Modern payment systems are undoubtedly an important part of economic and financial infrastructure of any country. Efficient and safe payment systems are crucial for functioning of the economy and financial stability. In Ukraine over the last decade payment card infra-structure expanded very quickly and overtook a number of similar countries. Ukrainian cardholders increasingly move from ATMs to POSs in line with the experiences of the more developed markets. In this context functioning of payment industry in Ukraine, its regulation and the probable effects of recent legislative and regulatory initiatives deserve special attention.
TABLE OF CONTENTS
| CHAPTER 1 MODERN PAYMENTS: INTERNATIONAL FRAMEWORK | 10 |
| 1.1 ASPECTS OF PAYMENTS SYSTEM DEVELOPMENT IN MODERN WORLD | 10 |
| 1.1.1 The global nature of the market: advantages and challenges | 10 |
| 1.1.2 The innovative nature of the market: advantages and challenges | 11 |
| 1.1.3 Payments as social phenomenon | 13 |
| 1.2 PAYMENT CARDS AND OTHER NON-CASH PAYMENT INSTRUMENTS: THE ECONOMIC ROLE | 14 |
| 1.2.1 Description/review of non-cash payment instruments | 14 |
| 1.2.2 Overview of the payment card market | 23 |
| 1.2.3 The advantages of non-cash payments: efficiency, speed, cost, control | 26 |
| 1.2.4 The development of e-commerce and payment systems | 29 |
| 1.3 PAYMENT INDUSTRY GOVERNANCE | 33 |
| 1.3.1 Payment networks as an example of multilateral market | 33 |
| 1.3.2 Governance principles established by international organizations | 34 |
| 1.3.3 The basic principles of national regulation: the role of separation of state and market | 35 |
| CHAPTER 2 PAYMENTS INDUSTRY OF UKRAINE: THE SITUATION IN THE SECTOR AND CURRENT REGULATORY ISSUES | 37 |
| 2.1 DEVELOPMENT OF THE PAYMENT CARD MARKET | 37 |
| 2.2 REGULATION OF PAYMENTS INDUSTRY OF UKRAINE | 45 |
| 2.3 ANALYSIS OF RECENT LEGISLATIVE AND REGULATORY INITIATIVES | 47 |
| CONCLUSIONS AND RECOMMENDATIONS: PROPOSALS FOR REGULATION | 53 |
