LEGAL STATUS FEATURES OF STATE BANKS AS PARTICIPANTS IN CREDIT ACTIVITIES |
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Author |
 Karasava O. P., PhD. Student, Kharkiv, Pushinska, 77 |
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In heading |
Law; | ||||
Signed print |
25.11.2016 | Issues number |
2016 - № 4 (27) | Page |
204-214 |
Type of articles |
Scientific article | Code UDK |
346.31 | ISSN print |
2411-5584 |
Abstract |
Problem setting. Modern economic relations in Ukraine are characterized by a high intensification degree of monetary circulation due to the gradual withdrawal of markets from stagnation state and vigorous activity of economic agents in an attempt to overcome the economic crisis which caused a sharp decline in industrial production, devaluation of the national currency and fall in the purchasing power of the population. In such conditions the question of working capital availability is of particular relevance for the enterprises and organizations management. On the other hand, the banking sector is also interested in expanding their loan portfolios, but focuses on their liquidity and warranty payments. No less is the state’s interest in that the private and public sectors of the economy through lending gradually increased the pace of economic growth. But in addition to this, the state acting as the guarantor of national security must create the appropriate conditions for financial sector insurance from illegal and unwarranted glut of credit resources. From these positions, optimization and improvement problems of the legal status of participant’s credit activity in the banking sector, particularly state banking institutions are getting sharper. They have extremely specific status: on the one hand they are independent market entities, with the other part they are part of the public sector and heads of government monetary policy. Recent research and publications analysis. Problems of search of effective legal mechanisms for legislative consolidation and practical implementation the legal status of state banks as participants in credit activities and, accordingly, one of the parties to the credit agreement reflected in the works of such scientists as O. V. Demchenko, A. P. Pavlyshyn, A. G. Pyshnyi, M. A. Pozhidayevа, L. G. Ryabko, O. V. Tseluyko, etc. Paper objective. An article purpose is to define the basic problematic issues of legal status of the state banks as the participants of credit relations on the basis of theoreticalmethodological analysis and normative-legal base with the subsequent development of the means of solving them. Paper main body. Credit relations in the banking sector, as a special existence kind of relationship between economic agents have primarily arisen because of the need of saturation of the economic system new free working capital. This situation is caused by the fact that the state with the aim of continuity crediting enterprises and the economy should exercise scientifically based intervention in market mechanisms the adoption of the relevant laws and support domestic banking institutions. This will facilitate the country’s exit from the financial crisis. The State Bank on the financial services market leads to difficult, complex role of the state as a business entity, an owner and regulator of the most important relations in this area. Full and unambiguous functions and responsibilities delineation for ownership and market regulation is a fundamental prerequisite in order to create equal opportunities for state and private banks. It is necessary to eliminate the reason for the possible emergence of imbalances in the banking sector is wholly state property. Conclusions of the research. The author points out certain peculiarities in the legal status of state banks, the characteristics of their activities and the process of forming management bodies. It should be noted that credit activity of state banks in conditions of acute shortage of working capital and the devaluation of the national currency is able to significantly increase the level of opportunities for economic entities in the market of borrowed capital. This is possible due to the fact that public banks are system part of financial sector national regulation, and therefore the state can exert a real influence on overcoming of the crisis phenomena in the economy and encourage business entities to intensify their own activities. Short Abstract for an article Abstract.The author has determined the main entities of the sector of Bank lending. The article considers peculiarities of the legal status of the state banks in the context of their participation in credit activities. The author has determined the main controversial aspects of the regulation of legal status of state banks. |
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Keywords |
Credit, credit relations, state banks, Supervisory Board, the Cabinet of Ministers of Ukraine. | ||||
Reviewer |
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External reviewer |
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Article in PDF |
4 204-214 | ||||
Bibliography |
none | ||||
Code DOI |
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30.09.2016