ASSESSMENT OF THE LEVEL OF DEBT SECURITY OF UKRAINE AND DIRECTIONS FOR ITS STRENGTHENING

Abstract

The article defines the essence of the concept of "debt security". The main indicators of Ukraine's debt security during
2015-2020 are analyzed and its condition is assessed using the integrated debt security index. The main factors that affect the
level of debt security and key issues to ensure a sufficient level of debt security are investigated. It is found that the increase in
the size of public debt leads to a reduction of the debt security and causes a number of negative consequences and distortions
in the financial system of Ukraine. The main factors that affect the level of debt security and key issues to ensure a sufficient
level of debt security are investigated. However, in the strategic perspective, deepening of the financial debt of the state leads
to significant disparities in the financial and economic system of the country and increasing the debt burden on the state budget, increasing the threat of default, transferring the debt burden for future generations and increasing social tension in
society. Ukraine's debt security is in critical condition and therefore requires the implementation of certain measures and
changes. The main task is the effective management of state external and domestic debt and its gradual reduction. It is also
necessary to focus more on domestic lending in national currency, as it is more profitable and cheaper to maintain for the
state. In order to identify prerequisites for strengthening the debt security and searching the methods to reduce public debt,
the development of an optimal strategy of borrowing, debt management and improving of a legal framework on issues of debt
security has been suggested.