Wege aus der Covid-19-Krise: Chinesische Banken und die Hoffnung auf globales Wirtschaftswachstum

2021 ◽  
Vol 70 (2) ◽  
pp. 189-213
Author(s):  
Victoria Böhnke
Keyword(s):  
Economic Growth ◽  
Financial Stability ◽  
Global Economy ◽  
Banking System ◽  
Financial System ◽  
Negative Consequences ◽  
Long Run ◽  
Chinese Banks ◽  
Global Economic Growth ◽  
Chinese Banking

Abstract In crisis times a stable financial system is the basis to stimulate economic growth. In the bank-centered Chinese financial system mainly banks provide additional capital to the economy. According to the International Monetary Fund, the Chinese banking system represents one of the key weak spots of global financial stability. Do Chinese banks mitigate the negative consequences of the Covid-19 crisis or do they increase the risks? Based on the strengths and weaknesses of the Chinese banking system, I discuss the relevance of China for global economic growth. In summary, Chinese banks secure China’s short-term growth and lead the global economy back on the growth track. In the long run, the stability of the financial system depends on China’s ability to shape a sustainable financial system based on even more extensive reforms.

scholarly journals Financial System Stability and Economic Growth in Nigeria

2020 ◽  
Author(s):  
Isaac Ikeafe NJANG ◽  
Eko Eko OMINI ◽  
Festus Victor BEKUN ◽  
Festus Fatai Adedoyin
Keyword(s):  
Economic Growth ◽  
Financial Crisis ◽  
Financial Stability ◽  
Financial System ◽  
Granger Causality Test ◽  
System Stability ◽  
Causality Test ◽  
Long Run ◽  
Integration Test ◽  
Sustainable Economic Growth

Abstract This study primarily seeks to evaluate the influence of financial system stability on economic growth in Nigeria from 1986 to 2016. Employing the use of Principal Component Analysis (PCA), this study constructs a Financial System Stability Index (FSSI) as measurement for financial stability. The indicators used in building the index capture three sectors of the Nigerian Financial System (NFS). The three sectors cover the banking sector, the capital market, the external sector and include a fourth component representing financial depth. The resulting index serves as a single qualitative measure for evaluating the level of stability in a nation’s financial system and proves capable of warning of an eminent financial crisis. Employing the use of four macroeconomic indicators, the index is then regressed against the Nigerian economic growth rate with an aim of discovering the short-run and long-run dynamics existing between both variables. The granger causality test, Johansson Co-integration test and Vector Error Correction Model (VECM) are the estimation techniques employed in achieving the objectives of this research. The granger causality test revealed a uni-directional causality between financial stability and economic growth in Nigeria. The Johansson Co-integration test showed that long-run co-integration relationship exists between financial stability and economic growth. Finally, the VECM results find that financial stability displays a negative relationship with economic growth and bears no significant effect on economic growth in Nigeria. The findings disclose that financial stability in Nigeria may be high and has resulted in the underutilization of financial assets thus hampering sustainable economic growth in Nigeria. In conclusion, the outcome of the findings shows that while financial stability may be necessary for initiating economic growth, it is not sufficient for sustaining economic growth in Nigeria. This research work recommends that the FSSI be employed as an additional tool for measuring the condition/state of financial stability in Nigeria and in predicting the onset of a potential financial crisis. The study further recommends that financial authorities must give attention to other aspects of financial development to facilitate sustainable economic growth in Nigeria.

scholarly journals Quality of financial reporting under IFRS and corporate governance influence: Evidence from the Greek banking sector during crisis

2019 ◽  
Vol 8 (4) ◽  
pp. 8-20
Author(s):  
Panagiotis Ballas ◽  
Alexandros Garefalakis ◽  
Christos Lemonakis ◽  
Vassiliki Balla
Keyword(s):  
Economic Growth ◽  
Corporate Governance ◽  
Financial Reporting ◽  
Financial Stability ◽  
Global Financial Crisis ◽  
Debt Crisis ◽  
Financial System ◽  
Positive Contribution ◽  
Governance Practices

The financial system consists, without doubt, one of the most important determinants of the world national economies, which undergoes numerous changes and challenges with major impact on the economic growth prospects of a country. A healthy financial system is the steam engine of the economy, a major source for economic growth through which capitals are attracted for investments; hence, it is regarded as a trustee of financial stability. Given the difference in structure and function of the financial sector in various countries, we investigate the extent to which the implementation of International Financial Reporting Standards (IFRS) accompanied by Corporate Governance practices affected the quality of financial and narrative reporting offered within published statements of Greek banks for the period from 2008 to 2011. The originality of the work lies at the fact that it focuses on Greek financial institutions for a period that incorporates both the burst of global financial crisis and the beginning of the Greek sovereign debt crisis making inferences on quality of reporting as a result of IFRS and Corporate Governance practices adoption. Our analysis revealed the positive contribution of both of the above categories of variables to the accuracy and quality of the information offered to stakeholders.

scholarly journals Macroprudential policy debate, concepts and the Brazilian context

2018 ◽  
Vol 4 (1) ◽  
pp. 35
Author(s):  
Míriam Oliveira Silva Portugues ◽  
Viviane Luporini ◽  
Luis Antonio Licha
Keyword(s):  
Financial Stability ◽  
Banking System ◽  
Financial System ◽  
International Standards ◽  
Capital Inflows ◽  
Shadow Banking ◽  
Policy Debate ◽  
Macroprudential Policy ◽  
Intrinsic Nature ◽  
Economics Literature

<div class="page" title="Page 1"><div class="layoutArea"><div class="column"><p><span>The economics literature related to the financial system seeks to define the concepts of financial stability, systemic risk and macroprudential instruments for the purpose of drafting a policy that essentially "leans against the wind", that is, a policy that monitors macroeconomic vulnerabilities and combats system instability. Such a policy should cover all financial institutions involved in credit intermediation (not just banks) and consider the pro-cyclical and intrinsic nature of risk in the financial system, and account for the spillovers effects of policies in other countries, that is, the global context. This article summarizes the main concepts related to macroprudential policy discussed in the economics literature after the crisis the 2008 financial crisis. In addition, we describe macroprudential policy in the context of the Brazilian financial system, specifically major policies implemented in the banking regulatory environment related to Basel III and non-bank regulations related to shadow banks. After the 2008 crisis, Brazil was one of the precursors countries in operating macroprudential instruments to curb excessive credit growth and strong capital inflows. The Brazilian financial system has a broad regulatory perimeter, adhering to international standards and covering the Shadow banking system. This system has a weak connection with the banking system and is small relative to the financial assets of the national and global systems. </span></p></div></div></div>

scholarly journals Risks in China's Financial System

2018 ◽  
Vol 10 (1) ◽  
pp. 261-286 ◽  
Author(s):  
Zheng (Michael) Song ◽  
Wei Xiong
Keyword(s):  
Economic Growth ◽  
Financial System ◽  
Capital Allocation ◽  
Financial Risks ◽  
Economic Policies ◽  
Financial Systems ◽  
Long Run ◽  
Need To Evaluate ◽  
The Government ◽  
Near Future

Motivated by growing concerns about the risks and instability of China's financial system, this article reviews several commonly perceived financial risks and discusses their roots in China's politico-economic institutions. We emphasize the need to evaluate these risks within China's unique economic and financial systems, in which the state and nonstate sectors coexist and the financial system serves as a key tool of the government to fund its economic policies. Overall, we argue that ( a) a financial crisis is unlikely to happen in the near future and ( b) the ultimate risk lies with China's economic growth, as a vicious circle of distortions in the financial system lowers the efficiency of capital allocation and economic growth and will eventually exacerbate financial risks in the long run.

scholarly journals Global Outlook for 2018: Economy, Finance, and Monetary, with a Particular Case Study of Taiwan

2018 ◽  
Vol 10 (3) ◽  
pp. 133 ◽  
Author(s):  
Shyi-Min Lu
Keyword(s):  
Economic Growth ◽  
Economic Development ◽  
Interest Rates ◽  
Global Economy ◽  
Average Rate ◽  
The United States ◽  
Gdp Growth ◽  
Advanced Economies ◽  
Global Economic Growth

In October 2017, IMF President Christine Lagarde declared that the GDP growth of world’s economies in the first half of 2017 was up to the broadest recovery since 2010. So far, the strength of global economic growth has been enhancing. The interest rates and inflation are still at a low level. The global economy has risen from the bottom in 2016 to reach its peak since 2011. As for the degree of economic development, the emerging markets grew fastest, followed by the developing countries, while the advanced economies grew moderately at an average rate around 2%. Manufacturing PMI in major countries, such as the United States, China, the Eurozone, and even Taiwan, have increased above 50 notably in the recent years, while the non-manufacturing PMI is also above 50. Accordingly, the main purpose of this paper is to forecast the global economy in 2018, which is on the trajectory of booming with a certain degree of uncertainty. A particular case study of Taiwan’s overall economic development is presented as well.

Preparing a Multi-Asset Class Portfolio for Shocks to Economic Growth

2019 ◽  
Keyword(s):  
Economic Growth ◽  
Asset Allocation ◽  
Global Economy ◽  
Economic Fundamentals ◽  
Funding Sources ◽  
Liability Management ◽  
Asset Class ◽  
Global Economic Growth ◽  
The Impact ◽  
Real Assets

This article explores shocks to global economic growth and how investors can defend against them. The authors examine the impact of such potential shocks on the asset allocation decision, asset-liability management, and funding sources. This article proposes that the global economy could be poised at an inflection point, and if a regime change occurs it would catch many portfolios off guard. Investors have experienced relatively healthy returns for the last decade, with recency bias leading many investors to creep outward on the risk spectrum. The authors remind the reader that, even in portfolios that appear to be diversified, most of the risk typically comes from equities and equity-like securities, which are greatly exposed to global economic growth risk. To address these concerns, they encourage investors to incorporate economic fundamentals and much longer time horizons into the portfolio construction calculus. Specifically, they argue that true diversification across independent sources of return is the only practical way of reducing exposure to economic growth. The asset classes providing returns independent of the equity market are nominal bonds and real assets (the latter including inflation-indexed bonds) and, for some investors, cash (usually implemented using skill-based assets with a cash-like beta). Many assets marketed as alternatives actually provide equity exposure in disguise.

scholarly journals The Contribution of Sustainable Tourism to Economic Growth and Employment in Pakistan

2019 ◽  
Vol 16 (19) ◽  
pp. 3785 ◽  
Author(s):  
Faiza Manzoor ◽  
Longbao Wei ◽  
Muhammad Asif ◽  
Muhammad Zia ul Haq ◽  
Hafiz ur Rehman
Keyword(s):  
Economic Growth ◽  
South Asian ◽  
Global Economy ◽  
Tourism Industry ◽  
Policy Implications ◽  
Future Research ◽  
Asian Countries ◽  
Long Run ◽  
Augmented Dickey Fuller ◽  
The Impact

In the global economy, tourism is one of the most noticeable and growing sectors. Thissector plays an important role in boosting a nation’s economy. An increase in tourism flow canbring positive economic outcomes to the nations, especially in gross domestic product (GDP) andemployment opportunities. In South Asian countries, the tourism industry is an engine ofeconomic development and GDP growth. This study investigates the impact of tourism onPakistan’s economic growth and employment. The period under study was from 1990 to 2015. Tocheck whether the variables under study were stationary, augmented Dickey–Fuller andPhillips–Perron unit root tests were applied. A regression technique and Johansen cointegrationapproach were employed for the analysis of data. The key finding of this study shows that there isa positive and significant impact of tourism on Pakistan’s economic growth as well as employmentsector and there is also a long‐run relationship among the variables under study. This studysuggests that legislators should focus on the policies with special emphasis on the promotion oftourism due to its great potential throughout the country. Policy implications of this recent studyand future research suggestions are also mentioned.

scholarly journals Environment Potential and Adjusting of Gross Domestic Product to the Safe Industrial Development

2018 ◽  
Vol 41 ◽  
pp. 04001
Author(s):  
Michal Cehlár ◽  
Zou Liang ◽  
Lian Wan ◽  
Khanindra Madauri ◽  
Sergey Krysin
Keyword(s):  
Economic Growth ◽  
Global Economy ◽  
Industrial Development ◽  
Raw Materials ◽  
High Tech ◽  
Negative Consequences ◽  
Resource Base ◽  
Environmental Goods ◽  
Goods And Services ◽  
Social And Economic Development

The importance of the natural resource and environmental factors in the development of the modern economy is becoming more important in the context of energy security and the quality of economic growth. This is also due to the fact that the state’s policy in increasing GDP has been adjusted to a qualitative social-and-economic development. In this regard, the quantitative measurement of the quantity and quality ratio of economic growth is relevant. The rise of the global economy as a whole and its individual territories is due to both a high-tech breakthrough and the development of raw materials industries – oil, gas, coal and metallurgy. Currently, to meet the needs of society in natural resources, environmental goods and services, ever-increasing costs are required for expanded reproduction of the mineral resource base and compensation for negative consequences resulting from the degradation of ecological systems and pollution of the natural environment.

scholarly journals Financial Stability – Comparative Analysis: Montenegro, Serbia and the Netherlands

2015 ◽  
Vol 4 (1) ◽  
pp. 63-93 ◽  
Author(s):  
Milena Vučinić
Keyword(s):  
Comparative Analysis ◽  
The Netherlands ◽  
Financial Stability ◽  
Global Economy ◽  
Banking Sector ◽  
Global Financial Crisis ◽  
Financial System ◽  
System Stability ◽  
Major Influence ◽  
The Global Financial Crisis

Abstract The global financial crisis has had far-reaching effects on financial systems and economies all over the world, thus putting the importance of safeguarding financial stability in the focus of interest of the global economy. This paper presents the importance of safeguarding financial stability and building a strong financial system with developed early identification and successful management of risks, i.e. a system resilient to shocks and capable of overcoming them. The paper focus is on the issue of financial stability of Montenegro, given through comparative analysis of the financial stability safeguarding frameworks in the Netherlands and the Republic of Serbia. The paper aims to present the regulatory institutional framework for safeguarding financial stability, and the measures that the countries take in order to achieve stability of their macroeconomic environment and financial system. The comparison of the characteristics and the approach to safeguarding the banking sector is particularly emphasised due to its major influence on the financial system stability.

scholarly journals Does financial system development, capital formation and economic growth induces trade diversification?

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Sohail Amjed ◽  
Iqtidar Ali Shah
Keyword(s):  
Economic Growth ◽  
System Development ◽  
Negative Relationship ◽  
Financial System ◽  
Capital Formation ◽  
Sultanate Of Oman ◽  
Content Type ◽  
Long Run ◽  
Short Run ◽  
Oil Sector

PurposeThe purpose of this study is to investigate long-run and short-run relationships between trade diversification, financial system development, capital formation and economic growth.Design/methodology/approachARDL estimation approach is applied to analyze long-run and short-run relationships between the financial system development, capital formation, economic growth and trade diversification in case of the Sultanate of Oman over the period 39 years starting from 1979 till 2017.FindingsThe results show that financial system development and economic growth has a positive impact on trade diversification in the short-run and long-run. However, capital formation has a negative impact on trade diversification in the short run and long run. The negative relationship between trade diversification and capital formation implies that over the period of study, the investment in capital goods was made to enhance the production capacity of the oil sector to maximize revenue.Research limitations/implicationsThis research is limited to analyze long-run and short-run relationship between the financial system development, capital formation and economic growth and trade diversification in case of Sultanate of Oman.Practical implicationsTo achieve the diversification goal, the policymakers need to formulate policies to strengthen the financial system and invest in infrastructure development to promote the non-oil sector. The research findings of this study will provide insights to the policymakers to formulate an effective diversification policy.Originality/valueThis research contributes to the existing literature by providing empirical evidence of the short-run and long-run analysis of the selected variables in the context of an oil-dependent country.

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