Financial stability of banks in the conditions of the sovereignty of the Russian Federation
Abstract. The banking sector in Russia is the most prone to crisis phenomena, among which the shock of August 1998, the global financial crisis of 2008-2009, the currency crisis of 2014-2015 and the shock caused by the coronavirus pandemic of 2020 are most often singled out. In the current conditions of crisis and constant revocation of licenses, banks need to be able to quickly adapt to the current situations, as well as be able to maintain their financial stability at the same level and strengthen it. Despite the fact that the indicators of the financial stability in the banking sector as a whole correspond to optimal values, banks still have some problems in this area. In this regard, the article investigates in detail possible ways to strengthen the financial stability in the conditions of the financial sovereignty of the Russian Federation, namely: capital buildup, quality asset management, reduction of banking risks, development of stress testing methods. Undoubtedly, all these measures will help banks to avoid difficulties associated with the weakening of financial stability as a result of numerous threats. Methods such as generalization, analysis and synthesis, comparison and analogy, graphical and empirical methods are used in the work.
Keywords: credit institution, commercial bank, banking sector, strengthening financial stability
Highlights:
♦ over the past 10 years, the number of credit institutions has decreased by more than half. Most banks have ceased their activities due to bankruptcy and compulsory license revocation;
♦ in the current realities, ensuring and strengthening the financial stability of banks is impossible without capital buildup, quality asset management, risk minimization, application and development of stress testing methods;
♦ in the sphere of the financial stability, it is very important for banks to maintain a high level of qualification of personnel and management, be able to make quick and independent decisions, improve the quality of banking services and much more.
Evgeniya A. Balashova, Elena S. Materova - Samara State University of Economics, Samara, Russia