Financial Monitoring Stabilities of the Banking System

Abstract

Abstract. The purpose of the article is to substantiate the theoretical approaches to determining the place and role of the banking system in the economic development of the state, improving the methods of its measurement and regulation. The research data were carried out on the analysis of “Oschadbank”. The financial security of the bank is the most important component of the financial and, therefore, national security of the country, it is a state of a commercial bank, which is characterized by resistance to threats of different nature and balance, the ability to achieve the planned strategic goal and generate sufficient financial resources to ensure compliance. Characterizing the financial security of commercial banks, it is necessary to focus on key parameters: financial security ensures a balanced and stable financial condition of the bank; contributes to the efficient operation of the bank; well-organized financial security allows to identify problem areas in the bank’s activities in the early stages, as well as to neutralize the impact of crises to prevent bankruptcy. Results. Banking regulation is the process of promoting financial stability through the use of special methods, tools, by establishing specific rules and regulations. Therefore, the functions of banking regulation are closely related to the conduct of monetary policy and the organization of the settlement system and have historically been carried out by central banks. Supranational banking regulation is a regulatory process carried out by world-class international organizations (IMF, IBRD, EBRD, BCBS).Banking supervision is the control over the stability and stability of the banking system, which must adequately respond to global trends and reassess supervisory policy. From the standpoint of methodology, banking supervision should be understood as a set of methods, techniques, tools used by banking supervisors to monitor the performance of banks, the application of measures of influence and so on. Banking supervision is based on a constant analytical survey of banks and serves socio-economic needs, as there is a close relationship between risk analysis and banking supervision. In Western and domestic scientific sources, the issue of banking supervision is often identified with the analysis of the causes of banking risks and methods of their study. An analysis of the literature has shown that the study of risks has a long history, but the active study of financial risks began relatively recently – in the late nineteenth – early twentieth century. Value/originality. The scientific novelty of the work is determined by the following provisions: improved comprehensive approach to monitoring the activities of banks, which allows to obtain a quantitative description of their impact on the banking system of Ukraine.