scholarly journals Cryptocurrencies: A political and a fiscal analysis

2019 ◽  
Vol 6 (3) ◽  
pp. 102-111
Author(s):  
Carlos Rodrigues ◽  
Ana Campina ◽  
Graziela Moraes
Keyword(s):  
Banking System ◽  
Central Banks ◽  
Real Economy ◽  
Global Level ◽  
Virtual Currency ◽  
Financial Reports ◽  
The Face ◽  
The Moment ◽  
Private Banking ◽  
Fiscal Analysis

The existence of cryptocurrency a decade ago is an inescapable reality that at the moment generates a high financial influence at global level, the fact that obliges us to know and to study them. Our questions are essentially at three levels: their acceptance, or not, by the States in the face of the paper-money issued by their Central Banks and how the Private Banks react to this virtual currency created in particular; what actions have Tax Administrations at the global level faced with the wealth they generate and the financial values that move in the real economy. Our study is based on the doctrine that already exists, but mainly financial reports produced by central banks and private banking as well as by tax administrations. Finally, we present our conclusions on the current state of analysis and financial studies of the banking system and tax administrations and, of course, our opinion. Keywords: Cryptocurrency, Bitcoin, fiscal analysis, policies, perceptions.

scholarly journals The Financial Crisis Response. Comparative Analysis Between European Union And USA

2017 ◽  
Vol 10 (1) ◽  
pp. 129-155 ◽  
Author(s):  
Florentina Melnic
Keyword(s):  
Risk Taking ◽  
Inflation Rate ◽  
Banking System ◽  
Central Banks ◽  
Crisis Response ◽  
Bond Markets ◽  
Real Economy ◽  
Monetary Policies ◽  
Policy Makers ◽  
The Impact

Abstract This paper reviews the measures adopted by central banks from the most important economies during the crisis and assess their effectiveness. It is important for policy makers to identify which measures were effective in limiting the financial system distress in order to adopt the appropiate measure during future crisis. In case of US, TARP was the most important program for banking system and it was effective in reducing banks’ contribution to systemic risk and banks’ default probabilities. But TARP also conducted to a reduction in loans growth and create incentives for higher risk-taking behavior. The unconventional monetary policies adopted by ECB during the period 2008- 2016 reduced the impact of the crisis on the European economy and achieved their objectives: to support banks’ funding and to increase lending to real economy (LTROs), to calm tensions from bond markets (CBPP, SMP, OMT), to support economic activity and to stabilize inflation rate (SMP, OMT, LTROs, APP).

Conceptual provisions of management percentage risk in international practice

2021 ◽  
pp. 205-218
Author(s):  
Valentin Yur’evich Vakhrushev ◽  
Andrey Viktorovich Zakharov ◽  
Mikail Bekzadaevich Khudzhatov
Keyword(s):  
Russian Federation ◽  
Commercial Banks ◽  
Banking System ◽  
Developed Countries ◽  
Central Banks ◽  
Interest Rate Risk ◽  
Global Banking ◽  
The World ◽  
The Face ◽  
The Russian Federation

In the face of the COVID-19 pandemic world banking system is being severely tested. The last time such shocks occurred during the global fi nancial crisis of 2008–2009. However, the crisis of the global banking system in 2020 caused by the COVID-19 pandemic is very diff erent from the global fi nancial crisis of 2008–2009. During the previous global fi nancial crisis, central banks around the world were able to cut key rates to stimulate the aff ected economy, while the current crisis is taking place in conditions of extremely low and even negative key rates. Consequently, the central banks of the economically developed countries of the world lack one of the most eff ective tools to stimulate the economy in the face of a global crisis. Since the maximum income of commercial banks is generated by the operation of high key rates, the downward trend in recent years is a serious risk to the business of commercial banks. The article analyses the dynamics of key rates in the economically developed countries of the world in comparison with China and the Russian Federation, based on the results of this document, the main trends and patterns were identified, the most dangerous risks for commercial banks are shown. Besides the article discusses the modern conceptual provisions of interest rate risk management in commercial banks of the Russian Federation. They form the basis for the development of constructive methods for assessing commercial risk and the formation of managerial decisions that ensure its prevention or reduction of negative consequences in the event of the implementation of risk events that determine it.

scholarly journals Structural and functional differences between state-owned and private banks in Iran

2020 ◽  
Vol 18 (2) ◽  
pp. 51-74
Author(s):  
Amin Jaffari ◽  
Zahra Sohrabi Abad ◽  
Zahra Ghazinezhad
Keyword(s):  
Banking System ◽  
Structural Difference ◽  
Functional Difference ◽  
Private Banks ◽  
The Government ◽  
The Moment ◽  
And Function ◽  
Private Banking ◽  
Role And Function

Banks, as financial institutions, play the role of financial intermediaries: savings, investments, production, employment and growth in the national economy are affected by operations of banks. State-owned and private banks have a relatively similar role and function and the rules and regulations governing them are not very different, because the non-usury banking act was adopted at a time when there was no private bank in the banking system of the country and all acts and regulations governing banking operations were approved by the government’s banking vision. At the moment, banks are moving within the samelegal atmosphere. Hence, the question is whether private banks are taking the path that the government banking system has taken. Despite the similarities, these banks are sometimes subject to different rules and regulations in terms of how to establish, operate and dissolve. This structural difference has led to a functional difference and has often differentiated the ways in which resources are attracted and allocated and made the private banking system somewhat offset the deficiencies of the government banking system.

Russian Banking System under Conditions of Global Crisis

2009 ◽  
pp. 4-14 ◽  
Author(s):  
G. Gref ◽  
K. Yudaeva
Keyword(s):  
Banking System ◽  
Commodity Prices ◽  
Financial Sector ◽  
Banking Crises ◽  
Economic Recovery ◽  
Balance Sheets ◽  
Current Economic Crisis ◽  
Risk Appetite ◽  
The Us ◽  
The Face

Problems in the financial sector were at the core of the current economic crisis. Therefore, economic recovery will only become sustainable after taking care of the major weaknesses in the financial sector. This conclusion is relevant both for the US and UK - the two countries where crisis has started, and for other economies which financial institutions turned out to be fragile in the face of the swings in the risk appetite. Russia is one of the countries where the crisis has revealed serious deficiency in the financial sector. Our study of 11 banking crises during the last 25-30 years shows that sustainable economic recovery and decrease in the dependence on commodity prices will be virtually impossible without cleaning of balance sheets and capitalization of the financial sector.

scholarly journals Money creation under full-reserve banking: a stock–flow consistent model

2018 ◽  
Vol 43 (5) ◽  
pp. 1219-1249 ◽  
Author(s):  
Patrizio Lainà
Keyword(s):  
Interest Rates ◽  
Government Spending ◽  
Banking System ◽  
Large Change ◽  
Real Economy ◽  
Consistent Model ◽  
Safety Margins ◽  
Money Creation ◽  
Reserve Banking ◽  
Stock Flow

Abstract This paper presents a stock–flow consistent model of full-reserve banking. The paper investigates money creation through government spending in a full-reserve banking system. The results are contrasted against the cases in which government spending is increased under full-reserve banking without money creation and under endogenous money, that is, the current monetary system. It is found that output, employment and inflation evolve almost identically. In contrast to other cases, money creation in a full-reserve banking system leads to a permanent reduction in consolidated government debt. Monetary policy transmits effectively as an increase in central bank reserves translates into an almost equal increase in demand deposits. Furthermore, an unusually large change in the money supply induces only smooth and relatively small changes in interest rates. In addition, the paper compares three additional ways to create money. Money creation through tax cuts or citizen’s dividend generates roughly the same results as creating money through government spending. In contrast, money creation through quantitative easing affects only monetary aggregates and interest rates but not the real economy. Although in every money creation experiment banks are able to fully satisfy the demand for loans, temporary credit crunches can occur under full-reserve banking. The occurrence of credit crunches depends on changes in private behaviour and economic policy as well as safety margins adopted by banks.

scholarly journals TREASURY BILLS AND/OR CENTRAL BANK BILLS FOR ABSORBING SURPLUS LIQUIDITY: THE MAIN CONSIDERATIONS

2013 ◽  
Vol 04 (02) ◽  
pp. 1350011
Author(s):  
OBERT NYAWATA
Keyword(s):  
Central Bank ◽  
Banking System ◽  
Central Banks ◽  
Market Development ◽  
Practical Reasons ◽  
Treasury Bills ◽  
Positive Externalities ◽  
Excess Liquidity ◽  
Challenging Question ◽  
Transmission Of Monetary Policy

This paper discusses the challenging question of whether central banks should use Treasury bills or central bank bills for draining excess liquidity in the banking system. While recognizing that there are practical reasons for using central bank bills, the paper argues that Treasury bills are the first best option especially because of the positive externalities for the financial sector and the rest of the economy. However, the main considerations in the choice should be: (i) operational independence for the central bank; (ii) market development; and (iii) the strengthening of the transmission of monetary policy impulses.

scholarly journals Validity of Altman Z-Score Model to Predict Financial Failure: Evidence From Jordan

2018 ◽  
Vol 10 (8) ◽  
pp. 181 ◽  
Author(s):  
Sufian Al-Manaseer ◽  
Suleiman Al-Oshaibat
Keyword(s):  
Stock Exchange ◽  
Financial Statement ◽  
Insurance Companies ◽  
Z Score ◽  
Financial Reports ◽  
Financial Failure ◽  
Amman Stock Exchange ◽  
The Face ◽  
The Subject ◽  
Score Model

This paper aims to investigate the Validity of Altman z-score model to predict financial failure in insurance companies listed on Amman Stock Exchange (ASE) over the period 2011-2016. To achieve the goal of the study, the study depended on the different statistics analytical method and Multiple Linear Regression through doing the statistical analysis of the independent variables on the dependent variable related to the subject of the study through the (E-views) program in order to cover the analytical part of the study, in addition to the descriptive method through relying on books, periodicals, previous studies and financial reports of the insurance companies of the study’ sample, whether the direct or the indirect ones, to cover the theoretical part. The result of the study finds a high predictive power for Z-score model. Moreover, the findings reveal that Z-Score model could be valuable instrumental indicators for many users of financial statement such as financial managers, auditors, lenders, investors, to make right decisions in the face of financial failure.

scholarly journals Heterogeneity in the Relationship Between NPLs and Real Economy: Evidence from the Mongolian Banking System

2021 ◽  
Vol 10 (2) ◽  
pp. 133-155
Author(s):  
Enkhzaya Demid
Keyword(s):  
Exchange Rate ◽  
Interest Rate ◽  
Manufacturing Sector ◽  
Banking System ◽  
Real Economy ◽  
Economic Sectors ◽  
Macroeconomic Shocks ◽  
Credit Quality ◽  
Loan Supply ◽  
The Relationship

Abstract The paper analyses the relationship between the banks’ credit risk and macroeconomic conditions by addressing the following questions; (i) How are macroeconomic shocks transmitted to lending risk depending on the ban-specific features? (ii) Are the effects of macroeconomic shocks different across the loan portfolios in various economic sectors? Unlike the common assumption in the literature, the empirical analysis considers banks’ heterogeneity and diversification across borrowers. It employs heterogeneous panel SVARs and standard SVAR models on a dataset from 2002. Q1 to 2019.Q1. The results suggest that the deterioration in credit quality is affected by both macroeconomic and bank-specific factors, with substantial heterogeneity in the magnitudes and timing in terms of the type of loans in various business sectors and bank characteristics. In particular, we find strong evidence of cyclical sensitivity of loan quality, and about 1/4 of banks’ NPLs increases stronger in response to the shocks to growth, exchange rate, interest rate, and profitability. The highly profitable banks tend to less engage in excessive risk-taking, resulting in lower NPLs, whereas the relation of asset size to NPLs is not significant for the sample. A growth shock plays a prominent role in explaining the variation of NPLs for the trade and mining sectors. Similarly, the loan supply shock is the main determinant for the construction sector’s NPLs, while the exchange rate shock is the most responsible for the manufacturing sector. The interest rate shock and exchange rate shock are the most effective factors on NPLs of consumer loans. Finally, the feedback effect of NPLs shows that deterioration of credit quality slows down economic growth.

scholarly journals Banking system stability in the context of the relationship between banks and the state

2020 ◽  
Vol 3 (45) ◽  
pp. 155-166
Author(s):  
V. O. Kornіvska ◽  
Keyword(s):  
Banking System ◽  
Legal Framework ◽  
The State ◽  
System Stability ◽  
Banking Union ◽  
Real Economy ◽  
The Real ◽  
Euro Zone ◽  
European Experience ◽  
Financial Liquidity

The article presents the results of a study of the banking system stability under the conditions of increased financial support from the state during the financial and economic destabilization. The banking system stability in the euro zone has been analyzed to assess the prospects for monetary and financial development in Ukraine. The European experience proves that strengthening relations between banks and the state amidst the financialization process is harmful. The author of the article treats this relationship as a closed-loop problem of public and financial liquidity circulation, which leads to financial bleeding in the real economy and destabilization of the financial system, as a whole. This problem requires to be fixed by reducing banking transactions with government securities. The article gives facts proving that the search for solutions to this problem made in the European financial space has become one of the factors of financial and institutional transformations in the euro zone and the EU, in general, and has led to the creation of a banking union. The newly introduced legal framework has manifested itself as unable to stimulate efficient financial distribution. It has also been demonstrated that due to the public and financial liquidity circulation the banking system becomes subject to profound redesigning, thus losing its ability to conduct effective financial distribution in the real sector of economy.

Sign in / Sign up

Export Citation Format

Share Document