Dynamics of the Development of the Credit Services Market in the Conditions of Financial Instability: A Case of Ukraine

Abstract

This article aims to identify the trends and characteristics of the credit services market's evolution amidst financial instability in Ukraine. Utilizing a range of scientific methodologies, including content analysis, comparative method, statistical calculations, and econometric modeling based on correlation-regression analysis with cubic one-factor regression models, the study delves into the underlying principles of financial instability, its essence, and primary triggers. A comprehensive statistical analysis of Ukraine's economic trends and the state of bank lending to economic entities was conducted. To enhance understanding of the credit services market's development under Ukraine's unstable economic conditions, an analysis of the influence of bank lending indicators on the key parameters depicting the national economy's dynamic was performed through econometric modeling. Findings reveal that the credit services market plays a crucial role in the economic development of countries, particularly where the securities market is underdeveloped. In Ukraine, the credit services market has acted as a catalyst for crisis phenomena in the banking system, thereby slowing its long-term development.