Agreguoto indekso taikymas finansų sistemos stabilumui vertinti (Lietuvos pavyzdžiu)

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Mokslo publikacijos / Scientific publications
Document Type:
Straipsnis / Article
Lietuvių kalba / Lithuanian
Agreguoto indekso taikymas finansų sistemos stabilumui vertinti (Lietuvos pavyzdžiu)
In the Journal:
Vadyba [Journal of management]. 2014, Nr. 1 (24), p. 113-120
Agreguotas indeksas; Bankų sektorius; Finansu krizė; Finansu sistemos stabilumas; Finansų nestabilumo indeksas.
Aggregate index; Banking sector; Financial crisis; Financial stress index; Financial system stability.
Summary / Abstract:

ENMaintaining financial system stability has become very important at the country level as well as international level. Financial system stability is a broad concept and it refers to the smooth functioning of the key elements (institutions, markets and infrastructure, etc.) that make up the financial system. The role of authorities (central banks) responsible for promoting and maintaining financial stability involves monitoring financial developments, identifying areas of concern and undertaking necessary measures in cooperation with relevant institutions. Nowadays globalization and rapid integration of markets sometimes has negative consequences, when facilitating the dissemination of "contagion effect" (or systematic risk). This effect is particularly dangerous in highly integrated markets; negative derivative of integration and contagion effect was especially apparent during the recent financial crisis, when the lack of confidence in the financial markets quickly spread to other markets and caused a lot of negative effects in the economy: banks collapsed, appeared liquidity problems in the financial system, the deterioration of expectations in financial markets, increasing public debt and etc. Therefore particularly important to assess the country's resilience to potential negative shocks and thus limit the potential contagion (systemic risk) spread in the market. Therefore the aim of this article is analyse financial stability concept and estimated importance of the financial system stability. In order to assess the stability of the country is calculated the aggregate index of financial instability. First article examines the concept of stability of the financial system and its problems. Particular attention is paid to the identification of the stability of the financial system and to identify determinants.Assessment of financial system stability is conducted by incorporating an early warning system to monitor and analyse trends in financial and banking sectors an even countries economy in whole. Composed aggregated index methodology and the proposed financial system stress index, consisting of three - macroeconomic, banking and foreign exchange rate fluctuations risk - groups of indicators. The final index of the instability of the financial system consists of two indices; one index includes economic downturn rising values of indicators, the next - declining values of indicators. For this analysis are used so-called macro-prudential (global macroeconomic) indicators such as economic growth, inflation, interest rates, exchange rates and so on; and micro-prudential indicators that evaluate the success of countries business entities, i.e. asset quality, earnings, liquidity, etc. For more broaden analysis of Lithuanian financial system stability there was used aggregated financial stress index (FSI) where 21 normalised indicators were combined into a single index. FSI helps measure the soundness of the financial system and the potential threats and vulnerabilities. It was found that the global financial processes have a particularly significant impact on small and open economy, and consists of measuring instability index can be applied to small open economies to evaluate the stability of the financial system. [From the publication]

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2020-06-18 15:25:52
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