scholarly journals Alternative concepts for a global financial system : an answer to the present world financial crisis

2011 ◽  
Vol 43 (166) ◽  
Author(s):  
Felix Fuders
Keyword(s):  
Financial Crisis ◽  
Financial System ◽  
Present World ◽  
Global Financial System

scholarly journals Ethics in the Operation of Banks in the Perspective of the Financial Crisis of 2007–2009

2020 ◽  
Vol 2 ◽  
pp. 55-67
Author(s):  
Eliza Komierzyńska-Orlińska
Keyword(s):  
Financial Crisis ◽  
Market Economy ◽  
Capital Markets ◽  
Financial System ◽  
Public Trust ◽  
Economic Life ◽  
Special Role ◽  
Banking Activity ◽  
Global Financial System ◽  
Partial Paralysis

Ethics in bank operations is and should be relevant. Because of their special status – institutions of public trust and the special role they play in the market economy – creating the bloodstream of economic life while being its participants as entrepreneurs – all their actions should have ethical foundations. They staggered tremendously during the financial crisis of 2007–2009 (called the crisis of trust) when as a result of careless actions of banks a problem of so-called toxic assets appeared which have shaken the foundations of banking activity. This resulted in the collapse of the capital markets, partial paralysis of the global financial system and a massive recession. The greed and recklessness of financiers began to be identified with the institution of the bank. Th aim of this study is to draw attention to the fact that banks – despite the turmoil (or rather especially because of) the crisis of 2007–2009 – as institutions of public trust should be guided by the values, standards and principles of ethics in every aspect of its business despite the fact that they are entrepreneurs focused on maximizing profit.

scholarly journals The «Group of Twenty», IMF and EU and Reforming of Global Governance

2014 ◽  
pp. 80-87
Author(s):  
E. J. Il'in
Keyword(s):  
Financial Crisis ◽  
Financial System ◽  
Bretton Woods ◽  
Economic Organizations ◽  
The World ◽  
World Economic ◽  
Floating Exchange Rates ◽  
Global Financial System ◽  
The Imf

This article is devoted to the process of reforming the global financial system and world economic organizations since the foundation of the International Monetary Fund at the Bretton Woods Conference in 1944 to present time. Special attention is given to results of cooperation of the IMF and the "Group of Twenty"in the context of the world financial crisis 2008-2009. This article mentions the key benchmarks of the historical development of world economy: foundation of the Bretton Woods financial system, rejection of the gold standard at the Jamaica Conference, transition to the floating exchange rates, the wave of crises in the 1990-s, the world financial crisis of 2008-2009. The process of evolution of the IMF within the framework of these global events is considered here. The cooperation of EU, IMF and "Group of Twenty" is considered. The reforms of the IMF and their results are analyzed. The policy of the IMF at different historical stages of its evolution is estimated. As well as it results, the article also deals with the formation and development of the "Group of Twenty". The increasing role of the "Group of Twenty" in the global economic governance and reforming the IMF is considered. Especially is marked the necessity of the further reforms of the IMF and increasing of participation of the "G-20" in the world economic and politic system.

scholarly journals Remembering Financial Crises: The Risk Implications of the Rise of Institutional Investors in Project Finance

2018 ◽  
pp. 383
Author(s):  
David Park
Keyword(s):  
Financial Crisis ◽  
Institutional Investors ◽  
Financial Services ◽  
Global Economy ◽  
Financial System ◽  
Project Finance ◽  
Market Failures ◽  
Institutional Investment ◽  
Banking Regulations ◽  
Global Financial System

Barely a decade ago, a cascading sequence of market failures threatened to topple the global financial system. Public responses to the recent Financial Crisis were immediate and drastic to resuscitate the global economy while attempting to make the markets safer. Many financial services sectors have since recovered to pre-crisis levels. One such industry is project finance, which comprises various financing arrangements often used to fund long-term infrastructure or industrial projects. Curiously, significant post-crisis banking regulations and other global credit enhancement initiatives are pushing banks out of project finance and giving rise to institutional investors. This Comment argues that animated institutional activity in project finance may increase both financial and, more notably, governance risks. Further, increased institutional investment in project finance shifts the risk intended to be captured under new banking regulations to unregulated markets and makes the financial system more complex and interconnected. Ultimately, public responses to the Financial Crisis may have the unintended consequence of increasing project-level risks and injecting seemingly regulated systemic risk back into the global financial system.

scholarly journals Concentration risk: Setting credit limits in loan portfolios, case of Morocco

2016 ◽  
Vol 6 (3) ◽  
pp. 50-58
Author(s):  
Bazzi Mehdi ◽  
Chhaiba Hassan ◽  
Hasna Chamlal
Keyword(s):  
Mathematical Model ◽  
Financial Crisis ◽  
Financial System ◽  
Regulatory Environment ◽  
2008 Financial Crisis ◽  
Loan Portfolios ◽  
The 2008 Financial Crisis ◽  
Set Up ◽  
Credit Portfolio ◽  
Global Financial System

The latest biggest financial crisis reveals different weakness points over the global financial system. The concentration risk is one of many different risks that figured out by the regulators after the 2008 financial crisis. To deal with such a risk the regulators set up a dispositive of measures to control it. Therefore, we suggest in this paper a version of a mathematical model that optimize the allocation of capitals for a credit portfolio of a bank with taking into consideration the Moroccan regulatory environment.

The Political Economy of Global Finance Capital

2009 ◽  
Vol 61 (4) ◽  
pp. 731-763 ◽  
Author(s):  
Richard Deeg ◽  
Mary A. O'Sullivan
Keyword(s):  
Political Economy ◽  
Financial Crisis ◽  
Domestic Politics ◽  
Global Financial Crisis ◽  
Financial System ◽  
Future Research ◽  
The Political ◽  
Global Finance ◽  
Private Regulation ◽  
Global Financial System

The globalization of finance in recent years and the concurrent growth in the financial sector's influence, manifested most dramatically in the recent financial crisis, highlights the importance for political scientists of understanding the political economy of global finance. The authors review six important books that are representative of recent thinking by political scientists on the topic. They address the central questions that have been at the heart of the literature on global finance from its beginning in new and interesting ways. The most important developments highlighted in this article are the move from a predominant focus on state-centered patterns of regulation to the consideration of transnational governance regimes that mix public and private regulation; the effort to understand the causal forces that shape the political economy of global finance by allowing for an interaction among interests, institutions, and ideas; and giving increased attention to new sources of systemic risk in the global financial system, as well to the consequences for domestic politics of interactions with the global financial system. Notwithstanding the progress that has been made in coming to grips with the political economy of global finance, the authors highlight a number of questions that need to be addressed in future research. Although various nonstate actors have been recognized as important in the constitution of the rules of global finance, it is also necessary to understand the behavior of the actors who enact these rules. It is also important to generate evidence that forges some agreement on the causes of the globalization of finance, especially as the arguments made become more complex. Finally, there is a need for a more realistic assessment of the costs and benefits of financialization at the global and national levels. This last challenge is essential for a thorough understanding of the current global financial crisis.

scholarly journals Shadow banking: Regulatory Reform and Its Effectiveness

2019 ◽  
Vol 23 (4) ◽  
pp. 69-79
Author(s):  
V. M. Usoskin
Keyword(s):  
Financial Crisis ◽  
Financial Institutions ◽  
Banking Sector ◽  
Global Financial Crisis ◽  
Negative Impact ◽  
Financial System ◽  
Regulatory Reform ◽  
Shadow Banking ◽  
Systemic Risks ◽  
Global Financial System

Over the past three decades, a large group of non-bank financial institutions has been formed in the world economy. These institutions fall outside the realm of traditional banking and take an active part in the lending processes of economic turnover entities. The activities of these institutions, called the shadow banking system (SBS), led to an increase in systemic risks and had a negative impact on the state of the global financial system. This was distinctly displayed during the global financial crisis of 2007–2009. The subject of this article is a series of measures taken by the international and national financial control bodies after the financial crisis to eliminate most risky aspects of shadow banking and to strengthen the system of financial oversight and monitoring. The final aim of the analysis is to evaluate effectiveness of the measures on strengthening control and limiting risks applied by the control bodies of the G-20 countries in the course of the reform to enterprises of the traditional and shadow sectors of the financial system. The results of the analysis show that the reform strengthened positions of traditional banks and improved their ability to resist financial shocks. As to the shadow banking sector, contrary to the statements of the initiators of the reform the regulative measures did not eliminate the systemic risks peculiar to nonbank financial institutions and did not stop their growing activities. This situation threatens the stability of the global financial system and a possibility of a new financial slump retains.

Analyzing the impact of financial momentum on the development of the economy

2020 ◽  
Vol 26 (2) ◽  
pp. 299-315
Author(s):  
V.V. Smirnov
Keyword(s):  
Financial Regulation ◽  
Systems Approach ◽  
Financial System ◽  
Modern Economic ◽  
And Performance ◽  
The Interest Rate ◽  
National Economies ◽  
Economic Ties ◽  
The Impact ◽  
Global Financial System

Subject. The article discusses the momentum in finance. Objectives. The study reveals the impact of financial momentum as the unity of antipodes in the development of the national economy. Methods. The study is based on a systems approach and methods of descriptive statistics. Results. I discover the ultimate goal of globalization, i.e. the substantive simplification of national economies and strengthening of global economic ties. The goals determine the logic tendency of national economies for reducing the interest rate so as to gain the financial momentum and, consequently, fanning the crisis risk in the global financial system. The global financial system became the substance of global economic processes, which determined development opportunities of national economies. I reveal what countries have the high and low financial momentum. Conclusions and Relevance. Being the unity of antipodes in the modern economic development, financial momentum causes countries to lose their economic identity, making them just functions of the global financial system. The cyclical development model of national economies is replaced with the metron model that rests on fluctuating advanced economies with the low financial momentum at its bottom and emerging economies at its top. The findings crystallize the concept and new competencies for a person who decide on the determination and performance of financial regulation activities.

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