Financial Sector Of Economy Research Articles

Cybersecurity in the financial sector of the economy: necessity and significance

In the age of technological development, the financial sector of the Russian economy was one of the first to actively begin the transition to digitalization of all business processes. Electronic platforms have been used to accelerate financial transactions and improve the quality of financial services. The country's population is increasingly moving towards cashless payments for goods, works and services. Russians now have the opportunity to purchase digital assets via bank card on a variety of electronic resources without leaving home. Nevertheless, along with the pluses of technological innovations in the payments sphere, new threats related to cyberattacks in the financial sector have emerged. Criminal methods today are becoming more sophisticated, with an emphasis on the collection and use of confidential information, gradually nullifying the traditional mechanisms of physical theft of funds. The urgency of developing reliable systems to protect electronic payments and important data requires the consolidation of efforts on the part of both the state and financial organizations, as well as society as a whole. Therefore, in the course of the study, in order to minimize digital threats, the concept of financial cybersecurity is considered, which contributes to the sustainable development of the economy, as well as ensuring the protection of users' interests, in a constantly evolving digital environment.

ПРОБЛЕМИ, ПЕРСПЕКТИВИ ТАРИЗИКИ ВИКОРИСТАННЯ ЦИФРОВИХ ІННОВАЦІЙ У ФІНАНСОВОМУ Й РЕАЛЬНОМУ СЕКТОРАХ НАЦІОНАЛЬНОЇ ЕКОНОМІКИ

Digital innovations are an integral part of the modern world, the application of which will allow the subjects of the real and financial sectors of the national economy reducing the costs for the produc-tion of goods (works, service), improving the quality of the services provision and their availability and competitiveness, and increasing the efficiency of the functioning and development. Digital innovations are rapidly changing all spheres and types of the socio-economic life of society, creating the opportuni-ties for all consumers of digital products and services. However, the development and implementation of the innovative technologies gives rise to new challenges and tasks, and causes financial, informa-tional, investment, innovative and other risks that can lead to the financial instability and the increase in the informational danger of the economic entities, which requires a scientific study and the develop-ment of an appropriate response measures.The purpose of the article is to study the problems and prospects of using digital innovations in the activities of the subjects of the real and financial sector of the economy, including industrial enter-prises and financial institutions.In the article, the essence and content of the digital innovations are examined, and their role in the functioning and development of the subjects of the real and financial sector of the economy is studied. The main approaches to the definition of the digital innovations are identified, which include techno-logical, functional, conceptual, user, socio-economic, business process, and their advantages and dis-advantages are determined; their areas of the application in the financial sector and the real sector of the economy are outlined. The main types of the digital innovations used by the industrial enterprises and financial institu-tions have been identified and characterized according to the following classification features: depend-ing on the specification, direction of implementation and development, nature of implementation, level of the user’s experience, level of regulation, complexity, level of integration with the existing systems.The main risks of using digital innovations in the activities of such subjects of the real and finan-cial sector of the economy as industrial enterprises and financial institutions have been identified and investigated. The main problems and prospects of using digital innovations by industrial enterprises and financial institutions in the conditions of risk and uncertainty are summarized.

METHODICAL APPROACHES TO THE ASSESSMENT OF THE IMPACT OF THE QUALITY OF TRANSFORMATION PROCESSES ON THE DEVELOPMENT OF THE FINANCIAL SECTOR

Abstract. The existing methods of separate central banks, regulators of financial markets, international financial and credit institutions, rating agencies and consulting companies, which can be used partially to assess the quality of transformational processes taking place in the financial sector, are analyzed. An adequate methodical toolkit is proposed, which will allow to assess the potential of the domestic financial sector, to identify the patterns of transformation processes, and also to assess the impact of their quality on the functioning of financial intermediaries and to propose appropriate mechanisms for ensuring their further development. The structural-logical scheme of formation of criteria and system of indicators of the quality of transformational processes in the financial sector of the country’s economy is developed. Investigated general approaches are considered to be useful for developing a methodology for the integral assessment of the quality of transformation processes in the financial sector of the economy by specifying the content of the main stages and methodological approaches to the goals and object of the research. Assessment of the quality of transformation processes in the financial sector of the national economy is an ambiguous process. This is due to the fact that, firstly, in this regard it can be considered as the impact of transformations on the quality of objects, and as the quality of the transformations in particular. Secondly, transformation processes in the financial sector of the national economy can be positive and negative; general and specific; large-scale and minor; systematic and dotted; intensive and extensive; priority and non-priority; stimulating and moderating; divergent; resource, technological, institutional, organizational, quality, behavioral; timely and spatial; painful, conflict and non-conflict; and also they are made with different expenses. Thirdly, both expected and actual results of transformation processes in the financial sector should be assessed. Keywords: financial sector, transformation, transformation processes, indicators of the quality of transformation processes, methodology for assessing the quality of transformational processes. Formulas: 6; fig.: 1; tabl.: 0; bibl.: 15.

Employment in the financial sector of economy: features and trends

The significant transformation of employment in terms of its quantitative and qualitative characteristics is a hallmark of the current labor market. Some labor market segments differ in the market condition, growth rates, and the mechanisms of adaptation to change. This article aims at analyzing employment trends in the domestic financial sector in the context of global labor market trends. The research is based on methodological approaches to the employment study of the International Labor Organization and the information of the State Statistics Service of Ukraine. The study found out that in the pre-crisis period, employment in financial activities increased at a faster rate than other types of economic activity. However, after 2008, the trend has reversed. The concentration ratio of employees of the financial and insurance activities in the capital and in economically developed regions is moderate and steadily increasing. A decrease in the intensity of vocational training and advanced training is the negative aspect of the crisis processes in the Ukrainian financial sector.

Risk-oriented integral assessment of the Ukrainian banks effectiveness

Ensuring efficiency improvement of banks is a priority task for Ukrainian banking system at the stage of creating the developed financial sector of economy. The study of a bank performance, which takes into account a risk factor of banking business, is particularly relevant due to the need to ensure competitiveness and stability of both individual banks and the banking system as a whole.The aim of this article is to develop a methodology for integral evaluation of the Ukrainian banks according to the efficiency and risk criteria. Ratio analysis, mathematical methods, comparison and grouping, synthesis, table, matrix and graphic methods make the methodological basis of the research. The object of the analysis is the activities of Ukrainian banks.The study was conducted to elaborate a method for risk-oriented integral estimation of efficiency of the banks functioning. One can state that high efficiency and low risk of a bank’s work do not depend on the volume of assets, equity and profit for Ukrainian banks.The analysis made it possible to evaluate the strategies for the development of Ukrainian banks. The vast majority of Ukrainian banks have chosen a moderate strategy in the context of balancing the efficiency and riskiness of their activities. According to the results of factor analysis using Raiffeisen Bank Aval as an example, the main factors of gross profit growth were determined as increase in bank profitability and expansion of its active operations volume relative to its own capital.

Trust crisis in the financial sector of economy and macroeconomic sustainability: structural equation modeling

Trust crisis in the financial sector of economy and macroeconomic sustainability: structural equation modeling

Стимулирование стратегической корпоративной интеграции как фактор конвергенции реального и финансового секторов экономики

Стимулирование стратегической корпоративной интеграции как фактор конвергенции реального и финансового секторов экономики

БАНКОВСКОЕ ИНВЕСТИЦИОННОЕ КРЕДИТОВАНИЕ В УСЛОВИЯХ ДИСБАЛАНСОВ ДВИЖЕНИЯ ФИНАНСОВЫХ РЕСУРСОВ

The purpose of the paper is to justify theoretically the existence of disparities between the paces of development of the financial and real sectors of the economy of Ukraine, and in this regard, to study of the role of the banking investment lending as a credit instrument in managing imbalances of movement of financial resources. The hypothetico-deductive method allows us to investigate the causes of occurrence of disparities between the rates of development of the financial and real sectors of the Ukrainian economy. The method of analysis allows us to investigate the penetration rate of bank credit mechanisms in the past five years (2011-2015) in the processes of financing of the needs of the real sector for capital investments. Methodology. The survey is based on the theoretical analysis of the scientific literature in order to identify the causes of imbalances of movement of financial resources, the result of their influence on the pace of development of the real and financial sectors of the economy. The work displays the main approaches to the definition of the term of Different points of view of scientists about the impact of financialization on investment processes and the flow of financial resources are grouped in this article. Also, there are presented visions of the major economic schools on the interaction of financial and real sectors of the economy. On the basis of special non-fiction the author of this research worked out the simplified scheme of imbalances of movement of financial resources in the economy. Also, in this article are studied the theoretical basis of bank investment lending, and is justified its role in managing the process of convergence of the financial and real sectors of the economy. Results of the survey showed that the cause of the imbalances of movement of financial resources is the processes of financialization. This process leads to distortion of the key role of the financial sector, which is to serve the real sector. Banking investment lending may be an effective mechanism for the convergence of the financial and the real sector. However, the result of analysis has shown that it does not work in modern conditions. Practical implications. The theoretical and practical analysis can be the basis for future research, especially with regards to the reasons of non-usage of banking investment lending as a tool of the control of imbalances of movement of financial resources in terms of prevailing financial sector relative to the real. Value/ originality. The results of the study make it possible to provide a better understanding of the role and practical importance of banking lending as a tool of investment in real sector, which is used by banks with the purpose to control the motions of financial resources.

Study of dynamic relationships between financial and real sectors of economies with wavelets

In this paper, we use the multiresolution wavelet-filtering technique to study the dynamic inter-relationships among the real and financial sectors of economy. We extract relationships among real stock returns, inflation and real activity for two contrasting economies, the United States and the Indian economy. We further test various existing economic hypotheses like the classical Fisherian hypothesis and the proxy-effect hypothesis of Fama using the low-frequency content part of the wavelet filtered data. The analysis reveals interesting aspects of the inter-relationship for the two contrasting economies and validity of the studied hypotheses.