The President of Ukraine, Volodymyr Zelenskiy, signed Bill No. 8069 on the specifics of withdrawing a systemically important bank from the market under martial law. This is reported by the website of the Verkhovna Rada.
As indicated in the card of the document, the law was signed on October 26. Its purpose is to ensure the stability of the banking system in the conditions of martial law, which was introduced in Ukraine due to the full-scale invasion of Russia.
The draft law provides for the optimization of the current procedure for withdrawing a bank from the market by establishing the specifics of withdrawing a systemically important bank from the market in the event that such a bank loses liquidity during the period of martial law in Ukraine.
Nationalization of the institution will take place through the procedure of enrolling it in the category of insolvent, but will not require recapitalization by the state. The sale of the bank for UAH 1 will take place regardless of the actual size of the bank's regulatory capital.
Also, the Deposit Guarantee Fund will not change the size of the authorized capital of the bank, will not carry out the denomination of shares or exchange the bank's monetary obligations for shares of additional issue.
The fund will not change the size of the authorized capital of an insolvent systemically important bank, the denomination of shares of such a bank, in particular, it will not exchange the bank's monetary liabilities for shares of an additional issue, the bank's reserves will not be formed to cover losses from active banking operations, and the credit risk will not be determined from all active banking operations.
Instead of exchanging deposits for shares with their subsequent redemption by the state, the termination of the bank's obligations to the controllers and owners of significant participation in such a bank, as well as authorized persons, with subsequent crediting of funds from these obligations to the bank's income (the bank's capital also increases).
Reimbursement of the value of shares to shareholders (if it exceeds UAH 1 according to the opinion of the auditing company) will be possible only after compensation of losses to Ukraine from the Russian Federation and exclusively at the expense of such funds.