THE ROLE OF SHARE CAPITAL IN FINANCING POST-WAR RECONSTRUCTION

Abstract

The article examines the role of share capital as a strategic tool for securing financial resources for the post-war reconstruction of Ukraine. It emphasises that the scale of destruction caused by military aggression has created an unprecedented shortage of investment resources, which significantly exceeds the capabilities of budget financing and international aid. In this context, share capital is seen as one of the most promising ways to attract long-term investment, which can make sure financial flows are stable, diversify sources of capital, and lower the debt burden on businesses and the state. The current state of development of the equity capital market in Ukraine is analysed and the key barriers to its effective functioning are outlined: insufficient capitalisation of enterprises, limited market liquidity, low level of corporate transparency, institutional immaturity and increased risks associated with military uncertainty. It is argued that overcoming these limitations is a necessary condition for transforming equity financing into a system-building tool for economic recovery. Particular attention is paid to identifying sources of share capital formation and assessing their potential in meeting reconstruction needs: internal corporate capital, primary and secondary public offerings of shares, state participation through mixed shareholding structures, attracting foreign institutional investors, using the instruments of international financial organisations and specialised reconstruction funds. It is shown that the effective use of these sources can provide multi-channel and long-term support for structural modernisation, infrastructure projects and innovative development. The paper emphasises that in order to activate share capital, it is necessary to create a favourable regulatory environment: harmonisation of standards with EU norms, improvement of corporate governance, strengthening of investor protection, development of market infrastructure, digitisation of procedures and introduction of effective incentives for issuers. It emphasises the importance of Ukraine's integration into European and global financial markets as a factor in increasing the investment attractiveness of the national economy. The results obtained allow us to conclude that share capital can become the foundation of the financial strategy for post-war recovery thanks to its ability to accumulate significant private resources, distribute risks, stimulate corporate development, and ensure the implementation of large infrastructure and industrial projects. The implementation of a comprehensive state policy in the field of capital market development is a necessary prerequisite for fully realising the potential of equity financing in the post-war transformation of Ukraine's economy.