From Our Members

Digital finance: Current trends for Ukraine, the EU, and the forecast for 2024 

Personal finance is an area that undergoes changes more than any other. For example, we in Ukraine are so used to the massive digitalisation of this sphere that we are unlikely to go to banking branches and are often surprised by the international payment experience.

But what else will change in digital finance in the near future?

Handiness and swiftness will rule

This trend is coming first not only for order but for priority.

As digital finance is primarily about the application, the convenience and speed of transactions are often about the customer experience. And here Ukraine has moved much further than our European neighbours, and many who have used the applications of European financial institutions at least once do not need us to prove it to them.

This is a story about service, and NovaPay—as part of the Nova group of companies—definitely puts it first, because you can attract customers in this world only by exceeding expectations and working easier and faster than competitors.

Compliance with European norms is a challenge for Ukrainian financial institutions

Cross-boarding is often called one of the features of the future of payments. But, given Ukraine’s plans for EU membership, soon there will be no “board”, and these payments will become intra-European.

If we take into account the optimistic reference point, 2030, there is not so much time to bring Ukrainian financial legislation into line. But, in addition to this work of parliamentarians and regulators, all market participants must also do their “homework”. All our technological processes, financial monitoring, and GDPR must comply with EU standards. And, despite several challenges that are laid down here, I think that each of the current major market players will go this way.

Artificial intelligence will take place, but the human concept is more important

This trend is definitely not new to the financial market, however, with the activation of OpenAi and ChatGPT, it is definitely on the hype again. Many market participants have been using it successfully for a long time, some continue to invest in it. These are the same chatbots, and facial recognition functions when entering the application.

I am not one of those people who predicts one solid AI, but I am inclined to think that artificial intelligence will take over mass positions in fintech, where repetitive actions prevail. Of course, we are not talking about 100 per cent, but somewhere about 25 per cent; as an example, it can take on the functions of the contact centre.

But don’t forget that finance is a story about trust. And a person can trust only a person. Therefore, human-to-human interaction will remain for sure. That is, there is no need to be afraid of AI, it is necessary to use it correctly.

Tokenisation is rebased and offline

Thinking about the future, we can assume that even “holding” the phone to pay with Apple Pay and Google Pay will soon not be necessary, especially if, for example, I am a regular customer of a particular physical store. I think that solutions for such offline tokenisation will appear very soon.

Fintech has a lot of issues to surprise you.

‘Physical’ finances will not let you forget about yourself

Despite the steady growth of cashless payments—in the Ukrainian market currently at 62 per cent— and our continued fascination with the digital world, digital is not yet dominant globally.

A significant number of customers are served offline—both in Ukraine and in Europe—and these are not only pensioners or people who do not have a smartphone.

NovaPay gives Ukrainians access to payment services where there are no other financial services. Despite Revolut, Paysera and other options, there are still definitely places in the world that need physical branches and live people.


This content has been produced in collaboration with a partner organisation through our Global Visibility Programme. Our programme helps companies boost their digital presence and strengthen the thought leadership of their experts. Find out more here.