scholarly journals Qualitative Assessment of Basel III Liquidity Standards and its Application in the UAE

2020 ◽  
Vol 4 (2) ◽  
pp. 118-129
Author(s):  
Manoj Kapur ◽  
Arindam Banerjee ◽  
Kunjana Malik
Keyword(s):  
Banking Sector ◽  
Financial Statements ◽  
Jel Classification ◽  
Qualitative Assessment ◽  
Basel Iii ◽  
Coverage Ratio ◽  
Disclosure Requirements ◽  
Short And Long Term ◽  
Made In

The Basel Committee for Banking and Supervision (BCBS) introduced two key liquidity ratios to strengthen the short- and long-term liquidity positions of the banks around the globe. These ratios were designed to achieve two key distinct objectives. Firstly, to encourage banks' short-term resilience to the liquidity risks by ensuring there are sufficient high-quality liquid assets to survive a significant stress which may last for 30 days. Calculation of this ratio is called as Liquidity Coverage Ratio (LCR). Secondly, to promote bank resilience over a longer time horizon, at least annually, by creating additional incentives for banks to fund their activities with more stable sources of funding. This led to creation of Net Stable Funding Ratio (NSFR). While these structural ratios are mostly quantitative, the underlying factors that are needed to calculate these ratios include qualitative factors as well. The paper analyzed the implementation of Basel III standards for the banking sector in the UAE. In particular, the timelines specified by the Central bank of the UAE and its implementation by the Domestic-Systemically Important Banks (D-SIBs) in the UAE was tracked by this paper. The study found a disconnect between the disclosure requirements by Basel III and disclosure made in the published annual financial statements of the banks. The study also discussed the extent of disclosures made by the D-SIBs and how relevant disclosures may improve the transparency of the liquidity risk management of the bank. JEL Classification Codes: E58, G32, G38.                        

Corporate hypocrisy

2021 ◽  
Author(s):  
Manuel Alfonso Garzón Castrillón
Keyword(s):  
Two Dimensions ◽  
Review Article ◽  
Moral Hypocrisy ◽  
Brand Reputation ◽  
Short And Long Term ◽  
Corporate Social ◽  
Temporal Direction ◽  
Practical Implications ◽  
Made In

This review article aimed to contribute to the understanding of the importance of coherence between saying and acting to prevent companies from being perceived from the perspective of business hypocrisy and affecting the brand, reputation, trust and credibility in the company. It was carried out based on the Methodi Ordinatio, addressing its theoretical origins and then approaching the concept, later venturing into the different studies that have approached it from corporate social responsibility (CSR), ethics; reputation, interest groups (stakeholders), and communication, subsequently in relation to the consequences that it generates in world-known organizations, their statements and the criticism made, subsequently an analysis of three aspects or facets is made in which it is presented namely: moral hypocrisy; behavioral hypocrisy and how to attribute business hypocrisy, the next point presents a typology that involves two dimensions: an orientation that refers to the attention span, in the short and long term of participants when making or responding to accusations of hypocrisy and a temporal direction, which refers to the point of comparison, past or future, finally reaches some conclusions, and some practical implications.

scholarly journals Liquidity regulations and bank behavior: An emerging markets perspective

2021 ◽  
Vol 10 (4, special issue) ◽  
pp. 194-211
Author(s):  
Tafirei Mashamba
Keyword(s):  
Emerging Markets ◽  
Global Financial Crisis ◽  
Emerging Market ◽  
Generalized Method Of Moments ◽  
Emerging Market Economies ◽  
Basel Iii ◽  
Market Economies ◽  
Coverage Ratio ◽  
The Impact

The 2007 to 2009 global financial crisis significantly affected the funding structures of banks, especially internationally active ones (Gambacorta, Schiaffi, & Van Rixtel, 2017). This paper examines the impact of liquidity regulations, in particular, the liquidity coverage ratio (LCR), on funding structures of commercial banks operating in emerging markets over the period 2011 to 2016. Similar to Behn, Daminato, and Salleo (2019) who developed a dynamic partial equilibrium model to examine capital and liquidity adjustments, this paper develops three dynamic error component adjustment models and estimates them using the two-step system generalized method of moments (GMM) estimator to analyze funding adjustments adopted by banks in emerging markets in response to the LCR requirement. The results revealed that banks in emerging markets responded to binding liquidity regulations by increasing deposit, equity as well as long-term funding. In terms of the magnitude of response, deposit funding was found to be more responsive to the LCR rule while the elasticity of equity and long-term funding to the LCR specification was found to be weak. The weak response of equity and long-term funding to liquidity standards was attributed to low levels of capital market development in emerging markets (Bonner, van Lelyveld, & Zymek, 2015). By and large, the results suggest that Basel III liquidity regulations have been effective in persuading banks in emerging market economies to fund their business activities with stable funding instruments. Based on this evidence, the study supports the adoption of Basel III liquidity regulations in emerging markets. Moreover, policymakers in emerging market economies should monitor competition for retail deposits to safeguard the benefits of the LCR rule and pay more attention to developing capital markets.

scholarly journals INFORMATION COVERAGE IN FINANCIAL STATEMENTS: PRACTICAL EXPERIENCE IN THE APPLICATION OF IAS AND IFRS

2021 ◽  
Vol 5 (40) ◽  
pp. 276-287
Author(s):  
O. Yarmoliuk ◽  
О. Hubaryk ◽  
Т. Savanchuk ◽  
О. Dmytrenko ◽  
N. Khomiak
Keyword(s):  
Information Disclosure ◽  
Financial Statements ◽  
Practical Experience ◽  
Jel Classification ◽  
International Standards ◽  
Position Information ◽  
Financial Position ◽  
Methodological Aspects ◽  
A Current

Abstract. The information demands of a globalized society are forcing businesses to produce financial statements that meet the requirements of all stakeholders. The purpose of the article was to assess what information entities disclose in the financial statements prepared in accordance with IAS and IFRS, and what conflicts arise. Theoretical and methodological aspects of the results of scientists prove the importance of information disclosure in the financial statements prepared in accordance with IFRS. At the same time, the issue of disclosure of information in the financial statements remains open, taking into account the needs of current activities of enterprises. In view of this, there is a need to: study the provision of users of financial statements with information, the disclosure of which provides for international standards; testing hypotheses about the need to study the differences between the types of financial statements provided for in IFRS and IAS and reviewing the long-term liability in the event of early repayment. Based on the analysis, it is established that the information required for disclosure in the financial statements determines the type of financial statements. The conducted research testifies to the presence of gaps in IFRS in the order of compilation and information content of the combined reporting. It is proposed that the combined financial statements be prepared by entities that for one reason or another do not meet the requirements of IFRS 10. It is established that an important condition for reliable reflection in the Statement of financial position information on long-term credit is the need to analyze during the year. It is proposed to consider part of the long-term loan in the form of payments, which must be repaid within twelve months from the date of reporting, as a current liability. This approach requires reclassifying existing credit from long-term to current liabilities, which will lead to further changes in cash flow estimates, adjusting the carrying amount of liabilities. The results of the study can be used by practitioners in various sectors of the economy in the formation of financial statements in accordance with IFRS. Keywords: financial statements, IFRS reporting, financial results, enterprise, standards, accounting, IFRS, IAS. JEL Classification M40, M 41, M 48 Formulas: 0; fig.: 1; tabl.: 1; bibl.: 19.

scholarly journals Post-COVID-19 Pulmonary Fibrosis: Report of Two Cases

2021 ◽  
Author(s):  
Saurabh Karmakar ◽  
Priya Sharma ◽  
Ameet Harishkumar ◽  
Deependra Kumar Rai
Keyword(s):  
Respiratory Failure ◽  
Severe Acute Respiratory Syndrome ◽  
Pulmonary Fibrosis ◽  
Restrictive Lung Disease ◽  
Hospitalised Patients ◽  
Short And Long Term ◽  
Remarkable Progress ◽  
Made In

COVID-19 caused by severe acute respiratory syndrome coronavirus 2 has led to a pandemic situation worldwide. However, remarkable progress has been made in evolving policies, strengthening healthcare efforts, and pharmacotherapy. As more patients are recovering from COVID-19, clearer concepts about possible short- and long-term complications are emerging. Respiratory failure is the most common morbidity in hospitalised patients, and post-COVID-19 pulmonary fibrosis is the most common respiratory complication after recovery. The authors report two cases of COVID-19 pneumonia with respiratory failure who were cured but developed pulmonary fibrosis with restrictive lung disease in the follow-up period.

scholarly journals The Good and Bad News about the New Liquidity Rules of Basel III in Islamic Banking of Malaysia

2019 ◽  
Vol 12 (3) ◽  
pp. 120
Author(s):  
Shazleena Mohamed Zainudin ◽  
Siti Zaleha Abdul Rasid ◽  
Rosmini Omar ◽  
Rohail Hassan
Keyword(s):  
Banking Sector ◽  
Secondary Data ◽  
Islamic Banking ◽  
Present System ◽  
Basel Iii ◽  
Policy Makers ◽  
Coverage Ratio ◽  
New Horizons ◽  
Regulatory Guidelines ◽  
Unique Framework

How has Basel III (Bank for International Settlements), regarding the computation, measurement, and management of the liquidity coverage ratio (LCR), vitalized the Islamic banking sector in emerging economies? Vice versa, what is the Islamic banking sector’s capacity to respond in embracing Basel III? This study aims to review the current issues faced by a bank as it discusses the current regulatory guidelines and operational challenges in implementing the system. Based on the implementation of LCR preliminary secondary data of Malaysian banks between 2010 and 2016, this study finds that the readiness of LCR system implementation in the Islamic banking industry is currently low because LCR is still relatively new for all financial institutions and vendors. There is a huge gap between the present system infrastructure of the banks and the LCR model requirements as defined by BNM (Bank Negara Malaysia) under Basel III. Nevertheless, this finding opens new horizons of understanding and practically offers further investigations for the whole banking sector in Malaysia. Thus, policy makers, regulators, and industry players should utilize a unique framework for Islamic banks when strategizing liquidity risk management.

scholarly journals Market valuation and acquiring firm performance in the short and long term: Out-of-sample evidence from Spain

2020 ◽  
Vol 23 (1) ◽  
pp. 234094442090104
Author(s):  
José E. Farinós ◽  
Begoña Herrero ◽  
Miguel A. Latorre
Keyword(s):  
Jel Classification ◽  
Target Firm ◽  
Listed Firms ◽  
Market Sentiment ◽  
Out Of Sample ◽  
Short And Long Term ◽  
The Moment ◽  
Long Term Performance ◽  
Term Performance

We investigate bidder’s short- and long-term performance in periods of high and low valuation market in response to announcements of acquisitions carried out by Spanish listed firms over the period 1991–2016. We find that acquirers of unlisted targets fully react at the announcement date in high valuation periods, meanwhile the underreaction of listed target bidders at the moment of the announcement in low valuation markets is the result of return continuations. In addition, we find that the market reaction do not depend on recent merger history. Therefore, we provide evidence that bidder reaction to acquisitions is not consistent with the predictions of market sentiment (optimism) after controlling for the listing status of the target firm, not supporting, for a thinner market as the Spanish one, the evidence observed in US and UK markets. JEL CLASSIFICATION G14; G34; L33; D81

Modeling Long-term Commodities: the Development of a Simulation Model for the South African Wine Industry within a Partial Equilibrium Framework

2009 ◽  
Vol 4 (2) ◽  
pp. 201-218
Author(s):  
Sanri Reynolds ◽  
Ferdinand Meyer ◽  
Michela Cutts ◽  
Nick Vink
Keyword(s):  
South African ◽  
Jel Classification ◽  
Wine Industry ◽  
Partial Equilibrium ◽  
Model Structure ◽  
The South ◽  
Demand And Supply ◽  
Long Time ◽  
Made In

AbstractEconometric demand and supply models of agricultural commodities and crops have been around for a long time with extensive research and adaptations being made in the grain and livestock sectors. This much attention has, however, not been afforded to long term commodities. This paper presents a partial equilibrium framework for modeling long term commodities using the South African wine industry as an example. The model structure is presented and two different approaches to closing the model are compared. The usefulness of the model is tested in the form of baseline projections and the analysis of a typical “what if” question. (JEL Classification: D5, L66, Q11)

Cost Analysis of Geothermal Energy Development in Tengchong, China

2014 ◽  
Vol 1030-1032 ◽  
pp. 2544-2546
Author(s):  
Ru Liu ◽  
Yan Jun Liu ◽  
Xiao Qing Dong
Keyword(s):  
Cost Analysis ◽  
Geothermal Energy ◽  
Clean Energy ◽  
Energy Development ◽  
Short And Long Term ◽  
The Cost ◽  
Made In

Geothermal energy project in Tengchong has to be economically feasible to be implemented. The cost analysis is necessary to be made in order to obtain a vision for the investors, so that they could find out if the project is advisable regarding cost in short and long term. As a new kind of clean energy contributing to the electricity, geothermal energy development in Tengchong will be a long-term strategy.

scholarly journals Phone-based audience response system as an adjunct in orthodontic teaching of undergraduate dental students: a cross-over randomised controlled trial

2020 ◽  
Author(s):  
Fahad Alharbi ◽  
Khulud Alazmi ◽  
Bashar R. El Momani ◽  
Anas Almukhtar ◽  
Lubna Al-Muzian ◽  
...  
Keyword(s):  
Undergraduate Students ◽  
Teaching Method ◽  
Controlled Trial ◽  
Dental Students ◽  
Qualitative Assessment ◽  
Randomised Control Trial ◽  
Control Group ◽  
Information Retention ◽  
Short And Long Term

Abstract Background: The advent of electronic teaching facilities opened doors towards a better tutor-student communication. The aim of this study is to explore the effectiveness of phone-based ARS (PB-ARS) using text- and multimedia-based questions on information retention by male dental undergraduate students and to explore the students’ perception and acceptance of ARS. Methods: A cross-over clustered randomised control trial was conducted at the College of Dentistry, Prince Sattam Bin Abdulaziz University/Alkharj/ Saudi Arabia. Students were allocated to one of two event groups (G1 or G2) using computer generated randomization. During the first intervention (lecture 1), G1 received ARS assisted lecture and G2 acts as a control group, then crossed over during the second intervention (lecture 2). Data for short- and long-term information retention were treated on intention to treat analysis basis and tested using Mann–Whitney U and t-test in addition to qualitative assessment of students’ perception and acceptance. Results : The results showed marginal improvements in short and long term retention of information in addition to positive attitude of students towards the ARS system. 87.5% of students in ARS group showed an improvement in their quiz score compared to 79.3% for control group. No statistically significant differences were observed between the intervention and control groups. Conclusion : the ARS system could be considered as an adjunctive teaching method to improve on information retention and interest in Orthodontics taught materials.

scholarly journals Basel III LCR Requirement and Banks’ Deposit Funding: Empirical Evidence from Emerging Markets

2019 ◽  
Vol 8 (2) ◽  
pp. 101-128
Author(s):  
Tafirei Mashamba ◽  
Rabson Magweva
Keyword(s):  
Emerging Markets ◽  
Banking Sector ◽  
Global Financial Crisis ◽  
Emerging Market ◽  
Basel Iii ◽  
Short Term ◽  
Liquidity Shocks ◽  
Coverage Ratio ◽  
Banking Institutions ◽  
The Impact

Abstract In December 2010, the Basel Committee on Baking Supervision introduced the liquidity coverage ratio (LCR) standard for banking institutions in response to disturbances that rocked banks during the 2007/08 global financial crisis. The rule is aimed at enhancing banks’ resilience to short term liquidity shocks as it requires banks to hold ample stock of high grade securities. This study attempts to evaluate the impact of the LCR specification on the funding structures of banks in emerging markets by answering the question “Did Basel III LCR requirement induced banks in emerging market economies to increase deposit funding more than they would otherwise do?” The study found that the LCR charge has been effective in persuading banks in emerging markets to garner more stable retail deposits. This response may engender banking sector stability if competition for retail deposits is properly regulated.

Sign in / Sign up

Export Citation Format

Share Document