Form Of Bank Deposits Research Articles

The Effects of Monetary Policy on Macroeconomic Variables through Credit and Balance Sheet Channels: A Dynamic Stochastic General Equilibrium Approach

Economic policies aimed at managing economic variables in the short and long term have always been of special importance. These policies seek to reduce economic fluctuations in the short term and increase sustainable economic growth in the long term. One of these policies is monetary policy, which is mainly carried out by central banks worldwide. This paper uses the Keynesian Dynamic Stochastic General Equilibrium (DSGE) model to examine the effects of monetary policy on the real variables of the Iranian economy through the credit channel and the balance sheet channel. The presented model analyzed information about macroeconomic variables in Iran for the period from 1990 to 2020. The obtained results show that with the implementation of restrictive monetary policy in the economy, all productive activities of enterprises decreased, and this led to a decrease in household income, which in turn reduced household savings in the form of bank deposits. Because the most important sources of financing for banks are deposits, the ability of banks to offer loans was reduced. On the other hand, a restrictive monetary shock was associated with a decline in the value of corporate securities. As a result, the amount of received loans by firms was reduced by the value of the assets. This reduced the demand of banks for bank loans, which intensified the effects of the initial shock, along with a reduction in the banks’ ability to provide lending services. Further, the results indicate the relative success of the model in simulating Iran’s macro economy.

Потребление vs сбережения: выбор россиян в условиях экономической нестабильности 2015–2017 гг.

<p class="_1Vvodka">В статье на основе данных официальной статистики и национальных социологических исследований рассматриваются процессы потребления и сбережения денежных средств населением в период нестабильной экономической конъюнктуры 2015–2017 гг. Обращение к данной тематике актуализируется тем, что именно потребительское и сберегательное поведение являются первичными маркерами адаптации населения к изменяющимся внешним условиям. За 2015–2017 гг. структура формирования и распределения доходов, соотношение доходных групп существенно не изменились. Не наблюдается кардинального сокращения сбережений в форме банковских вкладов и объемов потребления, рассматриваемых через розничный товарооборот. Неизменными остаются как самооценки населением материального положения, так и общественные настроения относительно реализации потребительских предпочтений. Несмотря на затянувшийся спад реальных доходов, население стало менее негативно оценивать свою жизнь в целом; сократилось число тех, кто испытывает острую нехватку денег или экономит на текущем потреблении.</p><p class="_2Keys"> </p>

Current trends in Ukrainian household savings using banking products

Paper purpose is to develop the theoretical and practical principles of forming household savings using modern banking services. After all, temporarily free funds of the population are a source for ensuring its well-being and formation of investment capital in the economy. Methodology of research. Achieving this goal is based on the following research methods: dialectical approach, induction and deduction, analysis and synthesis, logical approach, vertical and horizontal analysis, trend analysis, graphical method. Findings. Household savings are structured in the form of bank deposits by maturity and deposit currency. An in-depth analysis of the current state and tendencies of banks’ deposit resources development in terms of their attraction from the household sector is conducted. The causes and effects of savings formation as bank deposits in the current economic conditions in Ukraine are identified. The peculiarities of domestic households savings behavior are revealed. The main factors influencing the process of mobilizing household savings by banks are identified. Theoretical and practical principles of forming household savings using modern banking services are developed. Practical value. The conducted analysis of mobilized as bank deposits household savings showed population stable demand for deposit services. The main problems that hamper the development of economically active household savings are identified: population poverty, crisis expectations, low level of trust in banks in the long run. Tactical measures for improvements of banks deposit activity are offered. The main results of the study are practical importance for the financial management of Ukrainian banks during implementation their deposit policies. Keywords: savings, deposits, banks, households, financial resources. REFERENCES 1. Veremchuk, A. V. (2019). Finansova inklusia ta oshchadna povedinka naselennia Ukrainy [Financial inclusion and saving behavior of Ukraine’s population]. Derzhava ta rehiony. Ser. : Ekonomika ta pidpryiemnytstvo – Economics and entrepreneurship, 1, 129–134 [in Ukrainian]. 2. Vlasova, I. V. (2016). Zaoshchadzhennia naselennia iak investytsiinyi resurs ekonomiky [Population savings as some economy investment resource]. Ekonomika : teoriia ta praktyka – Economics : theory and practice, 2, 4–7 [in Ukrainian]. 3. Zaslavska, O. I. (2016). Problema transformatsii orhanizovanykh zaoshchadzhen domohospodarstv v investytsiini resursy bankiv [Problem of transformation of organized household savings into investment resources of banks]. Naukovyi visnyk Uzhhoroskoho universytetu – Scientific bulletin of Uzhgorod University, 2 (48), 278–285 [in Ukrainian]. 4. Kizyma, T. O. (2018). Finansovi instrumenty zaluchennia zaoshchadzhen domohospodarstv do investytsiinykh protsesiv: prahmatyko analitychnyi aspekt [Financial instruments of attracting household savings to investment processes: pragmatic and analytical aspect]. Visnyk Ternopilskoho natsionalnoho ekonomichnoho universytetu – Bulletin of the Ternopil National Economic University, 4, 33–46 [in Ukrainian]. 5. Kondratska, N. M. (2013). Suchasnyi stan ta osoblyvosti transformatsii zaoshchadzhen domohospodarstv cherez bankivski instrumenty [The current state and features of transformation of household savings through banking instruments]. Problemy ratsionalnoho vykorystannia sotsialno-ekonomichnoho ta pryrodno-resursnoho potentsialu rehionu: finansova polityka ta investytsii – Problems of rational use of socio-economic and natural resource potential of the region: financial policy and investments, 19, 1, 184–192 [in Ukrainian]. 6. Hroshovo-kredytna ta finansova statystyka. Finansovi rynky [Monetary and financial statistics. Financial markets]. URL: https://bank. gov.ua/ ( data zvernennia: 10.09.2019) [in Ukrainian]. 7. Hudz, T. P. (2017). Monitorynh suchasnykh tendentsii rozvytku bankivskoi systemy Ukrainy ta vrakhuvannia ioho rezultativ u nahliadovii roboti [Modern tendencies monitoring of Ukraine banking system development and taking into account its results in supervisory work]. Naukovyi visnyk Poltavskoho universytetu ekonomiky i torhivli. Ser. : Ekonomichni nauky – Scientific bulletin of Poltava university of economics and trade. Economic Sciences Series, 3, 102–110 [in Ukrainian]. 8. Hudz, T. P. (2015). Finansy domohospodarstv za suchasnykh ekonomichnykh umov v Ukraini [Household finances under current economic conditions in Ukraine]. Naukovyi visnyk Poltavskoho universytetu ekonomiky i torhivli. Ser. Ekonomichni nauky – Scientific bulletin of Poltava university of economics and trade. Economic Sciences Series, 3, 145– 152 [in Ukrainian]. 9. Zvit pro finansovu stabilnist: cherven 2019 r. Natsionalnyi bank Ukrainy [Financial stability report: june 2019. National Bank of Ukraine]. URL: https://bank.gov.ua/ ( data zvernennia: 10.08.2019) [in Ukrainian]. 10. Bazylevych, V. D., Hrazhevska, N. I. & Maslov, A. O. et al. (2011). Istoria economichnykh uchen [Histiry of economic science]. V. D. Bazylevych ( Ed.). Kyiv : Znannia [ in Ukrainian]. Published: 2020-03-26

Determinants of Private Savings in the Form of Bank Deposits: A Case Study on Regions of the Russian Federation

The paper is aimed at investigating the factors affecting the level of private deposits in banks in Russian regions and the verification of various theoretical concepts of personal savings. To achieve this purpose, we built a set of alternative Cobb–Douglas-type regressions with fixed time effects and logistic-type regressions based on panel data of 80 Russian regions from 2014–2016. Their estimations allowed us to reveal the dependence of private deposits in Russian regions at the level of real personal income and its structure, the personal income inequality, the demographic structure of the population, the state of the labor market, the level of accumulated wealth, the rate of urbanization, and the level of development of the financial system in the regions. Signs with variables summarize both direct and indirect effects of the input variables on the deposits, confirming some theoretical concepts and rejecting others, while the calculated elasticities show the strength of these effects. The results we obtained are applicable to the management of financial resources in Russian regions and the smoothing out of interregional differences in their development.

Banking in the Digital Age - Who is Afraid of Payment Disintermediation?

Throughout the ages, banks have evolved as intermediaries taking deposits of funds, lending money, and providing payment services. In the process they became also suppliers of commercial bank money, now only in the form of bank deposits. Following a historical review as to how money changers and goldsmiths became bankers, the paper points out that money and payment digitization has brought some challenges to the traditional role of banks as intermediaries. First, the digital age is about to facilitate the availability of central bank money balances or their equivalent to the public. Second, cryptocurrencies and blockchains were born. Third, claim-check centralized digital currencies have been created. This paper argues that availability to the public of central bank money, in the form of either full-reserve banking or plain sovereign money, is unlikely to affect the role of banks other than in money creation. The paper goes on to argue that cryptocurrencies are mostly not a new form of money and that in essence blockchains do not pose a major threat to the traditional interbank settlement system; at most they spur improvements in legacy systems. Finally, the argument goes, the creation of claim-check centralized digital currencies will give banks enough space to continue their role in providing payment services and even create alternative currencies fully backed by fiat ones. Ultimately banks will retain their role as intermediaries; Fintech does not have a payment services model which will supersede banking so that, in order to competitively provide payment services, IT firms will have to become banks.

Private Sector Savings

Abstract The majority of household savings are in the form of bank deposits. It is therefore of interest for credit institutions to tailor their deposit policy for getting finances from non-banking entities and to provide the private sector with the loans that are necessary for investment activities and consumption. This paper deals with the determinants of the saving rate of the private sector of Slovakia. Economic, financial and demographic variables influence savings. Growth of income per capita, private disposable income, elderly dependency ratio, real interest rate and inflation have a positive impact on savings, while increases in public savings indicate a crowding out effect. The inflation rate implies precautionary savings, and dependency ratio savings for bequest. There are also implications for governing institutions deciding on the implementation of appropriate fiscal and monetary operations.

КОРУПЦІЯ І ВЕЛИКИЙ БІЗНЕС: РЕАЛІЇ УКРАЇНИ

This paper examines the problem of large capital influence on public policy. The main sources of corruption in modern societies are considered: clientelism and rent-seeking. It was identified and analyzed the problem of clientelism in developed democracy and in States with unstable institutional environment, including Ukraine. Clientelism involves such relationships, which are based on a mutually beneficial services exchange between persons of different status and power, the client is usually provided with protection in exchange for his loyalty and political support. The stability of client-patrimonial connections is profitable for both socially unequal sides: for patron, for them these links are the mechanisms of their influence, and for the clientage - a form of protection. In turn, the economic rent is received by advocacy groups through a monopoly on scarce resources or through access to an administrative resource (the ability of the government, local authorities to create artificial shortages, licensing mechanisms, import tariffs regulation, tax rate regulation, open bidding with "special" conditions, etc.). The problem of the rentier formation and functioning, both in developed democracies and in States with unstable institutional environment, in particular in Ukraine, is analyzed. The first approach, under the "rentier", is understood by persons who live on the basis of rent, that is, income derived from capital, usually in the form of bank deposits, securities, revenues from real estate, land, business, copyright, etc. According to this definition, there is no clear distribution between the rentier and the entrepreneur. The second approach, understands not the sources of income of individuals, but the way of their lives. At that, this way of life absolutely contrasts with the way of life of an entrepreneur. The main threats to society in connection with the functioning of clients and rent-seeking groups in societies like the Ukrainian one are identified.

Financialisation and monetary union in Europe: the monetary-structural causes of the euro-area crisis

The merging of national currencies into a single-currency area is an important factor of financialisation in Europe, as it has disposed of monetary barriers within Euroland, thereby allowing free mobility of financial capital in the form of bank deposits across the whole European Monetary Union (EMU). This monetary–structural change has increased economic divergence and financial instability within the euro area, rather than being a factor of stability and convergence. Further, the payment infrastructure within the EMU is defective, as it leaves the payee’s country with a claim on the payer’s country. This is a monetary–structural factor of financial imbalances across Euroland. Copyright 2013, Oxford University Press.

Study of Nature of Bank Deposits in Sri Lanka

Most people envisage banking as the safety of money and the provisions of banking services we need such as electronic payment systems, ATMs, changing money and converting currency and traditional deposit banking fits that description pretty well. Originally bank deposits were bailment and the banks were simply money warehouses. They were paid to look after their customers' money and to provide useful services. The bank had absolutely no claim, whatsoever on that money - if they went bust their creditors had no claim on that money either. The customers held title to it at all times. Deposit banking provided a very legitimate and useful service. Bank Deposit is a sum of money lodged in a bank for the purpose of earning interest. A deposit is repayable according to terms of acceptance. It is a customer beneficial service that the bank provides to its customers where they will be paid a certain amount of interest on the sum of money that they had deposited in the bank in the form of bank deposits. This concept of bank deposit is entirely based on the terms and conditions of each bank which differs from bank to bank and from country to country. In this assignment the nature bank deposits of Sri Lanka have been discussed based on the data collected from the various sources which are duly footnoted. The Customers banking needs are only few clicks away due to the application of bank deposits schemes in Sri Lanka. It lets you bank with the utmost ease, convenience and security through up-to-date technology. All it takes is a click of the mouse. Your transactions and activities are protected by the highest level of security. Banka in Sri Lanka are committed to high levels of online banking security and have introduced the use of a Security Device as an extra layer of protection to ensure that your banking information and transactions online are safe and secure. With this added security feature, you can enjoy greater peace of mind knowing that the online transactions have been further authorized by you only.

International Capital Flows Within the European Monetary Union: Increasing Economic Divergence Between the Centre and the Periphery

This paper aims at investigating some neglected consequences of free capital mobility in the Euro area. The approach we use in this work is based on the book-keeping nature of money, which shows that capital – in the form of bank deposits – is mobile within a currency area but actually immobile between different monetary spaces. Within the Euro area both short- and long-term investments are directed into those economies where the return on investment is highest, a magnitude that is positively correlated with the rate of real growth. If so, then economic divergence might increase between member countries of the European Monetary Union (EMU), giving rise thereby to a higher rate of unemployment in those member countries that suffer from net capital outflows, to the benefit of some other countries in the same area.

A deposit planning framework at the banking system level in India

Success of an economic development plan depends on the extent to which the commitments about mobilising and utilizing resources are fulfilled. Banks play a major role in the economic development of a country by mobilising resources in the form of bank deposits and further allocating financial resources to the productive sectors. Therefore, there is a need for an appropriate comprehensive integrated deposit planning which will give a total picture of the available financial resources and plans to mobilise further resources in the form of bank deposits. This article examines the economic factors and processes determining bank deposits and its various components and suggests a planning framework at the banking system level which will give future indicators to the planner in the commercial banks about the extent to which deposits and its various components re likely to grow. The basic objective of such a planning framework would be to provide a long term perspective to the business output, viz. deposit integrated fully with other functional sub-system of the banking activities like credit and marketing and to improve our understanding of the future and prepare ourselves to cope with emerging challenges.