Investment mortgage as an innovative banking product in the real estate financing market

Subject. This article discusses the role of investment mortgage in overcoming the crisis of attracting deposits by credit institutions and stimulating the investment activity of households in the real estate financing market. Objectives. The article aims to define particularities of investment mortgage and prospects for its development in the real estate funding market, and ways to improve the quality of mortgage bonds in the investment mortgage segment using artificial intelligence technologies in underwriting. Methods. For the study, I used the systems approach, comparative and logical analyses. Results. The article presents an author-developed definition of the Investment Mortgage category, its basic elements, and it describes the investment mortgage life cycle and risks. It also proposes to supplement the scoring through using the gradient boosting technique when underwriting a credit application for investment mortgage. Conclusions and Relevance. The investment mortgage segment, including mortgage deposit and mortgage loan, has a life cycle and risks that differ from the ones of the mortgage programs implemented in the banking services market. Using the gradient boosting technique can help improve the efficiency of underwriting applications for mortgage lending and investment mortgage. The results of the study can be used by credit organizations when developing a product line of mortgage lending programs in the investment mortgage segment, and digitizing credit underwriting of mortgage borrowers.

Research on the Financing Performance of Listed Companies on my country's Growth Enterprise Market —Based on DEA-Malmquist index analysis

The Growth Enterprise Market, also known as the second board market, is a convenient and simple financing market for small and medium-sized enterprises that cannot meet the listing conditions of China's main board market in the short term and have a small growth and development space. In my country's Growth Enterprise Market, it has become a gathering place for high-tech companies such as biology and information technology, laying a foundation for my country's future development of high-tech technology, and strengthening my country's comprehensive national strength. This paper uses the DEA-Malmquist index method to analyze the financing performance of 10 listed companies on my country's GEM from 2016 to 2020, and draws the results of the study: different years of financing environment are different, which has a greater impact on the financing performance of GEM companies; Problems in the management of the funds raised by the target company’s financing will have a greater negative impact on its financing efficiency.

Leasing as an effective tool of increasing investment activity in shipbuilding

The article focuses on the long-term ship leasing market, which is in fact an alternative financing market for the industry. The aim of the study was to provide an overview of the state of the Russian leasing market in the field of shipbuilding in the current economic conditions and to show the positive aspects of using this financial instrument as a means of increasing the activity of participants in the investment process in the shipbuilding industry, aimed at accelerating the renewal of the civilian fleet and recovering the industry after the crisis. The problematic issues arising in the practice of leasing activities in the industry are considered. The use of leasing in Russian shipbuilding is supported by the state with the help of an existing program that provides preferential terms for leasing transactions for shipbuilding. The article examines the conditions, results and prospects for the implementation of the state program of civil shipbuilding leasing.

Implementation Strategy of the Mutanaqishah Musyarakah Academic at Home Ownership Financing in Sharia Banks in Indonesia

This research aims to: (1) Knowing the obstacles faced in implementing the Mutanaqisah Musharaka Financing (2) The solutions taken to overcome these obstacles; and (3) the right strategy to apply musyarakah mutanaqisah financing. This study uses the Analytic Network Process (ANP) method and the assistance of Super Decision software. ANP is carried out in three stages, namely: first, in-depth interviews with Islamic banking experts and practitioners to identify the factors that influence the minimum amount of musyarakah mutanaqisah. Second, the results of the first step are used to create an ANP framework and a questionnaire addressed to Islamic banking experts and practitioners; and third, ANP analysis to determine the best priorities, solutions and strategies for implementing Musyarakah mutanaqisah financing in Islamic banking.The results showed that: (1) The constraints faced by Islamic banking in implementing Musyarakah Mutanaqisah financing for Islamic banking KPRS financing can be divided into two, namely internal and external problems. Internal problems stem from internal banking, banking human resources, and musyarakah mutanaqisah financing products. External problems originate from customers, authorities, and Islamic banks. The most priority problem faced is internal problems, namely human resources (HR) associated with low knowledge and skills about the MMQ contract. Meanwhile, the most dominant external problem is Islamic banking with a lack of insight into the MMQ contract. (2) The solutions given in determining the financing strategy for the musyarakah mutanaqisah are divided into two, namely internal and external solutions. The most priority solution comes from internal solutions, namely product solutions in the form of Islamic banking that must vary the contract, especially for the MMQ contract; and (3) The alternative with the most priority in determining the financing implementation strategy with the musyarakah mutanaqisah contract in Islamic banking is the Socialization and Education Program, followed by Contract Optimization, Portfolio Development, Image Strengthening, MMQ Segmentation Mapping, and MMQ financing market segmentation.

Impacts of monetary instruments on overnight spread under the interest rate corridor framework: evidence from China

PurposeTo verify the effectiveness of the monetary policy, the impacts of monetary instruments on overnight spread under the interest rate corridor (IRC) are examined. The People's Bank of China (PBC) has operated the IRC since 2014. To understand the impacts of monetary instruments on overnight spread before and after the IRC framework, the complete samples are divided into two periods.Design/methodology/approachTo model the overnight spread, an exponential GARCH (EGARCH) approach is used which can examine the interbank market interest rates for monetary policy purposes. The overnight money market plays an important role in the implementation of monetary policy.FindingsChinese interest rate liberalization and the implementation of IRC affect the overnight spread in the short-term financing market. Before the implementation of the IRC, the key factor to affect the overnight spread is mainly affected by the PBC's monetary policy control on the liquidity supply side. After the implementation of IRC, the overnight spread can be the largest part explained by the liquidity demand side and the PBC's multiple monetary instruments have significant impacts on the reduction of overnight spread.Originality/valueThe overnight spread has recently been influenced by various factors that are directly or closely related to the monetary policy instruments and the interest rate policy of the PBC. Chinese interest rate liberalization and the implementation of interest rate corridor policy affect the overnight spread in the short-term financing market.

The Assessment of Economic Efficiency of Regulatory Impact on the Crowd Financing Market

In the last few years, conditions have been created in the world economy that contribute to the active crowdfunding market development, through which the so-called «alternative financing» is implemented. The paper describes the transformation of crowdfunding model types, emphasizes the importance of regulatory impact on the specified market. The general procedure for regulatory impact assessments (RIA), developed and recommended by the OECD based on scientific approaches, is considered. The specificity of the approach to RIA in Russia was studied and the conclusion was made about the need to apply RIA to the crowdfunding market, taking into account the improvement of approaches to assessing the costs and benefits of regulation.

In search of angels: the first bucket of gold for entrepreneurs

Purpose This paper aims to explore the allocation of the exit value of a start-up company in market equilibrium between an angel investor and an entrepreneur in the very early-stage financing market. Design/methodology/approach The theoretical model is established based on the two-sided random search theory and the model’s ability to match the empirical data is evaluated via simulation. Findings The model indicates that the allocation of the final investment outcome is not proportional to the initial investments by the angel investor and the entrepreneur. The simulation results show that the continued investment by the entrepreneur and the private benefit acquired by the angel investor have a more profoundly negative influence on the angel investor’s share of the exit value of the start-up company. Moreover, the market search structure represented by the matching probability of an angel investor to an entrepreneur has a more significant impact on the angel investor’s share than the other model parameters. Originality/value The importance of market search friction in the very early-stage financing market is emphasized. The concepts of continued investments and private benefits are introduced and quantified for the first time under the framework of angel investment. The impacts of such model parameters as the matching probability of an angel investor to an entrepreneur, the success rate of a start-up company, the bargaining power of an angel investor and the discount rate on the allocation of the exit value of the start-up company are investigated as well.

Developing small-scale bamboo enterprises for livelihoods and environmental restoration in Benishangul-Gumuz Regional State, Ethiopia

We document the perceptions, practices and policy options in managing lowland bamboo [Oxytenanthera abyssinica] in Benishangul Gumuz Regional State (BGRS) in Ethiopia, particularly to enable small-scale enterprises (SSE) to become more active in this field. This region hosts the largest extent of natural bamboo forests in Ethiopia. There is a recent push to realize bamboo's economic and environmental potential in Ethiopia, which puts SSEs as crucial actors. There is little or scattered published information on local perceptions and practices surrounding natural bamboo forest management and options for realizing bamboo's potential from a subnational/local perspective in Africa, including in Ethiopia. In 2018, we conducted a literature review, spatial analysis, participatory mapping, and interviewed experts working in governmental and non-governmental organizations and local stakeholders in BGRS. We find some consensus of the environmental importance of bamboo. In contrast, there is some debate at the subnational level about the economic importance of bamboo, leading to decisions favouring other land uses. Bamboo forests in this region suffer neglect, as they are perceived to be 'owned by no one and used by everyone' and will continue to be there without management. Lack of market-driven opportunities, bamboo-specific training among foresters, data on economic contributions of bamboo, and regulations or guidelines to support existing laws have prevented effective management of the bamboo resource. There are multiple bamboo management approaches that open economic opportunities for SSEs in the region. There needs to be more clarity on how to secure land use rights over bamboo forests, accessible financing, market linkages, business training, and low-tech/low-cost technologies to encourage the development of bamboo SSEs.

PENGARUH PEMBIAYAAN MUSYARAKAH, MARKET SHARE DAN MODAL INTELEKTUAL TERHADAP KINERJA KEUANGAN PADA BANK UMUM SYARIAH DI INDONESIA

The purpose of this research is to examine the influence of musyarakah financing, market share, and intellectual capital to financial performance on islamic commercial banks in Indonesia in 2013-2018. The research type used is verificative research by using Purposive sampling method. The target population of this research are 14 islamic commercial banks in Indonesia and the sample of the research are islamic commercial banks. The data used in this research are secondary data, which are gotten from for the book year ended December 31, 2013, 2014, 2015, 2016, 2017, and 2018. The result of this research show that musyarakah financing, market share, and intellectual capital silmutaneously influence to financial performance. Partially, musyarakah financing has influence to financial performance, market share has influence to financial performance, and intellectual capital has influence to financial performance.

Bolivia’s lenders face bad loans and thin profits

Subject Financial system challenges. Significance The fallout from Bolivia’s worst political crisis in decades is putting the country’s financial system to the test, as an economic slowdown puts pressure on the asset quality and profit generation of banks and non-bank financial institutions. Impacts Banks and other financial institutions will be forced to lay off workers, contributing to higher unemployment. The financial system may postpone or reduce planned investments in digital banking and financial education. The informal financing market could grow as financial institutions apply stricter lending criteria.