PEP Count in Ukraine Nearly Doubles as High-Risk Proportion Declines.

Shifts in PEP Risk Categorization

According to Мінфін — Крипто/Фінанси: Over the past two and a half years, the total number of politically exposed persons (PEPs) in Ukraine has risen sharply, while the share classified as high-risk has dropped significantly. According to the latest data, the proportion of high-risk PEPs fell from 57.1% to 33.9%, indicating a notable change in how clients are assessed under this designation. PEPs are individuals who hold or have held prominent public positions, making them subject to stricter anti-money laundering checks.

Meanwhile, the low-risk segment expanded: the percentage of PEPs considered low-risk climbed from 14.4% to 40%. Similarly, among family members of PEPs, the high-risk share decreased from 52.2% to 32.4%, whereas the low-risk share rose from 19.5% to 43.1%. In absolute terms, the overall PEP population grew from 65,300 to 122,700.

Olga Vasylevska-Smagliuk commented: 'This means the banking system is now working with significantly more PEPs than two and a half years ago.'

This trend suggests that financial institutions are encountering a larger but less risky PEP base, potentially due to refined risk analysis and improved financial oversight. The combination of a rising total PEP count and a falling high-risk ratio may point to better risk management practices and greater transparency in Ukraine’s banking sector. These developments can positively influence investor confidence and public trust in the financial system. Continued monitoring of these patterns will be important for assessing future stability and compliance efforts.