REGIONAL SECTION OF FORMATION OF CREDIT POLICY OF THE MODERN BANKING SECTOR: CRIMEA AND SEVASTOPOL

Abstract In dealing with the factors affecting credit policy, a management should consider external and internal information before creating a policy. Internal factors include the structure and the amount of available bank assets and liabilities, and the type, state, and composition of available banking facilities and personnels. Meanwhile, external factors include the atmosphere of the business world in general and banking sector in particular, bank location, and others. The factors that need to be considered in credit policy cannot be separated from the problems that exist in banking activities. Since the factors affecting credit policy act as a guideline which influences credit management, it is important to analyze these factors. This research maps out some important factors in credit management and recommends certain practical steps that can be taken in credit management.

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Corporate sustainability and financial performance of Chinese banks

Sustainability Accounting Management and Policy Journal ◽

10.1108/sampj-09-2016-0066 ◽

2017 ◽

Vol 8 (3) ◽

pp. 358-385 ◽

Cited By ~ 33

Author(s):

Olaf Weber

Keyword(s):

Financial Performance ◽

Banking Sector ◽

Corporate Social Performance ◽

Positive Impact ◽

Social Performance ◽

Corporate Sustainability ◽

Credit Policy ◽

Content Type ◽

Sustainability Performance ◽

Chinese Banks

Purpose This paper analyzes the connection between the sustainability performance of Chinese banks and their financial indicators to explore whether sustainability regulations can be implemented without decreasing the financial performance of the banking sector. Design/methodology/approach The study examined reports and websites of Chinese banks, categorized different corporate sustainability aspects and conducted panel regression and Granger causality to analyze cause and effect variables. Findings The environmental and social performance of Chinese banks increased significantly between 2009 and 2013. Furthermore, a bi-directional causality between financial performance and sustainability performance of Chinese banks has been found. Based on institutional theory, this interaction may be influenced by the Chinese Green Credit Policy. Research limitations/implications The findings suggest that corporate sustainability performance and financial performance are not a trade-off but correlate positively. Further research is needed to analyze the effect of financial regulations, such as the Chinese Green Credit Policy. Practical implications According to the good management theory by Waddock and Graves (1997) that claims a positive impact of corporate social performance on financial performance, Chinese banks can invest in corporate sustainability to increase their financial success and re-invest parts of the additional returns – also called slack resources – in sustainability activities. Social implications Chinese banks are able to influence the economy to become greener and less polluting without sacrificing financial returns. Originality/value This is the first study to explore the sustainability performance of Chinese banks, including their products and services.

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Competition in the Georgian banking sector and its impact on the credit policy of commercial banks

MATEC Web of Conferences ◽

10.1051/matecconf/202134208003 ◽

2021 ◽

Vol 342 ◽

pp. 08003

Author(s):

George Abuselidze ◽

Mariam Sharabidze

Keyword(s):

Interest Rate ◽

Interest Rates ◽

Commercial Banks ◽

Banking Sector ◽

Current Situation ◽

Competitive Environment ◽

Credit Policy ◽

The Impact ◽

The Relationship

Based on the role of banking sector in the development of the country’s economy, we consider it important to study the current situation in this sector. The existence of a competitive environment ensures the efficient functioning of the banking sector. The aim of the study is to estimate the competitive environment in the banking sector, to determine the relationship between competition and interest rates. The research is based on the use of different economic models and indexes. Competition in the banking sector is studied on the example of Georgian banking sector, for that we used HHI Net Loans and H-statistic indicators. The study analyses the impact of competition in the banking sector on the net interest income and interest rate in the same sector.

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FEATURES OF FORMATION OF CREDIT POLICY AND CREDIT PORTFOLIO OF COMMERCIAL BANK IN MODERN CONDITIONS

Market Infrastructure ◽

10.32843/infrastruct54-34 ◽

2021 ◽

Author(s):

Natalia Ostrovska

Keyword(s):

Commercial Bank ◽

Banking Sector ◽

Cash Flows ◽

Bank Loan ◽

Economic Conditions ◽

Credit Policy ◽

Loan Portfolio ◽

Loan Market ◽

Modern Economic ◽

Banking Institution

The level of development of production, social infrastructure and the degree of development of society as a whole largely depends on how developed the banking sector of the state is. An important role in fulfilling the tasks is assigned to commercial banks, which can provide credit resources to enterprises and organizations, as well as citizens. In addition, an efficient and stable banking sector is a key factor in the growth of the national economy. The purpose of the article is to determine the features of the formation of credit policy and loan portfolio of a commercial bank in modern economic conditions. The article identifies the features of the formation of credit policy and loan portfolio of a commercial bank in modern economic conditions. It is generalized that the main specific features of credit relations are: their emergence at the stage of redistribution of final income; formation on the basis of return and with the payment of interest; impact on the structure and volume of cash flows and features of the bank loan market. It is proved that the study of the bank loan market involves the analysis of the structure of the loan portfolio, its most important areas are the assessment of the structure of the loan portfolio by type of customers, terms of lending, as well as by type of currency and more. It is determined that the credit policy of a banking institution is one of the main elements of banking policy, which is a strategy and tactics of the bank to attract temporarily free funds in the economy and direct them to credit operations. In the process of credit risk management, an important element is the ability of the bank's management to choose correctly: the sphere of management in which it is advisable to concentrate the bank's lending activities at a given time; "Its client", based on its creditworthiness and other factors that are of paramount importance for the bank in deciding on the possibility of granting a loan, etc. The credit policy of the banking institution determines the priorities in the development and improvement of lending activities, development of the credit process and increase its efficiency and ensures the stability, profitability and liquidity of the bank.

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APPLICATION OF CASH RECYCLING TECHNOLOGY TO OPTIMIZE THE CREDIT POLICY OF A COMMERCIAL BANK FOR IMPROVING WELFARE OF THE RURAL POPULATION

Bulletin of Agrarian Science ◽

10.17238/issn2587-666x.2020.5.115 ◽

2020 ◽

Vol 5 (86) ◽

pp. 115-122

Author(s):

N.V. Alentieva ◽

◽

Keyword(s):

Commercial Bank ◽

Rural Population ◽

Banking Sector ◽

Financial Institution ◽

The United States ◽

Functional Requirements ◽

Credit Policy ◽

The World ◽

Recycling Technology ◽

In Transit

The article reveals and analyzes the advantages of ATMs with the function of cash recycling to improve welfare of the rural population. The bank's credit policy is based on the basis for the entire lending process, which determines its objective parameters and features. Its main goal is to maximize profits while minimizing potential risks. In the world market, the use of recycling technology in the banking sector remains in demand. Its use ensures constant availability of banknotes in the ATM, and this allows ATM to work for a long time without stopping for cash-in-transit services, which is a significant advantage for users. At present, the technology of cash recycling is a promising direction in the field of self-service banking and has a huge potential for its development. Due to the increase in the number of such devices,banking services are becoming available to potential consumers. The credit policy of a commercial bank in this direction provides an opportunity to attract a larger number of clients, at relatively low operating costs. ATMs with a cash recycling function are widely used in European countries, Japan, South Korea, and the United States. In Russia, such first ATMs appeared about 15 years ago, but due to their high cost, not every financial institution can use them in their work. The demand for ATMs with cash recycling is growing steadily around the world. Now, when it has become clear that ATMs with recycling function can reduce the costs of cash-in-transit serices, many banks when buying terminals include recycling in the list of basic functional requirements for new equipment. These technologies will allow financial organizations to save time on equipment maintenance and optimize costs.

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The Impacts of Non-Performing Loans upon the Prices of Stocks in Jordanian Commercial Banks

Accounting and Finance Research ◽

10.5430/afr.v6n1p139 ◽

2017 ◽

Vol 6 (1) ◽

pp. 139 ◽

Cited By ~ 1

Author(s):

Firas Na'el Rawhi Hashem ◽

Khalid Ali Ahmad Alduneibat ◽

Mohammad abdallah Fayad altawalbeh

Keyword(s):

Economic System ◽

Commercial Banks ◽

Banking Sector ◽

Banking System ◽

Commercial Banking ◽

Credit Policy ◽

Significance Level ◽

Banking Institutions ◽

Major Attention

The purpose of this study can be seen through the major attention that was given to the problem of non-performing loans by the banking institutions. Such attention was given to this problem due to the several impacts it has upon commercial banks and which may extend to affect the whole banking system, the current study aimed at identifying whether there is a statistically significant impact for the non - performing loans upon the prices of stocks or not in Jordanian commercial banks at the significance level of (a = 0.05). This study was concerned with investigating the Jordanian commercial banking sector during the period of (2005 –2015). The current study has given great attention to this sector because it is considered as the most vital sector in the Jordanian economic system. This study also shows that there is need for training workers in applying the credit policy that is being adopted. Such training should raise the practical efficiency levels of those employees. The study also showed that banks’ control should be stricter and they should set more dissuasive penalties in relation to granting facilities without having adequate guarantees.

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CREDIT POLICY AS A TOOL OF THE COMMERCIAL BANK

Services in Russia and abroad ◽

10.22412/1995-042x-11-6-12 ◽

2017 ◽

Vol 11 (6) ◽

pp. 152-167

Author(s):

Мадина АЛИКАЕВА ◽

Madina ALIKAEVA ◽

Матвей Оборин ◽

Matvey Oborin ◽

Астемир ШИНАХОВ ◽

...

Keyword(s):

Commercial Bank ◽

Banking Sector ◽

Structural Model ◽

Banking System ◽

Comparison Method ◽

International Standards ◽

Information Support ◽

Credit Policy ◽

Financial Credit ◽

Functional Purpose

Banking sector plays an important role in the economic sustainable development. In the context of the financial crisis and the introduction of new international standards, in accordance with the "Basel III" agreement, the requirements of Central Bank of the Russian Federation to it have increased. Credit policy is an important tool that reflects the efficiency of a commercial bank in the context of risk and credit optimization. It performs the following functions: setting goal and tasks, information support, etc. All this actualizes the issues of research and the forming an optimal credit policy. The article describes the model of formation and mechanism of implementing the credit policy, based on the delineation of structural elements, taking into account their functional purpose. The authors formulate the main system tasks to achieve this goal and develop the theoretical basis and methodology for the activities of the commercial banks in the field under study. The systematizing the theoretical foundations and the specific features of the formation of credit policy at the macro and micro levels according to the most important parameters, and substantiation of the organizational and methodological support for the implementation of lending processes are the main among these tasks. Scientific works of domestic and foreign scientists in the field of financial, credit, banking system is the ground of the research. Theoretical methods, such as synthesis, analysis, deduction and induction, as well as a logical, systemic approach, a comparison method have allowed researches to obtain the conclusions. Based on the patterns found in the study, the authors substantiate the close interconnection and interdependence of the elements participating in the process of forming the bank's policy in the area of lending considering their functional purpose. It is suggested to use the following elements in the for-mation of the structural model: conceptual, procedural, administrative and security elements. The features of the credit policy and proposals for its implementation, identified and formulated by the authors, allow increasing the efficiency of the commercial bank.

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The Procyclicality of the Leverage Ratio in Turkish Banking Sector

ISPEC International Journal of Social Sciences & Humanities ◽

10.46291/ispecijsshvol5iss2pp51-71 ◽

2021 ◽

Vol 5 (2) ◽

pp. 51-71

Author(s):

Sultan SARI

Keyword(s):

Financial Stability ◽

Banking Sector ◽

Credit Policy ◽

Leverage Ratio ◽

Distributed Lag ◽

Long Run ◽

Turkish Economy ◽

Asset Quality ◽

First Time ◽

The Relationship

The leverage ratio is an important ratio, especially in the banking sector. In this study, it is researched whether the leverage ratio in Turkish banking sector is influenced from the procyclicality in the Turkish economy or how it is influenced. For this purpose, it is focused on leverage ratio and asset rate. As leverage ratio, it is used the external assets / total shareholder’s equity rate and also the total assets / total shareholder’s equity. As indicator for asset quality and change is used the total loans / total assets in Turkish banking sector. The relationship between the leverage ratios and the total loans / total asset rate in the condition of the all else being equal is analysed empirically as a whole with the quarterly banking cumulative sectorial data between 2007 - 2019 by ARDL ( Auto-Regresive Distributed Lag ) method for first time. According to the analysis results, there is a positive and statistically significant relationship between each of the leverage ratios and the total loans / total assets rate in the long run. It indicates that the leverage ratio is procyclical. It means that the leverage ratio increase and also the total loans / total assets rate in banking sector increase. To conclude, as the credit policy, it is recommended to determine countercyclical policy during financial expansion periods for the financial stability.

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CREDIT POLICY OF BANKS IN THE FUNCTION OF DEVELOPING THE ECONOMY OF REPUBLIC OF SRPSKA

ACTA ECONOMICA ◽

10.7251/ace2134225b ◽

2021 ◽

Vol 19 (34) ◽

Author(s):

Dragana Bašić ◽

Predrag Ćurić

Keyword(s):

Interest Rates ◽

Financial Stability ◽

Banking Sector ◽

Regulatory Compliance ◽

Bank Loans ◽

Credit Policy ◽

Active Interest ◽

The One ◽

High Level ◽

Republika Srpska

The banking sector of Republika Srpska features a high level of legal and regulatory compliance, and can be defined as conservative banking with deposits as the main source of business and loans as their fundamental product. The availability of funds for lending under favourable conditions in the economy is the fundamental and most important function provided by the banking sector, even though its role is crucial in executing payment transactions as well as providing security in savings products. As per expectations, quantitative analysis shows a very high level of correlation between the changes in the volume of bank loans and the changes in the gross domestic product in Republika Srpska. On the one hand, the credit policy of banks represents an important basis for the development of enterprises and the economy, and for the business of banks, on the other. Banks obtain the highest revenues from the active interest rates, and through defining an adequate credit policy with respect to the conditions existing in the economic environment, they can make their operations more secure and profitable. By using the data from the survey questionnaire, we investigated the extent to which the credit policy of banks affects the financial stability and business operations of companies in Republika Srpska.

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A Study Of Indian Private And Public Sector Banks With Special Reference To Impact Of Post Merger And Acquisition Venture On Liquidity And Profitability

Adhyayan A Journal of Management Sciences ◽

10.21567/adhyayan.v8i1.14501 ◽

2018 ◽

Vol 8 (1) ◽

Author(s):

Prof.(Dr.) Neeraj Gogia.

Keyword(s):

Performance Evaluation ◽

Banking Sector ◽

Merger And Acquisition ◽

Integrated Marketing Communications ◽

Integrated Marketing ◽

Credit Policy ◽

Public Sector Banks ◽

Private And Public ◽

The Impact ◽

Post Period

This study was directed to assess the impact of merger and acquisition activities on the performance of Banks in India. The paper reviews the trends in M and A’s in Indian banking and then impact of M and A’s has been studied. The study covers the area of performance evaluation of M and A’s in Indian banking sector during the period pre and post period of six years of Merger and Acquisition activity. The paper studied the post merger financial performance of merged banks with the help of financial parameters. The study recommended that policies and strategies instituted by management, for instance the credit policy, should be re-visited in order to enhance internal and external operations, the logistical framework support should be improved; a more comprehensive approach to integrated marketing communications mix should be put in place in the promotion of the Bank’s existing and added products so as to gain more market share.

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