The Ukrainian tech sector has long established itself as competitive and innovative on the global stage. However, while outsourcing companies once took center stage, product-based companies are now stepping into the spotlight. According to the DOU TOP-50 rankings, 20 of the listed companies are now product developers, with seven operating a hybrid business model.
Artem Lyashanov, CEO of fintech company Bill Line, emphasizes that the war has been a catalyst, accelerating the international integration of Ukrainian businesses. This is especially true in the fintech sector, where 33% of the 246 domestic fintech projects are already operating in international markets, with another 52% planning to expand. As Artem Lyashanov points out, Ukrainian companies have significant potential to compete successfully in the European Union market.
One of the most promising areas, according to Artem Lyashanov, is the development of embedded finance solutions and the “pay by bank” system. He highlights that Ukrainian consumers have long been using these solutions, such as fast payments via QR codes or confirming purchases without entering card details. For European consumers, these functions are new and have the potential to significantly streamline the payment process.
Analysts from McKinsey back up Artem Lyashanov’s words with statistics: the embedded finance market in Europe is growing three times faster than traditional lending. By 2030, this segment could generate up to 25% of banking services sales and reach a volume of 100 billion euros. According to Artem Lyashanov, Ukrainian fintech companies are ready to capitalize on this opportunity thanks to their technical expertise and ability to adapt their products to European regulations.
Another promising area noted by Artem Lyashanov is the development of short-term credit systems, such as “buy now, pay later” (BNPL). According to McKinsey, in Northern Europe, BNPL credit volumes have grown by 8-10% annually. This technology, familiar to Ukrainian consumers as “payment in installments,” is already widely integrated into the Ukrainian retail sector and has significant potential for adaptation in European markets.
In Artem Lyashanov’s view, Ukrainian fintech solutions could attract European business partners due to several key advantages: reducing costs through lower payment processing fees, increasing the speed and conversion of payments, reducing fraud risks, and lowering the number of chargebacks.
Thus, Ukrainian tech companies have all the potential to become drivers of innovation, not only in their home market but also on the global stage.