scholarly journals Merger & acquisition in the banking sector

2020 ◽  
pp. 19-23
Author(s):  
Liudmyla SKALOZUB
Keyword(s):  
Mergers And Acquisitions ◽  
Financial Markets ◽  
World Economy ◽  
Banking Sector ◽  
Banking System ◽  
Advantages And Disadvantages ◽  
Current State ◽  
Banking Market ◽  
European Banking ◽  
Banking Institutions

Nowadays there is a considerable amount of information in the literature about mergers and acquisitions of companies in various business fields which gives the world economy an incentive for mergers and acquisitions of financial institutions – banks, which, having large assets, control economic processes in individual countries. The article examines the current state of the market of mergers and acquisitions in the banking sector of Europe and Ukraine. The experience of merging banking structures is examined, the advantages and disadvantages of concluding agreements are identified, factors that may trigger merger or acquisition agreements are identified. The purpose of the article is to investigate the processes of mergers and acquisitions of banks in the Ukrainian and European financial markets. The current market conditions dictate strict rules not only for entry, but also for the functioning of banks in their segment. Globalization processes in today's world are one of the prerequisites for increasing the number of mergers and acquisitions concluded in the banking sector. The article examines the current state of the market of mergers and acquisitions in the banking sector of Europe and Ukraine. The experience of merging banking structures is examined, the advantages and disadvantages of concluding agreements are identified, factors that may trigger merger or acquisition agreements are identified. The merger or acquisition agreements concluded on the European banking market have been analyzed. By analyzing the concluded M&A agreements in the European banking market, we can say that the value of such agreements is gradually reduced over the period 2012-2017. The practice of merger and acquisition agreements in the banking sector of Ukraine is analyzed. Crises in the banking sector and the Ukrainian economy as a whole make it possible to say that investors are less interested in the domestic banking system, which indicates that it is impossible to increase the number of mergers and acquisitions of domestic banking institutions. It is worth noting that there are currently about 100 banks in Ukraine that are declared insolvent, and a significant amount of non-performing loans can be a serious deterrent to increasing M&A transactions.

scholarly journals ANALYSIS OF DEVELOPMENT OF BANKING SYSTEMS OF UKRAINE AND POLAND: 2009-2017

2017 ◽  
pp. 134-143
Author(s):  
Yaroslav Chaikovskyi ◽  
Ivanna Chaikovska
Keyword(s):  
Comparative Analysis ◽  
Banking Sector ◽  
Foreign Capital ◽  
Statistical Data ◽  
Banking System ◽  
Negative Consequences ◽  
Banking Systems ◽  
Current State ◽  
Banking Institutions ◽  
National Bank

The authors conducted a comparative analysis of the statistical data of results of banking institutions activities of the National Bank of Ukraine and the Polish National Bank for 2009-2017. Dynamics and current state of the total number of banks and banks with foreign capital, own funds of the banking system of Ukraine and Poland are analysed. Quantitative and qualitative trends of development of Polish and Ukrainian banking systems are evaluated. Positive and negative aspects of activities of banking institutions in Ukraine and Poland are discovered. Conclusions. Thus, the results indicate that quantitative and qualitative trends that reflect both positive and negative characteristics of activities of banking institutions in Ukraine and Poland can be traced in recent years. The reasons that caused the negative consequences of the banking system of Ukraine have been detected. Directions of reforming the banking sector of Ukraine have been outlined. The experience of Poland in conditions of European Integration has been studied and analysed.

scholarly journals AREAS OF USING INTERNATIONAL EXPERIENCE FOR THE DEVELOPMENT OF SECURITIZATION OF MORTGAGE LOANS IN RUSSIA

2020 ◽  
Vol 1 (5(74)) ◽  
pp. 15-20
Author(s):  
I.V. Belova
Keyword(s):  
Best Practices ◽  
Financial Markets ◽  
World Economy ◽  
Banking Sector ◽  
Banking System ◽  
Mortgage Loans ◽  
Developed Economies ◽  
The World ◽  
Mortgage Securities ◽  
Over 40 Years

The article is devoted to considering the current level of securitization of mortgage assets in Russia and the role that it can play in developing and strengthening the national financial system. The world experience shows that the issue of mortgage securities is a profitable source of financing for credit organizations and stimulates the developmentof the banking sector as a whole. Being one of the most effective economic innovations, the process of securitization of mortgage assets for over 40 years of use in the most developed economies of the world confirms its relevance and importance.Based on the analysis of international best practices in this area, those possible ways of developing securitization of mortgage assets in Russia were identified that would allow our country to maintain the liquidity of the Russian banking system in conditions of growing crisis processes in the world economy and financial markets and give it the necessary sustainability through reliable financial sources.

scholarly journals BANKING CONCENTRATION IMPACT ON MARKET STRUCTURE OF POST-SOVIET AND EU MEMBER COUNTRY – ESTONIA

2020 ◽  
pp. 77-85
Author(s):  
ILIA BOTSVADZE
Keyword(s):  
Financial Markets ◽  
Market Structure ◽  
Member Country ◽  
Banking Sector ◽  
Global Financial Crisis ◽  
Banking System ◽  
High Concentration ◽  
Role Of The State ◽  
Banking Market ◽  
Independent Expert

The new wave of mergers and acquisitions after the global financial crisis intensified the interest of policy makers and academics in bank concentration and competition and the role of the state in competition policies and regulations (policies and laws that affect the market structure and degree of competition). It is important to not only make sure that banking sector is competitive, transparent and efficient, but also stable. The purpose of the study was to investigate and analyze the degree of concentration in Estonian banking market and its impact on competition and market structure of financial markets over the period of 2013-2017. Both the structural and the non-structural measurement approaches of concentration and competition, along with the desk research, a case study and interviews with the financial sector professionals and an independent expert was employed to address research purpose. The findings of the study indicate that, in the Post-Soviet and nowadays EU member country – Estonia, high concentration coexist with the high and moderate competition levels and relationship between concentration and stability seems to be positive, meaning that high concentration results high stability of this banking market. The monopolistically competitive Baltic banking market is based on the contestable market equilibrium as banking sector is prone to the existence of high segmentation and product differentiation. Large banks with high share of foreign capital operate as universal banks, providing various services to the different market segments at very competitive rates, while smaller banks concentrate on a specific range of services. The Scandinavian-connected banking system of EU member Baltic country is modern and efficient, with best-regulation and high level of transparency in the region.Estonian financial markets are bank dominated, characterized with monopolistic banking structure, with leading roles of a few universal profile banking institutions, dominating not only banking sector, but whole financial market.

ANALYSIS OF APPLICATION OF BLOCKCHAIN TECHNOLOGIES FOR THE BANKING SECTOR

2017 ◽  
Author(s):  
Svitlana Ilkovych ◽  
◽  
Maryna Korol ◽  
Keyword(s):  
Banking Sector ◽  
Blockchain Technology ◽  
Current State ◽  
Global Banking ◽  
Banking Institutions ◽  
Pros And Cons ◽  
Further Development

The article considers the essence of blockchain technology and the possibility of its application in the banking sector. The current state of development and application of blockchain technologies in various industries is analyzed. The pros and cons of using blockchain technologies for the banking sector are identified. Emphasis is placed on the role of blockchain technologies in the further development of the banking sector. The most promising directions of development of this technology are considered. Particular attention is paid to examples of the use of blockchain technology by global banking institutions.

Same Story, Different Place?

2018 ◽  
Author(s):  
Viral V. Acharya ◽  
Tim Eisert ◽  
Christian Eufinger ◽  
Christian Hirsch
Keyword(s):  
Banking Sector ◽  
Debt Crisis ◽  
Banking System ◽  
Policy Implications ◽  
Balance Sheets ◽  
System P ◽  
Loan Supply ◽  
European Banking ◽  
European Debt Crisis

This chapter compares the recapitalizations of the Japanese banking sector in the 1990s with those in the ongoing European debt crisis. The analysis points to four main policy implications. First, recapitalizing banks by insuring or purchasing troubled assets alone is not likely to solve the problem of banks’ weak capitalization, as this measure is not able to adjust the extent of the recapitalization to the banks’ specific needs. Second, the amount of the recapitalization should be based on actual capital shortages and not risk-weighted assets to avoid banks decreasing their loan supply. Third, banks should face restrictions regarding the amount of dividends they are allowed to pay out. Finally, banks must be induced to clean up their balance sheets and reduce the amount of bad (non-performing) loans to rebuild confidence in the European banking system.

Financial Market Integration and EMU

2020 ◽  
Author(s):  
Kern Alexander
Keyword(s):  
Market Integration ◽  
Banking Sector ◽  
Financial Integration ◽  
Banking Union ◽  
Shadow Banking ◽  
The European Union ◽  
Financial Market Integration ◽  
Banking Market ◽  
Capital Markets Union ◽  
European Banking

This chapter discusses the evolution of the market structure in European banking and the level of financial integration in the Eurozone and the interaction with financial regulatory developments. The chapter will address how the creation of the Banking Union’s Single Supervisory Mechanism (SSM) has affected banking market integration in the Eurozone. The chapter also raises related issues concerning monetary policy and banking supervision and some of the challenges in discharging these responsibilities within the Banking Union. This chapter also analyses the Capital Markets Union (CMU) proposal in respect of its important objective to increase the supply of credit from non-bank financial intermediaries to the economy of the European Union (EU) while also raising important prudential regulatory concerns concerning the risks raised by the shadow banking sector.

THE DEVELOPMENT OF THE BANKING SYSTEM IN POLAND DETERMINED BY THE PROCESSES OF ADJUSTMENT TO THE NORMATIVE AND TECHNOLOGICAL STANDARDS OF THE EUROPEAN UNION AND CONTEMPORARY PROCESSES OF ECONOMIC AND INFORMATIONAL GLOBALIZATION

2018 ◽  
Vol 4 (2) ◽  
pp. 339-367
Author(s):  
Jan Grzegorek ◽  
Dariusz Prokopowicz ◽  
Adrian Chojan ◽  
Mirosław Matosek
Keyword(s):  
Financial Markets ◽  
Capital Flows ◽  
Banking Sector ◽  
Stock Exchange ◽  
International Monetary System ◽  
Banking System ◽  
Economic Transformation ◽  
The European Union ◽  
Market Institutions ◽  
Main Determinants

The current processes of economic and information globalization are mainly related to the successively progressing integration of financial markets, the development of ICT and Internet technologies. The liberalization of capital flows, progressing since the 1970s, was determined by many economic and political factors, including the modification of the international monetary system. The main determinants of economic and information globalization include such processes as liberalization of capital flows, deregulation of international financial markets and progress in the field of ICT. These processes constituted favorable conditions for the reconstruction of the market financial system, including the banking sector in Poland in the 1990s. Since the beginning of the systemic and economic transformation that has been taking place in Poland since 1989, the banking system and capital market institutions have been rebuilt. It referred to the Warsaw Stock Exchange market institutions, taking into account the opening of the economy to foreign capital. Foreign financial corporations taking over domestic banking entities in Poland have introduced their modern transactional and teleinformation technologies and new standards for entering into financial transactions. These processes were the main determinants of economic and information globalization that has been made in Poland since the 1990s.

Improvement of the Legislation of Ukraine as to the Provision of the Protection of Banking in the Conditions of European Integration

2018 ◽  
Vol 8 (7) ◽  
pp. 2165
Author(s):  
Alyona M. KLOCHKO ◽  
Nikolai P. KURILO ◽  
Svetlana I. ZAPARA ◽  
Irina V. ARISTOVA ◽  
Mykola I. LOGVINENKO
Keyword(s):  
Banking Sector ◽  
Criminal Responsibility ◽  
Criminal Liability ◽  
Banking System ◽  
Legal Protection ◽  
Legal Regulation ◽  
External Threats ◽  
Banking Activity ◽  
Banking Institutions ◽  
Criminal Legislation

Euro-integration course of Ukraine has caused an intensive development of its banking sphere. The inconsistency between the possible legislative consolidation of criminal responsibility for socially dangerous acts in the banking sector and the objective needs of society in such protection becomes more and more obviousis in Ukraine. The processes of ‘clearing’ the banking system from financial institutions that are insolvent along with the positive results have led to an increase in the level of criminalization of the banking sector. Abuses aimed at taking possession of money from creditors and borrowers of banking institutions have become widespread. External threats to the stable functioning of the banking sector are combined with internal misconduct of unscrupulous bank managers, officials and persons related to the banks. Approaches to legislative regulation of suspicious banking transactions and to identify their real volumes must be improved. The measures aimed at reducing of the level of criminalization of the banking sphere by establishing criminal liability of managers and persons connected with the bank for unlawful acts in the banking sector must be taken. The certain issues of legal regulation of banking activity in Ukraine on criminal legal level are considered. The provisions of international law on these matters are  analyzed and the main ways to optimize Ukranian criminal legislation to ensure the safety of banking activity are suggested. It turns out that the need for criminal legal protection of banking is conditoned by an increase in the public danger of these acts at the present stage of the functioning of society. This need is also confirmed by the crisis in the financial and banking spheres of the state, the need to eliminate the gaps in the current legislation on banking safety and the changes that took place in the banking sector of Ukraine in the context of increased integration with the EU.

scholarly journals Disclosure of risk information in the European banking sector

2016 ◽  
pp. 350-366
Author(s):  
Emilia Klepczarek
Keyword(s):  
Financial Markets ◽  
Banking Sector ◽  
Global Financial Crisis ◽  
The Public ◽  
Market Participants ◽  
European Banking ◽  
Adequate Quantity ◽  
The Global Financial Crisis ◽  
Risk Disclosures ◽  
Working Out

A debate on the scope of bank information disclosures seems to be essential, especially after the Global Financial Crisis. The adequate quantity of data provided to the public domain is a condition of transparency of the banking sector which should assure the optimization of market participants’ decisions. There is also a tendency to unify global accountancy standards, and they are expected to ensure the same scope of disclosed information for the global financial market. The aim of the study is to investigate if there are any differences with the number of risk disclosures among the banks using GAAP and IFRS accounting standards, and if more stable banking sectors tend to report a wider scope of data. Finding out the nature of the determinants of disclosures is an important aspect in terms of working out the procedures which will increase the transparency and stability of the financial markets.

scholarly journals Transformation of the Ukrainian banking system regulation: a new horizon of compliance with the international framework

2019 ◽  
Vol 14 (4) ◽  
pp. 22-33
Author(s):  
Lyubov Khudoliy ◽  
Oleg Bronin
Keyword(s):  
Systematic Approach ◽  
Banking Sector ◽  
Global Financial Crisis ◽  
Banking System ◽  
Basel Iii ◽  
Banking Supervision ◽  
Macroeconomic Shocks ◽  
Bank Supervision ◽  
Banking Institutions ◽  
The Global Financial Crisis

This article discusses the latest methodological recommendations of the Basel Committee on Banking Supervision developed in response to the effects of the global financial crisis and known as Basel III. The purpose of the study is to explore scientific approaches to justifying bank regulation as a key condition for overcoming the economic crisis and improving financial sustainability. The object of research is Basel III instruments that will be implemented in the bank regulatory policy of Ukraine. The systematic approach and systemic thinking used in the article allow one to substantiate the expediency of Ukrainian banking institutions’ governance based on the risk-oriented approach and to determine the strategy of bank supervision for the next 1-3 years. The study evaluates the results of stress testing of the largest banks in Ukraine. Thus, the results confirm that the banking sector in Ukraine is sufficiently capitalized in the absence of macroeconomic shocks, but in case of a crisis, some of these banks are not protected. Therefore, the article formulates recommendations for improving the regulation of these banks, the phased implementation of Basel III, the application of new principles, standards, tools and methods, corporate governance and risk management in Ukrainian banks.

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