Narrow Results

The aim of this paper is to examine strategies used to strengthen the financial stability of Ukraine’s banking system focusing on the role of systemic risk factors, foreign capital, and financial innovations. The research develops a framework for assessing financial stability by identifying key shock factors and their impacts. This approach uses the financial stress index, clustering analysis, and analytic hierarchy process to assess stability and prioritize solutions. As a result, it is proven that the strengthening of the influence of foreign banking capital on the FSBS leads to the development of the banking business, the creation of new jobs, the introduction of the latest technologies, and the creation of additional value of banking products. Moreover, a methodical toolkit is developed to identify reserves to strengthen financial stability in the banking system. The research highlights the interplay between external shocks and financial stress indices during the Russian-Ukrainian war. It provides insights into mitigating financial instability and reinforces the critical role of regulatory frameworks in adapting to economic crises.

This paper develops an analytical model of contagion risk in banking systems with tiered structure. It explores the respective effects of banking network structure and bank activity on contagion risk in banking network evolution. The findings suggest that increasing interbank connections is conducive to handling banking crisis and reducing the effect of contagion risk, but its positive effect is limited; raising bank reserve ratio will enhance the stability of individual banks to a certain extent, but it may immediately lead to liquidity problems for banks that have less excess reserves, causing the occurrence of contagion risk; an excessive drive for risk assets with high return may bring high risk to banks and lead to instability of banking systems; the bank risk preference is crucial to the stability of banking systems, and the radicalness of it may lead to greater systemic instability.

This paper discusses the economic growth and technological change of the Thai banking industry in relation to a post financial crisis, based on Schumpeter's economic development theory. It is argued that the structural changes of the Thai banking industry reflect Schumpeter's gales of creative destruction. The circumstance in which Thailand has to let the ailing banks and financial institutions go bankrupt and renew the process of growth through mergers and acquisitions represents an adjustment phase of an economy undergoing technological change. Using Porter's Competitive Forces Model, this paper aims to understand banks' pursuit of strategies to survive and increase competitiveness under the financial liberalization policies. The paper concludes with policy recommendations for the Thai banking industry to manage innovations under a competitive pressure after the financial crisis.

The banking system is expected to contribute many important aspects to the economic development in each country. The banking system is predominantly managed by the governments to ensure both system stability and economic development. The objective of this study is to assess the impact of the stability of the banking system on economic growth in 24 typical countries during the period 2011–2020. Using advanced quantitative research methods, analyzing the defects in the regression model as well as testing the robustness of the model, the research results show that the stability of the banking system has no impact on economic growth: although it has a positive effect, it is not statistically significant. The research also suggested that the investment rate of the economy, financial development, and quality of human resources have a positive impact on economic growth. However, foreign direct investment, trade openness, and population have no impact on economic growth.

This work aims to understand current trends in the financial sector. Many trends are the technological solutions provided by new players operating in the financial sector (fintech), leading to different perspectives for the future awaiting private citizens and companies. This work presupposes the need to understand how the traditional financial system is able to keep up with the continuous and changing demands of a society that is evolving towards 4.0 and is increasingly aiming to meet environmental, social, and governance sustainability criteria. Above all, this chapter requires an understanding of the real reasons why systems such as decentralised finance are taking over despite the presence of well-established players. In this work, the authors aim to investigate the players, the battleground of a clash between tradition and innovation in the financial field, and whether the measures adopted by the banking system to adapt to the trends of technological innovation are sufficient to stand up to a real model of innovative development which sees a closer relationship between stakeholders and companies and which is far from the traditional banking–company system.

This chapter provides an understanding of the banking system development and structure in the Sultanate of Oman. It reviews existing literature and reports on the banking system in Oman between 1970 and 2020, and it provides a brief history of the Omani banking system before 1970. It also highlights the recent banking sector performance and the important role played by technology and the Central Bank of Oman (CBO) during the COVID-19 pandemic. This review demonstrates that the Omani banking system and sector experienced substantial developments in the regulatory and institutional framework due to which the performance of the banking sector remained stable in recent years. However, like other countries, the COVID-19 pandemic and the economic downturn affected the performance of banks, reducing banks’ profitability and increasing non-performing loans and assets. Despite this, the Omani banking system remained resilient, and the measures and policy initiatives taken by the CBO and the application of technology helped mitigate the adverse influence of the COVID-19 pandemic.