Ukraine’s financial system adapts during wartime
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Following Russia’s 2022 invasion, Ukraine’s financial system continued to operate despite widespread disruption, building on a pre-existing foundation of digital finance.
Before the war, Ukraine had a large Eastern European economy with growing technology and digital banking sectors. The conflict caused a nearly 29 percent economic contraction in 2022, but the country has since seen some growth, while also facing increased defense and reconstruction costs. Ukraine had already been developing digital financial tools before the invasion.
Monobank, a mobile-first bank launched in 2017, gained around 10 million customers by 2026 by offering services without traditional bank branches. This existing digital comfort allowed Ukrainians to continue managing their finances remotely when physical access became limited. The National Bank of Ukraine (NBU) further developed the system by introducing instant transfers, open banking, and updating digital identification through BankID to align with European standards.
These changes allowed Ukrainians to access financial and government services remotely, even while displaced by the war, and facilitated fundraising for defense efforts. The NBU also classified NovaPay, a financial service connected to the logistics network Nova Poshta, as an important payment system. Ukraine is now working to integrate its payment infrastructure with the European Single Euro Payments Area (SEPA) to ease cross-border transactions.
