Ukrainian Banks Process Over 423 Million Electronic Transactions in 2023, Marking Significant Growth

by Roman Cheplyk
Friday, January 26, 2024
Ukrainian Banks Process Over 423 Million Electronic Transactions in 2023, Marking Significant Growth

In a remarkable display of digital financial engagement, Ukrainian banks processed approximately 423 million transactions via the Electronic Payment System (EPS) in 2023

These transactions amounted to nearly UAH 210 trillion, indicating a substantial increase of 16.5% in volume and 58% in value compared to the previous year, as reported by the National Bank of Ukraine (NBU).

Key Highlights of EPS Usage in 2023:

  • The vast majority of EPS transactions, over 94%, were executed by banks on behalf of their clients.
  • On average, the EPS processed around 1.24 million payments daily, totaling UAH 617 billion. Remarkably, the system has the capacity to handle almost ten times this volume each day.
  • With the elimination of the traditional 'banking day' concept and the shift to round-the-clock operations, there was a notable uptick in weekend usage. For instance, the average number of transactions on Saturdays doubled from about 200,000 in April to 400,000 by December 2023.
  • A notable development in October 2023 was the integration of NovaPay with the EPS system.

Analysis of Transaction Patterns:

In terms of transaction frequency:

  • Payments under UAH 1,000 accounted for 41% of the total.
  • Transactions ranging from UAH 1,000 to UAH 100,000 constituted 55%.
  • Larger payments of UAH 100,000 or more made up 4%.

In terms of transaction value:

  • Smaller payments up to UAH 1,000 represented just 0.1% of the total amount.
  • Payments between UAH 1,000 and UAH 100,000 comprised 1.3%.
  • The bulk of the transaction value, a staggering 98.6%, came from payments exceeding UAH 100,000.

As of January 1, 2024, the EPS proudly counts 63 banks, the State Treasury Service of Ukraine, and the National Bank as its participants. The adoption of the international ISO 20022 standard since April 1, 2023, has further enhanced the system's efficiency, enabling it to operate continuously throughout the year. This significant growth in EPS transactions underscores the increasing reliance on digital payment solutions in Ukraine, reflecting a growing trend towards a more connected and efficient financial ecosystem.

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