Activities Of Commercial Banks Research Articles

الأثر التتابعي لعدد من محددات الائتمان في الحد من التعثر الائتماني من خلال حجم الائتمان النقدي

يعد الائتمان النقدي من انشطة المصارف التجارية ذات الأهمية كونها تساهم في تحقيق التنمية الاقتصادية، وذلك من خلال ما تقدمه من قروض مالية تدعم الاستثمارات على نحو خاص. ومن هذا المنطلق، تحرص المصارف التجارية دراسة المحددات الرئيسة التي تؤثر على حجم الائتمان النقدي من أجل صياغة سياستها الائتمانية وفق الغرض الاساسي من عملية منح الائتمان النقدي لتقليل حالات التعثر الائتماني. ويهدف البحث إلى تحديد اهم المعايير التي بموجبها يتم منح الائتمان للزبائن وتحديد اثر محددات الائتمان في الحد من التعثر الائتماني من خلال حجم الائتمان النقدي ، وتوصلت البحث إلى ان هناك تأثبر معنوي إيجابي بين محدات الائتمان وحجم الائتمان النقدي وتأثير معنوي سلبي بين محددات الائتمان وتعثر الائتماني ، ويعزز حجم الائتمان النقدي تأثير محدات الائتمان في التعثر الائتماني.وتوصي البحث بقيام المصارف التجارية اعتماد سياسة ائتمانية سليمة بخصوص منح الائتمان النقدي و الاهتمام بمعايير منحه لكي تتجنب المخاطر المصاحبة بمنح الائتمان مثل التعثر الائتماني.

The Optimized Way of Commercial Bank Management under the Background of Big Data

With the advent of the era of big data, the commercial management activities of commercial banks are facing both new challenges and new development opportunities. In the increasingly fierce market competition, commercial banks must pay attention to enhance their core competitiveness, only in this way can they occupy a certain advantage in the fierce market environment. Therefore, commercial banks must accurately grasp the development opportunities brought by big data, and further strengthen the optimization of business management. The author explores and analyzes the impact of big data on commercial banks, and puts forward an effective way for commercial banks to optimize business management in the context of big data, hoping to contribute to the long-term development of commercial banks.

The constituent elements and options of the bank’s strategy

The article proposes a scientific and practical approach to the formation of a strategy for the commercial bank activities in modern conditions. The information base of the article was the results of a study of modern scientists and statistical data of the NBU. It is determined that the reason for the existence of the bank’s strategy is its mission. As a result of the study, it was substantiated that the main elements of the strategy are the strategic vision, strategic planning and action strategy of the bank. The definition of the bank’s strategy is formulated. Approaches to the formation of the bank’s strategies have been substantiated: traditional, competitive, integrative and external. It is determined that the bank’s share in the banking services market at a certain level of profitability is the universal strategic goal of the bank’s activities. Consequently, there are only three universal strategies for the bank’s actions: an aggressive growth strategy, a moderate growth strategy, and a conservative strategy. From this point of view, it follows that there are three main ways to achieve a competitive advantage: identifying such market segments throughout the entire economy, where the bank can lead; receiving benefits through the introduction of new banking services; getting benefits through pricing. It is shown that the bank’s strategy is associated with the choice of a corporate governance model of the bank, which, in turn, depends on the characteristics of the country’s economy. It is proposed to use the Japanese-German model of corporate governance of the bank as the most suitable for the specific political and economic conditions of Ukraine. It is noted that the implementation of the bank’s strategy leads to the formation of a universal or specialized bank (corporate, retail, investment, settlement, etc.).

Актуальные проблемы рынка потребительского кредитования в России

The analysis of the development of the consumer credit market has shown that there are a number of problems associated with the growth of borrowers debt among the population. Accelerated growth in lending and reduced solvency of borrowers led to a steady decline in real incomes of citizens and the development of the non-banking financial sector. The authors set a goal to conduct a study of the relationship between the development of the consumer banking lending market and the solvency of the population. Based on the conducted research, the main factors influencing the growth of retail consumer lending and the solvency of citizens were identified. These factors include the development of the MFI market, the lack of credit monitoring by the banking sector, inappropriate provision of credit resources, and a steady decline in real incomes of the population. On the basis of comparative analysis, statistical, economic and mathematical methods, the dependencies between the current macroeconomic indicators were determined, which confirmed the assumptions about the falling solvency of Russian citizens and the unstable state of the banking sector. Applying the results of the current study will be effective for carrying out reforms in the field of monetary policy of the state and changes in the legislation regulating the activities of commercial banks and microfinance organization.

Роль управления кредитными рисками в коммерческих банках

The article discusses issues related to improving credit risk management in the activities of commercial banks of the Republic of Uzbekistan, as well as developed scientific proposals aimed at solving these problems. Studied further ways to improve monetary policy using the tools used in international best practice in the strategy of the President of the Republic of Uzbekistan.

ГОСУДАРСТВЕННОЕ РЕГУЛИРОВАНИЕ ДЕЯТЕЛЬНОСТИ КОММЕРЧЕСКИХ БАНКОВ

ГОСУДАРСТВЕННОЕ РЕГУЛИРОВАНИЕ ДЕЯТЕЛЬНОСТИ КОММЕРЧЕСКИХ БАНКОВ

Evaluation of remote banking services in Russia

Subject. We consider the activities of commercial banks relating to banking services that are based on remote service technology. Objectives. The purpose is to explore remote banking as one of the most promising ways to provide banking services, using the PAO Promsvyazbank case. Methods. The study rests on general scientific methods, like analysis and synthesis, historical analysis, comparison, and tabular and graphical methods for presenting data. Results. We reviewed the indicators of remote banking in Russia and its development trends, analyzed the transactions of PAO Promsvyazbank in the remote banking market. The analysis results enabled to unveil problems, prospects, and areas for remote banking development. Conclusions. The use of foreign partners’ experience, a clear and coherent development strategy, and coordinated activities will enable PAO Promsvyazbank to create a successful system of remote banking in the Russian market. It is crucial to follow the developed strategy to strengthen the bank’s position in the future. Competent implementation of remote services will help enhance performance efficiency and expand business through selling banking products and attracting new customers. The findings may be useful for studying the development trends in remote banking services and assessing their efficiency.

Impact of Financial Crisis on Credit Risk: Pre- and Post-financial Crises in an Emerging Economy

This aim of the article is to establish a model to discuss the reasons for changing the level of credit risk among the commercial banks of Bangladesh during the global financial crisis (GFC). Credit risk has been remaining as the essential and core risk in commercial banking activities. Multiple regression analysis is used to test the relationship among the level of credit risk as a dependent variable and financial crisis, other bank-level variables and macroeconomic variables. The causes of the GFC revealed not only systematic or structural imbalances but also the necessity to keep and strengthen the principles of credit risk management. We analyse the leading causes of the recent GFC. Moreover, the lessons that must be learnt from the weaknesses of credit risk management systems. Credit risk was found to respond to macroeconomic conditions, which indicate strong feedback effects from the banking system to the real economy. This article represents the analysis of the influence of the financial crisis on credit risk management in commercial banks and summarizes the challenges faced by banks for credit risk improvement. We hope that this reality creates new opportunities for managing credit risk in the future to increase this importance in the banks and the overall economy of Bangladesh.

ТИЖОРАТ БАНКЛАРИ ИНВИСТИТСИОН ҲАРАКАТЛАРИ УЧУН РЕСУРС МАНБАЛАРИ

This article analyzes the factors affecting the investment activities of commercial banks. Recommendations on increasing the resources of commercial banks have been developed

Two-stage incentives system for commercial banks based on centralized resource allocation model in DEA-R

PurposeIt is always of great importance for managers in organizations to evaluate their staff members and create incentive systems, using instruments such as Data Envelopment Analysis (DEA) and DEA-R (DEA models based on ratio analysis). The purpose of this paper is to propose a two-stage network incentives system for commercial banks.Design/methodology/approachCentralized Resource Allocation (CRA) models make it possible to project all decision-making units (DMUs) onto the efficient frontier by solving a single linear programming model. In this paper, we use our proposed DEA-R-based CRA models to evaluate commercial banks in a two-stage case when the only ratios available are the assets-to-costs and income-to-assets vectors.FindingsThirteen commercial banks modeled as two-stage networks were evaluated by the models proposed in two different cases of ratio data. Results suggest that the proposed methodology yields more accurate efficiency scores, thus allowing better discrimination among DMUs. Furthermore, evaluating the DMUs when they are structured as two-stage (or even three-stage) networks makes it possible to examine the incentives system in more detail. Therefore, the use of incentive systems by managers would allow a better focus on the priority activities of commercial banks and a faster movement toward the frontier of best practices.Originality/valueThe super-efficiency scores of a number of commercial banks are evaluated based on the CRA model, as a cornerstone criterion for the two-stage evaluation in DEA-R, thus allowing the rank of each commercial bank in terms of the incentives system rather on the performance of the productive process.

THE IMPACT OF THE ACTIVITIES OF NON-RESIDENTS BANKS ON THE NATIONAL ECONOMY

The paper examines the effectiveness of the operations of non-resident banks in Kazakhstan. Performance assessment of non-resident banks in the local banking market is based on the model developed by the authors. The model is based on the indicators of the system of national accounts, and includes three stages of analysis: evaluation of the impact on real economy, estimation of performance of the intermediation function of a bank and the assessment of the bank’s stability. The object of study is Russian commercial banks operating in the Republic of Kazakhstan. In the study, the major factors contributing to the development of Russian banks in the financial market of the Republic of Kazakhstan are identified. In the present day circumstances all countries in the world experience the impact of the dynamic processes of globalization and integration. It differs from country to country: these processes have a considerable, often adverse, impact on developing countries, as indicated by some prominent economists, for example, J. Stiglitz [1]. Promotion of regional economic integration in its essence is considered only with regard to trade and partly investment cooperation. At the same time, undeservedly less attention is paid to the activities of commercial banks as to important financial intermediaries participating in the replenishment process. In these circumstances, it is important to analyze the issues associated with the improvement of performance efficiency of non-resident bank in the Kazakhstan banking sector. The aim of the paper is to investigate the impact of the activities of non-resident banks on the national economy and to develop an adequate methodology for their efficiency assessment. The choice of the object has been determined by the following preconditions: integration economic development of the two countries; the transition of both countries to the innovative model of development and restructuring of the national economy, development of the legal and institutional infrastructure for establishment of the common financial area between the two counties; functioning of the Customs Union since 1 January, 2010, the presence of favorable financial conditions for the participation of Russian banks in the banking market of Kazakhstan and other factors. The research methods used in this paper are: systematic approach, statistical, logical, and comparative analysis of the scientific literature, the analysis of bank annual reports. The analysis revealed that the Russian banks in Kazakhstan are actively encouraging the sphere of circulation, increasing inflation in the country. The Russian banks in Kazakhstan contribute to increase of redistribution of incomes, but do not develop the real sector and its innovation component in the Republic of Kazakhstan. The object of the research is Russian banking capital in the Kazakhstan market. The choice of the object has been determined by the following pre-conditions: Integrated economic development of the two countries that provides for mutual commercial, economic, and cultural relations; The transition of both countries to the innovative model of economic development and restructuring of the national economy; Growing congruence between two countries with regard to the level of socio-economic development, selected models and resources for economic development; Cooperation between the countries under discussion in the field of the planned synchronization of the WTO accession process; Development of the legal and institutional infrastructure for establishment of the common financial area between the two counties; Functioning of the Customs Union since 1 January, 2010, and other factors. Financial pre-conditions for the development of the favorable environment for participation of the Russian banks in the Kazakhstan market include: Uniformity of taxation systems of both countries, establishment of the national taxation systems on the basis of the Tax Code and their unification, identical elements in the taxation systems, coordinated reforms of the taxation systems; Considerable uniformity in the field of state finances: codification and harmonization of budgeting legislation on common principles; Current macroeconomic indicators pointing at the convergence of the economic development trends in the two countries: inflation rate, average weighted rate on long-term loans, public debt, etc. The level of development of the two countries is similar considering basic economic indicators; Provision of sufficient economic stability as a necessary premise for implementation of coordinated structural reforms of the economies of the two countries; Transition of the economies of both countries to the innovative development model and establishment of the common innovation space based on the usage of production, intellectual, technical and scientific potential of two states; Harmonization and unification of customs tariff policies aimed at support of new manufacturing enterprises and increase of investment potential of particular industries and agriculture.

WORLD EXPERIENCE OF SOCIAL RESPONSIBILITY OF BANKS

The commercial activities of banks directly affect the society in which they operate, and future business successes are closely linked to key social values. Considering the specifics of the activities of commercial banks, trust is becoming one of the most important conditions for a normally functioning banking services market, and the level of profits is increasingly determined not by the technology of the provision of services, but by the correct positioning of banks in the social environment based on social responsibility and reputation. The level of socially responsible behavior of banks has a direct impact not only on the sustainable development of society, but also on the stability of the banks themselves. The problem of corporate social responsibility is increasingly reflected in the media and scientific works of prominent scientists. It must be understood that the social responsibility of business is much wider than is commonly believed. Key words: social responsibility, commercial banks, globalization, socially responsible business.

THE UNIFIED BIOMETRIC SYSTEM AND UNIFIED SYSTEM OF IDENTIFICATION AND AUTHENTICATION AS TOOLS TO ENSURE THE SECURITY OF BANKING OPERATIONS USING THE INTERNET: LEGAL AND ORGANIZATIONAL ISSUES

The paper is devoted to the organizational and legal issues of using the unified identification systems in various sectors of the economy, in particular in the banking sector. In the Russian Federation since 2011 the use of the unified identification and authentication system (ESIA) and since 2018 the use of the unified biometric system (EBS) has become one of the most promising areas in the activities of commercial banks and other subjects of the financial system. It is advisable to consider the active introduction of the EBS and ESIA into the banking sector as a tool for ensuring the security of banking transactions using the Internet, developed on the basis of modern engineering, technical and software developments. Purpose: to analyze the main directions of the use of the ESIA and EBS in the banking sector, to determine the existing organizational and legal issues arising in the practical activities of banks when implementing banking operations. Methods: the research is carried out on the basis of the methods of analysis and synthesis, generalization, comparison and a systematic approach. Results: based on the results of the study, the authors identify the existing organizational and legal issues arising in the practical activities of banks when carrying out banking operations using the Internet, and suggest ways to solve them.

Проблемы и направления совершенствования деятельности коммерческих банков в Российской Федерации

Проблемы и направления совершенствования деятельности коммерческих банков в Российской Федерации

Evaluación de impactos ambientales y sociales del negocio de banca comercial en Europa durante el periodo 2006-2010

El presente artículo analiza las responsabilidades técnicas o financieras de la banca, así como su responsabilidad social en su ámbito de negocio, estableciendo los vínculos y relaciones entre ambas. Los sistemas de evaluación y reporting en relación a la RSC externa o comercial muestran una insuficiente capacidad de integrar y valorar los impactos sociales y ambientales surgidos durante el primer periodo de crisis financiera mundial del siglo XXI. Así, tras la propuesta de un modelo revisado y completo de monitoreo, se experimenta su aplicación sobre las bases de datos de EIRIS y Asset4 ESG durante el periodo 2006-2010, obteniendo sendos índices de responsabilidad social comercial o externa de la banca europea. La cobertura de ambas bases de datos sobre el modelo es limitada, pero el análisis descriptivo de los resultados permite observar diferencias entre el tipo de negocio bancario que se desarrolla (de base, vinculado a la intermediación bancaria/ diversificado, con mayor protagonismo de las actividades de inversión) y su grado de RSC comercial, cuestionando la sostenibilidad social y ambiental del modelo de gran banca universal.

WAYS TO DEVELOP DIGITAL BANKING SERVICES IN UZBEKISTAN

The article aims at further reforming and upgrading the financial and banking system of the republic, ensuring the stability of the banking and financial system based on international experience, increasing the liquidity and financial stability of banks in accordance with international standards, enhancing the investment activity of commercial banks, investment projects, further expansion of credit institutions' participation in financing, development of modern market and financial infrastructure, as well as expansion and improvement of the quality of services provided by banks and other financial institutions, and development of regulatory framework of financial and banking activities in accordance with modern requirements and international norms further improvement of the legal framework.

Green Banking as a Progressive Format of Financial Activity in Transition to Sustainable Economy

The article is devoted to the study of environmentally responsible (green) banking and the analysis “green” practice in Russia and abroad. The article develops the thesis about the importance of greening of financial decisions of commercial banks to create a sustainable economy. Based on the opinions of different researchers, the author’s decision that environmentally responsible banking is a strategically important format of bank activity, which guarantees the synergy of four effects: increasing the economic efficiency of banks, forming the social image of banks, reducing the harmful effects on the ecosystem and generating future social benefits. The authors systematized internal and external elements of green banking. Internal elements are remote methods of customer service, the introduction of paperless workflow and “smart” equipment. External elements include green lending, issue of green securities, affinity card issuance and ecology charity. Comparative analysis in the BRICS countries showed that the most progressive “green” practice is implemented in Brazil and China. India and Russia took a backward position. It is established that the Bank of Russia, unlike regulators of other countries, does not play the role of “driver” of ecologically responsible activity of commercial banks.

ДЕЯТЕЛЬНОСТЬ КОММЕРЧЕСКИХ БАНКОВ КР НА РЫНКЕ ЦЕННЫХ БУМАГ В УСЛОВИЯХ ЕРАЗИЙСКОЙ ИНТЕГРАЦИИ

This article examines the activities of commercial banks and their development trends in the securities market in the Kyrgyz Republic under the conditions of the Eurasian Economic Union (EEU). The article shows the relationship between the financial market and commercial banks in the securities market in the conditions of Eurasian integration. Also, the market of debt securities in the Kyrgyz Republic is presented. A review of the issue of types of securities in 2017 by the government of the Kyrgyz Republic and the National Bank was conducted. Thus, during the review of the securities market, the dominant position of commercial banks in comparison with other participants was revealed. Measures have been proposed to optimize the activities of commercial banks in Kyrgyzstan in the securities market in the context of the Eurasian integration of an effective market mechanism that ensures the flow of investments into the economy.

РОЛЬ КОММЕРЧЕСКИХ БАНКОВ НА РЫНКЕ ЦЕННЫХ БУМАГ И СОВРЕМЕННОЕ СОСТОЯНИЕ РЫНКА ГОСУДАРСТВЕННЫХ ЦЕННЫХ БУМАГ КЫРГЫЗСТАНА

This article gives a classification of securities. The investment activities and operations with securities of commercial banks, as well as the legal regulation of the activities of commercial banks in the securities market in Kyrgyzstan are examined. A review of the current state of the securities market in the Kyrgyz Republic is carried out. Volumes of debt securities are also presented. The volume of annual issue of securities for 3 years from 2017 to 2019, the volume of foreign investment in corporate securities is shown. During the review of the state of the securities market, it was concluded that commercial banks play a major role in the development of the securities market, acting as issuers, investors and intermediaries. A program for the development of the government securities market for both the medium and long term is proposed.

The importance of innovations in the activity of commercial banks – selected problems

The importance of innovations in the activity of commercial banks – selected problems