Indicative Express-Estimation Of Financial Security Of Banking Activity

DOI

10.2991/smtesm-19.2019.60How to use a DOI?

Keywords

financial security, financial security of the bank, assessment of financial security

Abstract

The article is devoted to the actual problems of determining the level of financial security of the overall banking system of a country or that of a particular bank. Competitiveness, profitability and financial stability either of a bank or banking system of a country are defined to be directly dependent on the level of their financial security. It also determines various methodological approaches to evaluation of financial security of Ukrainian banking system. The authors suggest a complex (indicator) approach to express-evaluation of the levels of financial security of a bank based on analysis of its economic standards and key financial ratios in order to find causes and prevent crisis situation at a banking institution at the initial stages. This approach makes it possible to create the necessary prerequisites for the correct choice of levers and methods to neutralize potential banking risks. The article deals with specification of indicators of financial security level of banking activity, outlines the necessity of appropriate amount of such indicators for optimal analysis and determination of the most influential indicators for financial security of banks. Based on the analysis of up-to-date samples of indicators for evaluating financial security of banks the authors put forward their own system of indicators. They insist that each indicator allows not only determining the absolute or relative value of evaluation subject, but also, in accordance with the defined criterion, obtaining the dynamics and tendency of changes in the indicators. Calculating the basic growth rates it can help to estimate further state of financial security of banking activities.

Copyright

© 2019, the Authors. Published by Atlantis Press.

Open Access

This is an open access article distributed under the CC BY-NC license (http://creativecommons.org/licenses/by-nc/4.0/).

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TY  - CONF
AU  - Raisa Kvasnytska
AU  - Lesia Matviichuk
AU  - Inna Dotsenko
AU  - Yuliia Kovalenko
PY  - 2019/09
DA  - 2019/09
TI  - Indicative Express-Estimation Of Financial Security Of Banking Activity
BT  - Proceedings of the 6th International Conference on Strategies, Models and Technologies of Economic Systems Management (SMTESM 2019)
PB  - Atlantis Press
SP  - 308
EP  - 313
SN  - 2352-5428
UR  - https://doi.org/10.2991/smtesm-19.2019.60
DO  - 10.2991/smtesm-19.2019.60
ID  - Kvasnytska2019/09
ER  -