Domestic Banks in Economic Development: Marketing Networks and Financial Technologies in Prewar China

The subject of the research is foreign experience of bank participating with different business strategies in guaranteeing of sustainable ecological economical country development. The purpose of the work is to elaborate suggestions for contemporary credit institutions to realize projects and products with the emphasis on the environment protection, climate impact minimization and resources saving.The importance of the problem of environment protection financing is determined by the necessity of major overhaul for domestic banks to reconsider the approach to their efficiency evaluation on the basis of foreign experience to comply with the social, ecological and climatic standards in attracting resources and their allocation on markets of capital and loans. Nowadays many foreign banks widely use such standards defining creditworthiness of major corporations, small and medium businesses and deciding whether to credit them, as well as in the accounting to oversight bodies. This approach is typical for so-called green, ecological, “alternative” banking institutions. The article demonstrates that Russian banks do not usually follow such strategies. The fact that some Russian banks realize a number of ecologically oriented projects does not influence the overall level of the sustainable ecological economic development of the country. It is concluded that it is absolutely necessary to study and adopt the foreign experience of forming, transformation and realization of new banking business strategy in which along with economic efficiency ecological and social aspects equally matter.

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Actual problems of the capital stability management in the Ukraine’s banking system

Banks and Bank Systems ◽

10.21511/bbs.12(2).2017.06 ◽

2017 ◽

Vol 12 (2) ◽

pp. 60-67 ◽

Cited By ~ 3

Author(s):

Svitlana Yehorycheva ◽

Oleh Kolodiziev ◽

Svitlana Prasolova

Keyword(s):

Economic Development ◽

Banking System ◽

Necessary Condition ◽

Main Function ◽

Return On Equity ◽

Macroeconomic Indicators ◽

National Bank ◽

Domestic Banks ◽

Effective Development ◽

Key Indicators

Capital stability of the banking system is the basis of its effective development and realization of its main function – optimal redistribution of capital. So, the aim of the article is to develop indicators of capital stability of the banking system, and to propose the frameworks for the long term capital stability strategy of the banking system in Ukraine. For this purpose, the analysis of micro- and macroeconomic indicators of the capital stability of domestic banks within the period 2007–2016 is made. To carry out the research, there were used the statistic data of the National Bank of Ukraine, its legislative and regulatory documents, the Basel Accords. Capital stability of the banking system has been defined in the article as the process of ensuring capitalization that is adequate to the banking risks and cyclical economic development. It has been detected that a significant reduction in return on equity of the Ukrainian banks in 2014–2015 even with restoring their liquidity has had a crucial destabilizing impact on their capital stability. In order to improve the assessment of capital stability, its key indicators for the groups of domestic banks have been studied. The necessity of refocusing macroprudential requirements of the National Bank of Ukraine from quantitative indicators to qualitative ones to ensure economic development has been proved. It has been concluded that a necessary condition for restoring the Ukrainian banking system was to develop an effective strategy for ensuring its capital stability, which should be focused on the creation of its diversified structure.

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