Assessment of the Efficiency of State Banks in the Economy of Poland and Ukraine Based on Structural Market Data from Infocommunication Systems

Abstract

Prior to COVID-19, Ukraine and Poland could be characterized by a stable macroeconomic situation since the beginning of 2020, which was the result of successful macroeconomic management and cleaning up the banking system in previous years. During the crisis itself, the banking sector of both countries was relatively resilient, although it was banks with foreign capital that performed best during the pandemic, while state-owned banks felt the consequences to a greater extent. The Polish banking system has shown itself to be quite stable even during the recession during pandemic, including due to the competent policy of banks to support their customers with their own funds and government assistance. The Ukrainian banking system remained profitable during the coronavirus crisis, but profitability has declined, so credit institutions will continue to improve the efficiency of their spending. It is interesting to note that the banking system of Ukraine was characterized by high stability, even more so, during the crisis period it showed good performance. The level of capital adequacy leveled off last year, while the number of non-performing loans and bank loans decreased. This contributed to the fact that profit was fixed at a good level, although it was inferior to the indicator in 2019. And, very importantly, the banking system maintained high liquidity and a stable position, which means the ability to support the recovery of the Ukrainian economy.