ways of financial market digitalization are outlined. The article presents a framework of indicators for the digitalization of the financial market in Ukraine. Quantitative analysis is applied to the indicators grouped by type: general indicators of online financial activity of the population; indicators of online and offline accumulation of funds; indicators of credit activity. In addition, some ways to digitalize Ukrainian market are outlined and hierarchical model of FinTech sectors in Ukraine is proposed. This allows us to identify the most promising areas for the future development of financial technologies in such areas as cash flow services, innovations and new standards of technological services, and application development. It is substantiated that in addition to the commonly used payment tools, the most promising areas in Ukraine are the development of IT solutions, financial asset analytics, marketplaces and neo-banking.

JEL: G10, M15.

Author Biographies

Obidjon KHAMIDOV, Bukhara State University

Doctor of Sciences, Professor

Abdukhakim MAMANAZAROV, Tashkent Branch of Moscow State University named after M. V. Lomonosov

PhD, Associate Professor

Irina MAKSYMOVA, State University of Economics and Technology

PhD, Associate Professor, Department of International Economics

Kateryna SLUSARENKO, State University of Economics and Technology

PhD, Associate Professor, Institute of Innovative Education and Development

Volodymyr KULISHOV, State University of Economics and Technology

Dr.oec., Professor, Department of International Economics

References

Abramova, A., Beschastnyy, V., Zhavoronok, A., Fedyshyn, M., Lavrov, R., Dluhopolskyi, O., & Kozlovskyi, V. (2020). Financial technologies development prospects in the countries of Eastern Europe and Ukraine. International Journal of Management, 11(7), 384-398. http://dx.doi.org/10.34218/IJM.11.7.2020.037

Cabinet of Ministers of Ukraine. (2018). Order of the Cabinet of Ministers of Ukraine No. 67 «On approval of the Concept of development of the digital economy and society of Ukraine for 2018–2020 and approval of the action plan for its implementation» from January 17, 2018 [in Ukrainian].

Clement, J. (2020). Most popular online retail websites worldwide [Interactive graph]. Statista. https://www.statista.com/statistics/274708/online-retailand-auction-ranked-by-worldwide-audiences/

Dergachova, V., & Skybina, O. (2007). Globalization of business and Internet marketing: Prospects and problems [in Ukrainian].

Dronyuk, I., Moiseienko, I., & Gregus, J. (2019). Analysis of creative industries activities in Europеan Union countries. Procedia Computer Science, 160, 479-484. https://doi.org/10.1016/j.procs.2019.11.061

Izmaylov, Y., Yegorova, I., Maksymova, I., & Znotina, D. (2018). Digital economy as an instrument of globalization. Scientific Journal of Polonia University, 27(2), 52-60. https://doi.org/10.23856/2706

Kolomiyets, G., & Hlushach, Y. (2017). Digital economy: Controversy of content and impact on economic development [in Ukrainian]. Business Inform, 7, 137–143. https://www.business-inform.net/export_pdf/business-inform-2017-7_0-pages-137_143.pdf

Krasavin, L. (2010). International monetary and financial relations (4th ed.) [in Russian]. Finances and Statistics.

Kraus, N. M., Goloborodko, O. P., & Kraus, K. M. (2018). Digital economy: Trends and Perspectives of the abangard change of development [in Ukrainian]. Efektyvna ekonomika, 1. http://www.economy.nayka.com.ua/?op=1&z=6047

Lyons, A., Kass-Hanna, J., & Polato e Fava, A. C. (2021). FinTech development and savings, borrowing and remittances: A comparative study of emerging economies. SSRN Electronic Journal. http://dx.doi.org/10.2139/ssrn.3689142

Mietule, I., Maksymova, I., & Holikova, K. (2019). Key trends in the development of marketplaces as a trigger for the transformation of global business. Society. Integration. Education. Proceedings of the International Scientific Conference, 4, 374-386. https://www.researchgate.net/publication/333254239_KEY_TRENDS_IN_THE_DEVELOPMENT_OF_MARKETPLACES_AS_A_TRIGGER_FOR_THE_TRANSFORMATION_OF_GLOBAL_BUSINESS

Morris, H., Mainelli, M., & Wardle, M. (2020). The Global Financial Cenrtes Index 28. Long Finance and Financial Centre Futures. https://www.longfinance.net/ media/documents/GFCI_28_Full_Report_2020.09.25_v1.1.pdf

Pleskach, V., Borodachova, N., & Oleksuik, L. (2018). How can the Government of Ukraine develop state policy in the field of e-commerce. Analytical document [in Ukrainian]. Synergy.

Plotnichenko, I. B. (2015). Assessment of current state and development trends of electronic commerce of Ukraine [in Ukrainian]. Scientific Bulletin of Kherson State University. Series Economic Sciences, 15(4), 149–153. http://www.ej.kherson.ua/journal/economic_15/economic_15_4.pdf

Polo, V. (2018). Internet trade in Ukraine: 15 slides about ecommerce [in Russian]. Netpeak Journal. https://netpeak.net/ru/blog/15-slaydov-o-tom-kakrazvivaetsya-rynok-elektronnoy-kommercii-v-ukraine/

Ryu, H., & Ko, K. (2020). Sustainable development of FinTech: Focused on uncertainty and perceived quality issues. Sustainability, 12(18), 7669. http://dx.doi.org/10.3390/su12187669

Singh, S., Sahni, M. M., & Kovid, R. K. (2021). Exploring trust and responsiveness as antecedents for intention to use FinTech services. International Journal of Economics and Business Research, 21(2), 254-268. http://dx.doi.org/10.1504/IJEBR.2021.113152

Suetin, A. (2008). Financial markets in the world economy [in Russian]. Economist.

Vartsaba, V., & Zaslavska, O. (2020) FinTech industry in Ukraine: Problems and prospects for the implementation of innovative solutions. Baltic Journal of Economic Studies, 6(4), 46-55. https://doi.org/10.30525/2256-0742/2020-6-4-46-55

United Nations Conference on Trade and Development. (2019). Digital economy report 2019. United Nations Publications. https://unctad.org/system/files/official-document/der2019_en.pdf

Universal McCann. (2018). WAVE Report. https://umww.de/wp-content/uploads/2019/06/Wave-X-Remix-Culture-Germany-Homepage_English.pdf

USAID. (2018). FinTech in Ukraine: Trends, market overview and catalog. https://data.unit.city/fintech/fgt34ko67mok/fintech_in_Ukraine_2018_en.pdf

Received: November 11, 2021.

Reviewed: November 22, 2021.

Accepted: December 5, 2021.

Published

16.03.2022

How to Cite

KHAMIDOV, Obidjon, et al. “DIGITALIZATION PARADIGM OF UKRAINIAN FINANCIAL MARKET”. Journal of European Economy, vol. 20, no. 4, Mar. 2022, pp. 648-64, doi:10.35774/jee2021.04.648.

Issue

Section

GLOBALIZATION AND REGIONALIZATION