Loanable Funds Research Articles

FINANCIAL RELATIONS BETWEEN UKRAINE AND THE INTERNATIONAL MONETARY FUND DURING THE WAR

The article examines the practical aspects of the implementation of measures aimed at improving and increasing the level of sustainability of economic development due to the special role of international financial and credit institutions in economic relations between individual states. It was found that international financial organizations act as a key mechanism for regulating the international monetary and financial system, as well as the main source of providing financial, technical and analytical assistance to countries on the way to socio-economic transformations. The special role of Ukraine's financial relations with the International Monetary Fund (IMF) against the background of the need to resist full-scale armed aggression was determined, and a retrospective analysis of the fund's program implementation since 1994 was conducted. The organization of IMF financing through the distribution of SDRs between countries and lending at interest rates, the rates of which are determined by the average rates in effect for loan funds in the world's leading currencies, and loans through the Resilience and Sustainability Trust (RST) credit trust were studied. The decisive role of lending by international institutions in the growth of the constantly growing foreign debt of countries has been clarified. The dynamics of the specific weight of countries that in modern conditions are experiencing a critical situation related to indebtedness, or have a high risk of the appearance of the specified situation, have been analyzed. It is substantiated that receiving credit tranches from the IMF has both positive and negative consequences of a long-term nature, and their main aspects are highlighted. The vectors for the further development of Ukraine's financial relations with the IMF have been determined in order to create a foundation for the recovery of the country's economy after the end of the war, the completion of already started reforms and the introduction of new reforms in the economic, financial, and social sectors, raising the standard of living of citizens, strengthening the exchange rate of the national currency in relation to foreign currency etc.

Role of Microfinance in Mitigating Disasters in Pakistan

The study is aimed at exploring the usage of microfinance and related services to mitigate the effect of natural disasters and risk, both at community and industry level in the current Pakistani context. For this purpose, overall work is carried out based on the various strategies adopted by the Micro Finance Institutes MFIs specifically disaster loan funds, disaster preparedness, designing of new products, sustainability of MFIs through post-disaster approaches. It also provides the evidence to recognize the MF roles within disaster risk reduction and mitigation measures. Along with the risk reduction, it delivers the context for poverty alleviation through provision of diversified earning sources and rehabilitation of local community. It is the first study to explore the role of MFIs in disaster risks reduction and mitigation both at community and industry level in the economy of Pakistan.

New estimates of international capital mobility for select OECD economies

This paper offers a new perspective on the meaning and measure of international capital mobility (ICM), contributing to the literature in several ways. Using an extended international loanable funds framework, it reconciles traditional interest parity (IP) measures of ICM with the original Feldstein-Horioka measure. It proposes a novel macro-oriented approach to estimate the degree of ICM. Using quarterly data for the period 2000–2020 for select OECD economies, the study found that ICM is near perfect when capital inflows finance private investment, government spending, and consumption. Interest differentials, though significant, contribute minimally to explaining capital inflows, consistent with very high ICM for these economies.

CRIMINAL LIABILITY OF ONLINE MONEY LENDERS

Although it is most commonly associated with financial loans, a loan is a kind of liability that can include any kind of tangible asset. Similar to other debt instruments, loans involve the redistribution of financial assets over time between the debtor and the lender. Online loans are financial assistance provided by financial institutions in which the loan application is conducted using an application controlled by the financial institution. The availability of online loans makes the loan application procedure easier, faster, and less complicated. Legal research using juridical normative research methods was conducted to understand the legal issues and legal relationships of criminal liability of online lenders. This research aims to examine the effectiveness of positive law in Indonesia in law enforcement of online money lending criminal cases and examine the actions of online money lending criminal offenders who make threats, especially through cell phones, have clear legal sanctions as an effort to protect online money loan recipients. This criminal liability is in the form of punishment. There are criminal sanctions for companies or individuals including debt collectors as part of fintech lending who commit violations in the form of disclosure of personal data subject to Article 32 juncto (jo) Article 48 of the amendment to the Bill of Act on Electronic Information and Transaction.

INFLUENCE OF THE ASSORTMENT POLICY ON THE FORMATION OF THE FINANCIAL RESULTS OF THE ENTERPRISE

In the course of the conducted research, an integral model was proposed that can be used to form an optimal assortment policy aimed at achieving the planned financial results of the enterprise. The integrated model allows for dynamic analysis of the relationship between the range of products, the volume of production, operating leverage and the financial results of the enterprise obtained from the sale of each type of manufactured product. Stimulating measures for the sale of products and management of receivables are proposed, which are developed on the basis of individual flexible pricing for the company's products. Price discounts to stimulate product sales have been determined and measures have been proposed to shorten the repayment terms of receivables, the expediency of attracting loan funds to expand the financing of operational activities based on the use of financial leverage has been analyzed. The use of financial leverage as a management tool provides an opportunity to form an effective capital structure for a certain range of products. A mechanism for forming the optimal assortment of products is proposed, which allows taking into account the influence of internal and external factors on the financial results of the enterprise. Such a mechanism involves conducting research using the method of successive approximations, by choosing the optimal combination of selected factors to obtain the planned financial result in the future. The created mechanism involves the use of an integral model that allows establishing the necessary relationships between the structural divisions of the enterprise. The integrated model includes the modules necessary for the implementation and functioning of the mechanism by which the optimal assortment of the company's products is formed. Thus, the defined set of external and internal factors in combination with organizational production planning provides an opportunity to form the most acceptable range of products for the enterprise and allows to forecast the financial results of the enterprise and control their dynamics under the influence of these factors in the planning period.

Reap the Harvest on Blockchain: A Survey of Yield Farming Protocols

Yield farming represents an immensely popular asset management activity in decentralized finance (DeFi). It involves supplying, borrowing, or staking crypto assets to earn an income in forms of transaction fees, interest, or participation rewards at different DeFi marketplaces. In this systematic survey, we present yield farming protocols as an aggregation-layer constituent of the wider DeFi ecosystem that interact with primitive-layer protocols such as decentralized exchanges (DEXs) and protocols for loanable funds (PLFs). We examine the yield farming mechanism by first studying the operations encoded in the yield farming smart contracts, and then performing stylized, parameterized simulations on various yield farming strategies. We conduct a thorough literature review on related work, and establish a framework for yield farming protocols that takes into account pool structure, accepted token types, and implemented strategies. Using our framework, we characterize major yield aggregators in the market including Yearn Finance, Beefy, and Badger DAO. Moreover, we discuss anecdotal attacks against yield aggregators and generalize a number of risks associated with yield farming.

R&D finance and economic growth: a Schumpeterian model with endogenous financial structures

AbstractWe endogenize the R&D financial structure and investigate the effects of tax policy (dividend, corporate, and bond income taxes). Agency costs exist between the supply of and demand for funding, which enable the financial market to reshuffle loanable funds out of less productive firms toward others with greater productivity. We show that the financial structure-growth relationship is not monotonic, depending on the relative productivity between the existing and new firms and the allocation of loanable funds between them. The allocation of loanable funds, rather than their market amount, plays a key role in determining the effects of policy.

Interest Rate, Savings, and Industrial Performance in Nigeria

This study examined the effect of interest rate and savings on industrial productivity in Nigeria. This is imperative because there has been low level of savings and investment amongst other impediment to industrial productivity. The Ordinary Least Square OLS multiple regression analysis was applied on data from Central Bank of Nigeria (CBN) Statistical Bulletin in a model where industrial sector output was the dependent variable while national savings, interest rate INTR and inflation rate INFL were the explanatory variables. The result of the analysis at 5% level of significance shows clearly that savings exerts a significant impact on industrial output in Nigeria. the result also showed that interest rate and inflation rate does not have a significant impact on industrial output in Nigeria. The study concluded that, savings has a significant positive impact on industrial output while the impact of interest rate and inflation rate on industrial output in Nigeria was positive but insignificant. It was recommended that there is a need to bridge the widening gap between lending rate and savings rate to encourage savings to generate needed loanable funds for investment in Nigeria.

VALUE DRIVERS OF BANK EQUITY MARKET PRICE

The Indian banking sector has shown robustness and resilience in the face of challenges on account of rising non-performing assets and economic upheavals. The market value of bank equity is a reflection of the financial performance of banks and macroeconomic factors. 22 bank-specific variables and 5 macroeconomic factors representing profit management, capital management, shareholder value management and risk and leverage management, India’s Real GDP Growth Rates (Factor Cost), Money Supply growth, Bank Credit growth, Deposit growth rate and Inflation are used in this study. 19440 observations are examined from the financial data of 40 commercial banks (private and public sector banks for a period of eighteen years. The data is analyzed using panel regression. Hausman and Pagan's test was conducted to find the best-fit model. The results show that Finance Charge Coverage (FCCR), Advance Loan funds, Current Ratio, Beta and Asset Turnover have a negative impact on bank equity value and Activity Mix, Revenue Efficiency, Earnings Retention, and Cost Management shows a positive significant relationship with equity value. Factors like FCCR affects the market values of public sector banks and private sector banks differently Growth in GDP, Inflation shows a positive relationship with the market value of bank equity. Growth in Money Supply has a differential impact on the market value of private sector banks and public sector banks. The results provide useful insights to understand the determinants of the market value of bank equity. It can help bankers frame strategies to maintain and enhance the market value of their equity.

Akibat Hukum Akta Jaminan Fidusia yang Dibuat di Bawah Tangan dalam Kredit Motor

Purchasing motorbikes on credit involves third parties, namely consumer finance as financing lenders (creditors), while the party receiving the financing loan is called the debtor. The parties who bind themselves in the fiduciary guarantee deed under the hand do not have legal certainty for the parties, it is different from the fiduciary guarantee deed based on Law Number 42 of 1999 concerning Fiduciary Guarantees that have legal certainty. Fiduciary guarantees are guarantees for rights to movable or immovable objects other than land and buildings which are not included in mortgage rights. Through normative juridical research, research has been produced that the legal consequences of a fiduciary guarantee deed made privately are the frequent executions of unilateral interests, namely the creditor when there is a breach of contract made by the debtor. It is urgent to make a fiduciary guarantee deed which is notarized and registered at the fiduciary guarantee registration office to obtain a fiduciary certificate that has legal force.

Systematic Literature Review and Multiple Case Study: Cooperative Defaults and Covid-19

The phenomenon of cooperatives failing to pay up to trillions of rupiah and killing tens of thousands of people is rife in Indonesia. This study aims to investigate and confirm the causes of cooperative defaults, how the process of default occurs and whether it has anything to do with the Covid-19 pandemic. The method used is Systematic Literature Review and Multiple Case Study. The results of the study explain the factors that make cooperatives fail to pay. External factors, namely the member's business went bankrupt and there was no member's good faith in returning the loan funds. Internal factors are risky borrower profiles, yields that are too high, lack of monitoring, collection efforts, and management factors. Covid-19 also had an effect because it made member businesses bankrupt or lost, and made the number of borrowers from cooperatives increase significantly

SOURCES OF LONG TERM FUNDING

Long-term funding is loan funds that have a tenor of more than one year. So companies that take long-term funding have more than one year to pay it off. Generally long-term repayment of funding ranges from 5 to 20 years. For companies, this type of funding is considered suitable as capital to start a business, or as a solution when large costs are needed in a short time. Sources of long-term funds are very useful for ensuring the survival of the company, through the capital market. Formation of capital and accumulation of funds aimed at increasing public participation in mobilizing funds to support national development financing. The existence of this institution is not only as a vehicle for sources of financing, but as an investment involving all potential public funds, both available domestically and abroad. For example, a company that wants to develop a business such as wanting to buy fixed assets in the form of land

Safeguarding Tomorrow through Ongoing Risk Mitigation Revolving Loan Fund Program (DHS)

Federal Grants & ContractsVolume 47, Issue 5 p. 3-3 Grants Alerts Safeguarding Tomorrow through Ongoing Risk Mitigation Revolving Loan Fund Program (DHS) First published: 31 January 2023 https://doi.org/10.1002/fgc.32831Read the full textAboutPDF ToolsRequest permissionExport citationAdd to favoritesTrack citation ShareShare Give accessShare full text accessShare full-text accessPlease review our Terms and Conditions of Use and check box below to share full-text version of article.I have read and accept the Wiley Online Library Terms and Conditions of UseShareable LinkUse the link below to share a full-text version of this article with your friends and colleagues. Learn more.Copy URL Share a linkShare onFacebookTwitterLinkedInRedditWechat No abstract is available for this article. Volume47, Issue52 February 2023Pages 3-3 RelatedInformation

Effect Of Statutory Reserve and Bank Branches on Revenue Reserves of Deposit Money Banks in Nigeria

The study examined the effect of statutory reserves and bank branches on the revenue reserves of deposit money banks in Nigeria. Retained earnings were the dependent variable. The study adopted an ex-post-facto research design, covering the period between 2010 and 2019. Secondary data were extracted from the annual reports and accounts of sampled deposit money banks in Nigeria. Multiple regression analysis was used for the test of hypotheses. The study of the regression analysis revealed that statutory reserves have a significant and negative effect on the revenue reserve of deposit money banks in Nigeria. Furthermore, the number of branches of deposit money banks had no significant effect on their revenue reserves. The findings imply that statutory reserves can be used to predict and make decisions on retained earnings of deposit money banks in Nigeria. The study, therefore, recommends that banks focus on working on technicalities that will enable them to reduce their statutory reserve. However, the CBN should give the banks more freedom to have in-house retention than reserving with the CBN. This is because when it is reduced, there will be more loanable funds at the disposal of deposit money banks, and their profitability chances increase as well. Also, the insignificant effect of the number of branches indicates that the firms should not see an increase in the number of their branches as the solution to higher revenue reserves

Peran Generasi Milenial Terhadap Pemahaman dan Perkembangan Fintech syariah

The rapid development of technology has made all sectors influential, namely the education sector, industry, as well as the economic, financial and banking sectors. One of the links between the millennial generation and the development of fintech is because the millennial generation is a technology literate generation that is able to accept financial technology innovations. Financial technology (fintech) or what we usually know as online loans (financial loans) are no longer foreign to the public. Apart from operating in the conventional sector, there is also sharia fintech. Safe and lawful money loans because they operate based on Islamic law. This study aims to determine the role of the millennial generation in understanding and developing sharia fintech in increasing economic growth. This research method uses inductive, then analyzed and then presented in writing in the form of reports in the form of data found from interviews and documentation.

Political connections and cost of debt: a meta-analysis

Purpose This paper aims to conduct a meta-analysis regarding the association between political connections and the cost of debt and tests for the moderating effect of the level of creditor protection on this relationship. Design/methodology/approach Keywords used to collect relevant empirical papers include “political connections, political ties, and political connectedness” from the one side, and “cost of loan finance, and cost of debt” from the other side. The search yields 24 published empirical papers from 2005 to 2022. Findings Findings show that there is a significant negative association between political connections and the cost of debt; this relationship is more pronounced only for countries characterized by a strong level of creditor protection. This moderating effect is further confirmed using meta-regression. Originality/value Findings are relevant for policymakers and managers in settings where relationship-based capitalism represents a prevailing feature as they highlight the important legal and institutional characteristics when considering the impact of political connections on the cost of debt. The paper also discusses some limitations inherent to this stream of research and proposes future research perspectives.

Analisis Nilai-Nilai Spiritual di KSPPS Khidmatul Ummah Bogor

This research is about the Implementation of Spiritual KSPPS Khidmatul Ummah Bogor by using four variables as an analytical tool, namely sharia exemplary, sharia compliance, sharia education and sharia training. The Islamic economic discourse in the field of micro finance has not studied the implementation of Spiritual Intermediation in a holistic manner, even though the difference between Conventional Microfinance Institutions and Islamic Financial Institutions is the Spiritual and Social aspect. This analysis method uses a qualitative research style. The research approach is carried out in two stages, namely pilot research and pre-research. The results of this study are KSPSS Khidmatul Ummah Bogor institutionally is a sharia microfinance institution incorporated as a Sharia Savings and Loans Financing Cooperative Primary Scale District, which is engaged in empowering the poor and unbanked by carrying out social functions in Biatul Maal and business functions (tijari) through Baitul at Tamwil KSPSS Khidmatul Ummah. It is intended to be able to solve the economic problems of the lower middle class community in West Bogor, Bogor Regency. By implementing five pillars in its operations, namely: Alms, Savings, Soft Loans, Financing and Investment. And aspects of spiritual intermediation at KSPPS Khidmatul Ummah Bogor include: it is in accordance with Sharia principles and consistently exemplified by the administrators and managers. Sharia compliance has not been optimized properly. KSPSS Khidmatul Ummah Bogor in carrying out Sharia education and training to internal has been very intense, diverse and programmed. But for the external is not maximal, intense and diverse.
 

Impact of Firm Power on Debt Structure, Bank Loan Financing and Corporate Performance in China

Impact of Firm Power on Debt Structure, Bank Loan Financing and Corporate Performance in China

AGRO-INDUSTRIAL COMPANIES’ CAPITAL COST AND STRUCTURE

The article presents a study on the assessment of the structure and cost of capital of enterprises in the agrarian sector of the Ukrainian economy. It was found that the problem of optimising the capital structure in order to minimise its cost and ensure financial stability and competitiveness is one of the important issues in which a significant number of stakeholders are interested for enterprises of the agricultural sector, which is one of the key sectors of the national economy. The research was conducted using the following methods: the method of economic and statistical analysis and synthesis (for collecting and processing aggregated information on the capital structure of agro-industrial enterprises, calculating the cost of capital and its elements); the method of graphics and scientific comparisons (for visualising the analysis conducted and identifying trends in dynamics); the method of theoretical generalisation (for substantiating the results of the research conducted and formulating conclusions and proposals for further research). The dynamics of investment in enterprises of the agricultural sector of the economy were studied and the dependence between the increase of investment in the agricultural sector and the growth of the positive difference of the return on capital of enterprises of the agricultural sector compared to the total return on capital of the economy as a whole was revealed. It was found that the expected cost of equity capital is significantly higher than the expected cost of debt capital, with the country risk premium accounting for a large part of the difference. The heterogeneity of changes in the capital structure of the companies studied as a result of changes in the indicator of the expected rate of the cost of equity capital was revealed, which is related to the presence of a consistently cheaper alternative in the form of loan financing and the strategic vision of a particular company to ensure its own financial stability. It is suggested that in establishing cost guidelines for optimising the capital structure and minimising its cost, in addition to changes in the components of the cost of capital, the impact of such changes on the financial stability and solvency of the company should also be taken into account, as a basis for further research in this direction.

Pricing decision of dual-channel supply chain with members risk-aversion under the participation of e-commerce platform

In this paper, it considers a two-stage dual-channel supply chain model composed of a risk aversion manufacturer, a risk aversion retailer and a risk-neutral e-commerce platform. Under the condition of information symmetry, it is supposed that the manufacturer is financially constrained. Besides, the analysis is based on Stackelberg game theory. The equilibrium price without capital constraint is compared with the equilibrium price in three cases of e-commerce platform financing, bank loan financing and prepayment financing. Then the effects of risk aversion coefficients of the manufacturer and the retailer on equilibrium prices are compared in four cases. The influence of different financing rates on wholesale price, direct selling price and retail price is analyzed simultaneously.