scholarly journals Changes in New Private Law of the Czech Republic and Implementation of Basel III

2021 ◽  
Vol 15 ◽  
pp. 37-42
Author(s):  
Jindřiška Šedová
Keyword(s):  
Czech Republic ◽  
Credit Risk ◽  
Cost Reduction ◽  
Considerable Extent ◽  
Capital Adequacy ◽  
Basel Iii ◽  
Private Law ◽  
The Czech Republic ◽  
Legal Risks ◽  
Contractual Obligations

Competition in the financial market puts currently new requirements for cost reduction on financial institutions. Available sources of cost reduction are seen i.a. in minimizing legal risks, which can reduce the uncertainty associated with enforcement and interpretation of legal acts, treaties and regulations in the field of contractual obligations. In this regard, banks in the Czech Republic are looking for new ways to reduce costs in the ongoing implementation of Basel II and preparation for implementation of Basel III. The central problem to which attention is focused is to ensure the required level of capital adequacy. This is conditioned i.a. by their risk management system. Capital adequacy may affect credit risk substantially. Besides others, the level of credit risk may be affected to a considerable extent by application of hedging instruments. This paper presents conclusions of the executed comparison of the existing and new private law provisions in the Czech Republic and, based on that, draws new opportunities and difficulties for banks in managing their credit risk and capital adequacy. The focus is only on the hedging instruments that may affect the activities of banks in a significant way.

scholarly journals The New Rules of Capital Adequacy Basel III from the Perspective of Leasing Companies in Europe and Czech Republic

2019 ◽  
Vol 10 (2) ◽  
pp. 21-41
Author(s):  
Martin Svítil
Keyword(s):  
Czech Republic ◽  
Stress Test ◽  
Balance Sheet ◽  
Capital Requirements ◽  
Capital Adequacy ◽  
European Federation ◽  
Basel Iii ◽  
The Czech Republic ◽  
Share Capital ◽  
Leasing Company

Some significant changes to the Basel III regulatory framework (called Basel IV) will come into effect during the 2022 to 2027 period. In its first part, this article shows the opinion of the European Federation of Leasing Company Associations Leaseurope on Basel IV. In its second part, this paper evaluates the situation of the largest leasing companies on the Czech market using methods of financial analysis.The results of several studies published by Leaseurope clearly show that the risk associated with the provision of liabilities through leasing is significantly lower than the risk calculated by the capital adequacy calculation for Basel rules. For this reason, the Leaseurope federation prepared concrete proposals for changes in the rules so that the regulation better corresponds to the actual risks taken.The second part of the article analyzes the situation of leasing companies in the Czech Republic in terms of capital, capital adequacy and compliance with Basel rules. It shows the state of the capital adequacy of the largest leasing companies operating on the Czech market using simplified indicators of the ratio of Equity / Balance sheet total and Equity / Receivables. As a complementary indicator, the ratio of Share capital / Balance sheet total is also used. Furthermore, a simplified stress test based on 5% and 10% decline in net receivables and coverage of this decline from equity, respectively, was performed.The results show that leasing companies operating on the Czech market would probably have no problem meeting the considered tightening of capital requirements. Several exceptions are mentioned in the text.

scholarly journals Effects of Basel III Framework on Capital Adequacy of Commercial Banks in Kenya

2016 ◽  
Vol 1 (1) ◽  
pp. 61
Author(s):  
Kevin Kombo ◽  
Dr. Amos Njuguna
Keyword(s):  
Risk Management ◽  
Credit Risk ◽  
Commercial Banks ◽  
Financial Stability ◽  
Safety Net ◽  
Capital Requirements ◽  
Capital Adequacy ◽  
Basel Iii ◽  
Credit Risk Management ◽  
Management Staff

Purpose:The purpose of the study was toassess the effects of Basel III framework on capital adequacy requirement in commercial banks in Kenya. The study sought to address the following research questions: why are capital adequacy regulations important in commercial banks in Kenya? What challenges are commercial banks facing in the implementation of capital adequacy requirement? What measures have commercial banks taken to ensure compliance with the capital adequacy requirement?Methodology:A descriptive survey design was applied to a population of 43 commercial banks operating in Kenya. The target population composed of the 159 management staff currently employed at the head offices of the various commercial banks in Kenya. The population was composed of Senior, Middle and Junior or Entry level Management staff. A sample of 30% was selected from within each group.Primary data was gathered using questionnaires which were dropped off at the bank’s head offices and picked up later when the respondents had filled the questionnaires. Descriptive analysis was used to analyze quantitative data while content analysis was used to analyze qualitative data.Results:The findings show that capital adequacy requirement is important in commercial banks because it leads financial stability in the Kenyan economy, improves credit risk management techniques as poor credit risk management requires more capital and leads to reduced vulnerability to liquidity shocks due to the sound capitalization policies being implemented under the Basel III framework. Findings also revealed that capital adequacy affected the balance sheet structure of the commercial banks in Kenya.Unique contribution to theory, practice and policy: The study recommends that banks should continue the pursuit of various strategies to ensure that they are in compliance with Basel III requirements and the Central Bank of Kenya’s Prudential Guidelines. The staff of this committee should be drawn from mainly the finance, legal, compliance and treasury departments. Compliance with the capital requirements will lead to a safety net for all commercial banks as the additional capital will act as a cushion that absorbs losses in case of distress in the commercial banking sector.

VALIDITY AND LEGAL EFFECT OF PUBLISHING LICENSE AGREEMENTS ACCORDING TO NEW CZECH LEGISLATION

2021 ◽  
Author(s):  
Lydie Tallova
Keyword(s):  
Czech Republic ◽  
Historical Context ◽  
Legal Protection ◽  
Civil Code ◽  
Copyright Law ◽  
Private Law ◽  
License Agreement ◽  
Industrial Property ◽  
The Czech Republic ◽  
Legal Norms

"This contribution focuses on the new legislation on the publishing license agreement in the Czech Republic. Given the legislative history and its importance in the copyright obligation area, this type of agreement occupies an essential position. The publishing license agreement is the oldest kind of license agreement. It dates back more than sixty years to earlier of the Czech legislation. Since 1953, it has been embedded in the the copyright law as a special subtype of copyright agreements. After the recent reform of the Czech private law, this legal body underwent a fundamental legislative change consisting of the transfer of this piece of legislation from the copyright law to the New Civil Code in order to unify the duality of the previous license agreement legislation formerly embedded in two legal norms of the Czech legal system. While the license provisions for literary, artistic and scientific works were contained in the copyright law provisions, the legal protection for industrial property objects, including corresponding license provisions, were subject to the commercial code. In connection with the private law reform, the New Civil Code came into effect on 1 January 2014 and its framework provided the lawmakers with a chance to unify the previously fragmented license agreement legislation into a single legal provision, while at the same time respecting the particularities of the license under copyright law. The unified license agreement legislation for commercial and civil relations in connection with the reform of local private law is newly defined in Sec. 2358 and 2389 of New Civil Code (Act No. 89/2012 Sb.), while the publishing license agreement provisions are defined in a special provision in Sec. 2384 and 2386 thereof. The new legislation has adopted the previous legislation from both special acts without any fundamental changes. However, minor changes are introduced to licensing law in the Czech Republic which are further specified in this paper. The issue under review is set in a theoretical framework and simultaneously depicted in a historical context. This paper presents the topic in its complexity by highlighting the overlap of the introduced changes in license agreement legislation with other provisions of the private law."

Basel I to Basel III: Impact of Credit Risk and Interest Rate Risk of Banks in India

2018 ◽  
Vol 17 (1_suppl) ◽  
pp. S83-S111 ◽  
Author(s):  
Noor Ulain Rizvi ◽  
Smita Kashiramka ◽  
Shveta Singh
Keyword(s):  
Interest Rate ◽  
Credit Risk ◽  
Interest Rates ◽  
Banking System ◽  
Interest Rate Risk ◽  
Theoretical Background ◽  
Capital Adequacy ◽  
Basel Iii ◽  
Rate Risk ◽  
Net Interest Margin

The study explores the theoretical background of Basel III and investigates the drivers of interest rate risk and credit risk of banks in various parlances, namely, pre and post the financial crisis, phases of implementation and ownership on a sample of 36 listed banks in India. The findings indicate that the high capital adequacy requirement (CAR) exhibits a positive relation with gross non-performing assets (GNPAs) and net interest margin (NIM). This is perhaps one of the major drawbacks of Basel implementation, which may become a cause of lower GDP in the future as explained in the findings of the literature. Originality/value: This article is perhaps the first attempt of its kind to empirically examine the bank-specific, macroeconomic variables and link it with the Basel implementation in the Indian banking system for the time period 2002–2015. This study endeavours to enhance the existing empirical research in the field and give insights into the role of various factors on GNPAs and interest rates (with regards to Indian banks).

scholarly journals The importance of proper evidence and identification of metallurgical materials for effective management of the company

2018 ◽  
Vol 244 ◽  
pp. 01006
Author(s):  
Vladimíra Schindlerová ◽  
Ivana Šajdlerová
Keyword(s):  
Czech Republic ◽  
Production Process ◽  
Manufacturing Process ◽  
Cost Reduction ◽  
Production Systems ◽  
Effective Management ◽  
The Czech Republic ◽  
Record Keeping ◽  
Efficient Management ◽  
Current State

An important characteristic for efficient management of production systems is the ability of a product, component or material to be tracked. That is, to be assigned with a unique symbol, number, or other code (identifier) that can be traced back both within the production process and to the customer (e. g. when complaining about a defective part). Traceability leads to a cost reduction in eliminating the risks associated with the difficult identification of the material or parts, their handling in pre-production, the manufacturing process, or the storage and sale of finished products to customers. In case of problems, it makes it easier to implement the necessary measures and reduces the time to remedy the situation either within the company or even outside. Individual companies within the Czech Republic usually solve the identification and traceability independently. The paper deals with the results of the analysis of the current state of record keeping and identification of metallurgical materials in selected companies, and presents a proposal for improvement of the current situation in a specific company, especially in the field of work with remaining material.

National Report for the Czech Republic

2012 ◽  
Keyword(s):  
Czech Republic ◽  
20Th Century ◽  
Central Europe ◽  
Private Law ◽  
The Czech Republic ◽  
The Past ◽  
National Report

The extent to which history is determinative of, or even relevant to, the present is of course subject to an old and inconclusive debate. There seems to be no guarantee that great social traditions and achievements of the past will be preserved to the present day, no matter what the effort. Conversely, however, if a society works hard at destroying its institutions and persists with this programme for decades, it is quite likely to succeed, as evidenced by the sad story of private law in several jurisdictions in central Europe in the second half of the 20th century.

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