Search Results

1 - 10 of 25 items :

  • "prudential regulations" x
Clear All

Summary

Subject and purpose of work: The article deals with the issue of risk mainly in banking activity. Different definitions of risk were reviewed as tools for risk management in banks and for regulatory activities by institutions. Materials and methods: The research material was taken from the subject literature and official documents of financial market institutions - international organizations, as well as foreign and domestic financial institutions. They were mainly legal acts, standards and guidelines/recommendations. Particular attention was paid to documents published by banking supervision authorities. Results: As a result of the study, the multiplicity of concepts and approaches were found to define and identify banking risks as the categorizations presented by regulators seemed to be a standard to apply in risk management practices. Conclusions: Among the risk categorization used by banks, the leading ones have been presented by supervisory authorities. Defining the types of risk in operations should be the first stage of the internal risk management process which is necessary for banks’ survival. Ensuring high quality of the implementation of the first stage determines the efficiency and effectiveness of the entire process. The decisive requirements set by European and national regulators with regard to banks’ application of risk categorization as part of the risk management system contributed to mitigating the phenomena related to the global financial crisis among banks in Europe.

Abstract

The credibility of economic information provided by banks is one of the key elements of building trust between the institutions and the economic environment. The activities of the national banking sector, due to the special responsibility for the entrusted deposits, is subject to restrictive legal regulations and is controlled by the banking supervision. The legal act binding the banks and regulating, among others, the rules of credit risk measurement derived from mortgage-secured loans is the S Recommendation which was issued by the Financial Supervision Commission. The publication discusses the imperfections of this supervisory regulation with regard the defined concepts and recommended methods for the measurement of credit exposure, the interpretation and the method of determining the value of mortgage security and LtV.

Abstract

The financial stability is a fundamental condition for ensuring and maintaining the balance and the stability at macroeconomic level. At the same time, ensuring the macroeconomic financial stability is a priority of the state’s economic security as well as of all the public authorities having responsibilities in the field of the macro-prudential regulation and supervision. In this context, our scientific approach aims at systematizing, deepening and developing this fundamental issue of the financial theory and practice.

prudential regulation ” - Banco de Espana, January. Jimenez, G., Saurina J. (2006), “ Credit cycles, credit risk, and prudential regulation”- International Journal of Central Banking, 2(2), 65-98. Khemraj Tarron, and Pasha S. (2009) “The determinants of non-performing loans: an econometric case study of Guyana ”- Presented at the Caribbean Centre for Banking and Finance Bi-annual Conference on Banking and Finance, St. Augustine, Trinidad. Lawrence, E. C., 1995, “ Consumer Default and the Life Cycle Model ”- Journal of Money Credit and Banking, 27, 939-954. Louzis, D. P

) Leverage and Risk Weighted Capital Requirements . BIS Working Paper No. 586. 12. International Monetary Fund, Financial Soundness Indicators database, 2017. https://www.imf.org/external/np/sta/fsi/eng/fsi.htm 13. Jimenez, G. and Saurina, J. (2006) Credit cycles, credit risk, and prudential regulation . International Journal of Central Banking, vol. 2(2), 65-98. 14. Montes, P. C. Artigas, C. T. Cristófoli, M. E. San Segundo, N. D. (2017) The impact of the IRB approach on the risk weights of European banks . Journal of Financial Stability. https

), Determinants of Bank Credit in EMEs, IMF Working Paper , No. 11/51. 12. Hellmann. T., Kevin, M. & Stiglitz, J. (2000), Liberalization, Moral Hazard in Banking and Prudential Regulation: Are Capital Requirements Enough?, American Economic Review , Vol. 90, No. 1, pp. 147–165. 13. Hilbers, P., Otker-Robe, I. & Pazarbaşıoğlu, C. (2006), Managing Rapid Credit Growth in Central and Eastern Europe, Finance and Development , Vol. 43, No. 1. Available at: https://www.imf.org/external/pubs/ft/fandd/2006/03/hilbers.htm 14. Igan, D. & Pinheiro, M. (2011), Credit Growth and Bank

Loans in Central, Eastern and Southeastern Europe. Focus on European Economic Integration (3): 48–66. Jiménez, G. and Saurina, J. 2006. Credit Cycles, Credit Risk, and Prudential Regulation. International Journal of Central Banking (IJCB) 2: 65–98. Judson, R. A., and Owen, A. L. 1999. Estimating dynamic panel data models: a guide for macroeconomists. Economics Letters 65(1): 9–15. Kiviet, J. F. 1995. On bias, inconsistency, and efficiency of various estimators in dynamic panel data models. Journal of Econometrics 68(1): 53–78. Klein, N. 2013. Non-Performing Loans in

References Amiruddin, ett.al., (2016). Pengantar Metode Penelitian Hukum [Introduction to Law Research Method] Jakarta: Raja Grafindo Persada. Brugink JJ translated by Sidharta A. (1999). Refleksi Tentang Hukum [The Reflection of Law]. Bandung: Citra Aditya Bhakti. Cranston R. (1997). Principles Of Banking Law . Oxford: Clarendon Press Dewatripont M and Tirole. (1994). The Prudential Regulation Bank . London England: The Mitt Press Cambridge Dewantara R. (2011). Tinjauan Yuridis Pengalihan Pengawasan Perbankan dari Bank Sentral Kepada Otoritas Jasa Keuangan

: http://www.nber.org/papers/w15145 , accessed: November 10, 2016. Guiso, L., Sapienza, P., Zingales, L. (2013), The Determinants of Attitudes towards Strategic Default on Mortgages. The Journal of Finance , Vol. 68, No. 44. Hatchondo, J. C., Martinez, L., Sánchez, J. M. (2014), Mortgage Defaults and Prudential Regulations in a Standard Incomplete Markets Model, Working Paper 2011–019, available at: https://research.stlouisfed.org/wp/2011/2011–019.pdf , accessed: September 28, 2016. Jagtiani, J., Lang, W. (2011), Strategic Default on First and Second Lien Mortgages

5. References A llen , F., C arletti , E., 2013, Systemic Risk from Real Estate and Macro–Prudential Regulation , International Journal of Banking, Accounting and Finance Vol. 5, No. 1, pp. 28-48. A nundsen , A., G erdrup K., H anseny F., K ragh -S ørensen K., 2014, B ubbles and Crises: The Role of House Prices and Credit, Norges Bank: Working Papers [serial online], November 21, (14). B asco , S., 2014, Globalization and Financial Development: A Model of the Dot-Com and the Housing Bubbles, Journal of International Economics, 92, 1, Jan., pp. 78-94. C