The Estonian financial company Iute Group is acquiring RWS Bank in Ukraine. "We are buying selected assets from them. We're taking over a small balance sheet — less than €10 million — but also 13,000 clients and their deposits and we'll build a new bank on that foundation," said Tarmo Sild.

Doing business in Ukraine requires a long-term perspective. "We believe Ukraine will win this war and become one of Europe's engines of growth. It used to be a corrupt country, but we've been watching its transformation since 2014 — the embrace of democratic values, the fight against corruption and a deeper understanding of the cost of freedom. All of this needs to be taken into account to determine whether the Ukrainian market is ready for a modern, digitalized bank," Sild said.

Sild has also built digital banks in Moldova and Albania. "People told us we were crazy then, too," he said. According to Sild, Iute's heart is in Estonia, but its clients are in Southeastern Europe.

It is possible to make money in Ukraine, Sild said. "Banking's share in Ukraine is relatively small. If total output is about €200 billion, then banking makes up around €75 billion, whereas in Western countries it's typically equal to GDP. So there's room to grow, even relative to today's GDP. But when it comes to digitalization, Ukraine is ahead of us. They've shifted their entire national communications and monetary circulation to digital solutions," said Sild.

As a major supporter of the Estonian National Symphony Orchestra (ERSO), Sild said that culture is the foundation of everything, including business. He offered to co-finance ERSO with the state on a one-to-four basis, but said the Ministry of Culture has yet to provide a concrete action plan.

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