FINTECH IN UKRAINE’S POST-WAR RECOVERY: GOVERNANCE AND MANAGERIAL REFLECTIONS
##plugins.themes.bootstrap3.article.main##
##plugins.themes.bootstrap3.article.sidebar##
Abstract
Subject of the research. This paper examines a FinTech-centered, “born-digital” governance framework for Ukraine’s post-war recovery. The subject spans state digital platforms – DREAM (public investment management), Prozorro/BI-Prozorro (public procurement), and the National Bank of Ukraine’s open-banking and instant-payment rails – together with results-based budget reimbursements, SOE ownership reforms aligned with OECD standards, and integrity expectations (CPI/MONEYVAL). The core idea is that when project-cycle events – registration, procurement, milestone verification, payment, and audit – are linked by shared identifiers and machine-readable logs, FinTech becomes the operating system of reconstruction rather than a peripheral tool. Methodology. The study (i) maps the governance stack – platforms, legal mandates, and incentives; (ii) traces the plan – payment – result process under results-based reimbursements; and (iii) argues for operationalizing a machine-derivable KPI suite. The KPIs include: approval-to-cash time; share of reconciled account-to-account (A2A) payments; end-to-end traceability in DREAM (live links to procurement and payments); procurement competitiveness (e.g., single-bid share); MSME participation; incidence and remediation speed of red flags; and territorial equity of outputs. Although primarily analytical, the framework is anchored in current institutional designs and public data structures, enabling replication and subsequent causal evaluation as platform rollouts vary across sectors and regions. Aim of the research. The aim is to design and substantiate a FinTech-centered governance framework that (a) shortens the interval from verified milestones to supplier cash, (b) reduces discretion and transaction costs through standardized, auditable workflows, and (c) enables scalable private co-financing (supplier finance/factoring) by exposing standardized data to banks and FinTechs. This allows translating institutional reforms into measurable performance using the proposed KPI suite. Findings and conclusions. Coupling DREAM’s single pipeline and medium-term plan with Prozorro’s donor-aligned module and BI red-flagging, and with open-banking APIs and instant payments, yields operational discipline: funds flow on verifiable events; error correction shifts to pre-payment; approval/settlement times compress; and competition improves. EU/IMF conditionality turns digital deliverables (e.g., reconstruction management tool completion, annual Single Project Pipeline updates) into binding management tasks. Ownership and integrity frameworks (SOE law, OECD alignment, CPI/MONEYVAL) raise the supervisory baseline sustaining these gains. The KPI suite converts this architecture into a management instrument for continuous monitoring, benchmarking, and course correction at portfolio scale. Originality and practical implications. The contribution of this research: (i) reframes FinTech as backbone infrastructure – data as contract, APIs as process, payments as proof of performance – and (ii) provides an implementable KPI standard that donors, ministries, banks, and PIUs can compute directly from platform data. Practically, the framework narrows the gap between commitments and outputs, lets PIUs run one process for multiple financiers, and equips banks and FinTechs to scale working-capital solutions for MSMEs. Limitations are data quality, identifier hygiene, and uneven administrative capacity, motivating future causal evaluation and equity-focused analyses.
How to Cite
##plugins.themes.bootstrap3.article.details##
Post-War Recovery Governance, Recovery Management Frameworks, State-Owned Enterprise Financing, Open Banking, Digital Public Infrastructure, Results-Based Reimbursement, Prozorro
Heyets, V., Podolets, R., & Diachuk, O. (2022) Post-War Economic Recovery of Ukraine in the Imperatives of Low-Carbon Development. Science and Innovation, 18(6), 3–16. DOI: https://doi.org/10.15407/scine18.06.003
Aleksin, G. (2024). Post-war Reconstruction in Ukraine within Corporate Finance framework: UN SDG aspect. Sustainable development and circular economy: trends, innovations, prospects : scientific monograph. Eds. Dr. R. Diakon, Dr. A. Kucher, Dr. M. Heldak. Riga, Latvia : Baltija Publishing, 344–371. DOI: https://doi.org/10.30525/978-9934-26-390-3-16
World Bank. (2024a). Ukraine - Fourth Rapid Damage and Needs Assessment (RDNA4): February 2022 – December 2024. Available at: https://documents.worldbank.org/en/publication/documents-reports/documentdetail/099022025114040022
NBU. (2024). 1 December 2024 SЕP New Version Delivering Instant Transfers Launched in Ukraine. Available at: https://bank.gov.ua/en/news/all/z-01-grudnya-2024-roku-v-ukrayini-zapratsyuvala-nova-versiya-sep-z-funktsionalnistyu-mittyevih-perekaziv
Digital State UA. (2025). Diia.AI: The World’s First National AI-Agent That Delivers Real Government Services. Available at: https://digitalstate.gov.ua/news/govtech/diiaai-pershyy-u-sviti-derzavnyy-ai-ahent-iakyy-ne-prosto-konsultuye-a-nadaye-posluhy-iak-pratsiuye-shtuchnyy-intelekt-na-portali
State Tax Service of Ukraine. (2025). Diia City: number of residents and paid taxes almost doubled. Available at: https://tax.gov.ua/en/mass-media/news/932114.html
EBRD. (2025a). EBRD deploys record €2.4 billion in Ukraine in 2024. Available at: https://www.ebrd.com/home/news-and-events/news/2025/EBRD-deploys-record--2-4-billion-in-Ukraine-in-2024.html
EBRD. (2025b). EBRD guarantees to Ukrainian banks to unlock €900 million of new finance. Available at: https://www.ebrd.com/home/news-and-events/news/2025/ebrd-brings-strong-support-for-kyiv-to-ukraine-recovery-conference.html
EBRD. (2025c). EBRD guarantees to Ukrainian banks to unlock €900 million of new finance. Available at: https://www.ebrd.com/home/news-and-events/news/2025/ebrd-guarantees-to-ukrainian-banks-to-unlock--900-million-of-new.html
European Commission. (2025a). Commission disburses first €3 billion to Ukraine of its part of the G7 loan, to be repaid with proceeds from immobilised Russian assets. Available at: https://enlargement.ec.europa.eu/news/commission-disburses-first-eu3-billion-ukraine-its-part-g7-loan-be-repaid-proceeds-immobilised-2025-01-10_en
Reuters. (2025). EU to consult IMF on size of EU Reparations Loan to Ukraine. Available at: https://www.reuters.com/business/finance/eu-consult-imf-size-eu-reparations-loan-ukraine-2025-09-19
IFC. (2025). IFC and UKRSIBBANK Join Forces to Boost Medium-Sized and Larger Corporates in Ukraine. Available at: https://www.ifc.org/en/pressroom/2025/ifc-and-ukrsibbank-join-forces-to-boost-medium-sized-and-larger-corporates-in-ukra
Credit Agricole. (2025). Credit Agricole Ukraine signed a €100 million risk sharing agreement with IFC. Available at: https://credit-agricole.ua/en/o-banke/pres-centr/novini/kredi-agrikol-ukrayina-pidpisav-ugodu-pro-rozpodil-rizikiv-z-1841
PrivatBank. (2025). PrivatBank and IFC Launch $100 Million Risk-Sharing Facility for MSME and $20 Million Trade Finance Guarantee. Available at: https://privatbank.ua/news/2025/9/8/privatbank-and-ifc-launch-100-million-risk-sharing-facility-for-msme-and-20-million-trade-finance-guarantee
Prozorro. (2025). The volume of competitive procurement in Ukraine increased from UAH 616.8 billion in 2023 to UAH 841 billion in 2024. Available at: https://prozorro.gov.ua/en/news/obsyag-konkurentnyh-zakupivel-v-ukrayini-zris-z-6168-milyarda-u-2023-roci-do-841-milyarda-gryven-u-2024-roci
Government Portal. (2025). In February, 28,000 public procurement contracts worth UAH 42.8 billion were concluded through Prozorro, says Nadiia Bihun. Available at: https://www.kmu.gov.ua/en/news/u-liutomu-cherez-prozorro-bulo-ukladeno-28-tysiach-dohovoriv-publichnykh-zakupivel-na-428-mlrd-hrn-nadiia-bihun
DREAM. (2025). State Single Project Pipeline. Available at: https://dream.gov.ua/pip-pipeline
NBU. (2025a). Board of the National Bank of Ukraine Resolution No. 80 as of July 25, 2025. On Approval of the Regulation on Open Banking in Ukraine. Available at: https://bank.gov.ua/ua/legislation/Resolution_25072025_80
European Commission. (2025b). EU delivers over €4 billion to Ukraine ahead of its Independence Day. Available at: https://enlargement.ec.europa.eu/news/eu-delivers-over-eu4-billion-ukraine-ahead-its-independence-day-2025-08-22_en
European Commission. (2025c). Ukraine receives a further €1 billion G7 loan initiative. Available at: https://enlargement.ec.europa.eu/news/ukraine-receives-further-eu1-billion-g7-loan-initiative-2025-06-13_en
World Bank. (2024b). Report No: PPIAF000124. International Bank for Reconstruction and Development. Project Paper on a Proposed Eighth Additional Financing Grant in the Amount of US$15 Billion to Ukraine for Public Expenditures for Administrative Capacity Endurance (Peace) in Ukraine. Available at: https://documents1.worldbank.org/curated/en/099122124171534079/pdf/P178946-c56246e6-2373-48e7-85b0-3a57f5663e89.pdf
DREAM. (2025b). Medium-Term Plan of Priority Public Investment. Available at: https://dream.gov.ua/mtp
DREAM. (2025c). Sectoral Pipelines of Public Investment Projects and Programs. Available at: https://dream.gov.ua/sectoral-portfolios
Transparency International. (2024). Ways to Process Public Procurement via Free BI Prozorro Module. Available at: https://ti-ukraine.org/en/news/ways-to-process-public-procurement-via-free-bi-prozorro-module
OECD. (2025). Governing with Artificial Intelligence. Available at: https://www.oecd.org/en/publications/governing-with-artificial-intelligence_795de142-en/full-report/ai-in-public-procurement_2e095543.html
EU Neighbours East. (2023). Four multilateral development banks agree to harmonise procurement in Ukraine. Available at: https://euneighbourseast.eu/news/latest-news/four-multilateral-development-banks-agree-to-harmonise-procurement-in-ukraine
Ministry of Economy of Ukraine. (2024). Verkhovna Rada of Ukraine Supported Draft Law 5593-D, which Improves the Management of State-Owned Enterprises. Available at: https://me.gov.ua/News/Detail?id=fd5eda4a-f9c1-4820-be3c-9b094e1a347f&lang=en-GB&title=VerkhovnaRadaOfUkraineSupportedDraftLaw5593-d-WhichImprovesTheManagementOfStateownedEnterprises
NBU. (2025b). Board of the National Bank of Ukraine Resolution No. 81 as of July 25, 2025. On Approval of the Regulation on the Procedure for Authorizing the Activities of Non-Financial Payment Service Providers and on Approval of Amendments to the Regulation on the Registration of Payment Systems, Participants of Payment Systems, and Technological Operators of Payment Services. Available at: https://bank.gov.ua/ua/legislation/Resolution_25072025_81
NBU. (2025c). Board of the National Bank of Ukraine Resolution No. 82 as of July 25, 2025. On Approval of the Regulation on the Use of Electronic Trust Services when Payment Service Providers Access Users’ Payment Accounts. Available at: https://bank.gov.ua/ua/legislation/Resolution_25072025_82
Transparency International. (2025a). Corruption Perceptions Index. Available at: https://www.transparency.org/en/cpi/2024
Council of Europe. (2025). Committee of Experts on the Evaluation of Anti-Money Laundering Measures and the Financing of Terrorism: Ukraine profile. Available at: https://www.coe.int/en/web/moneyval/jurisdictions/ukraine
Transparency International. (2025b). Criminal Proceedings and Contract Adjustments: In August, Dozorro Helped Save Nearly UAH 45 Million. Available at: https://ti-ukraine.org/en/news/criminal-proceedings-and-contract-adjustments-in-august-dozorro-helped-save-nearly-uah-45-million
Ukraine Facility. (2025). Ukraine Recovery: 2024-2027. Available at: https://www.ukrainefacility.me.gov.ua/wp-content/uploads/2024/03/ukraine-facility-plan.pdf
IMF. (2025). Country Report No. 25/156. Available at: https://www.imf.org/en/Publications/CR/Issues/2025/06/30/Ukraine-Eighth-Review-Under-the-Extended-Arrangement-Under-the-Extended-Fund-Facility-568152
This work is licensed under a Creative Commons Attribution 4.0 International License.