Banks operating in a regulated environment need to operate within the fiscal, monetary, political and legal regulations; customer tastes, habits and demand; and input supply changes. Changes in these require adjustments in the bank’s operations. Coping with these require finance and instant...

Due to its known weaknesses Value at Risk (VaR) has been modified to have a better market risk measurement model. 2007-2008 global financial crisis has increased the necessity to incorporate market liquidity into widely used models. This is to raise the required regulatory capital for trading...

Jüngste Entwicklungen in Irland, Griechenland und Spanien zeigen: Finanzierungskrisen von Staaten gefährden deren Bankensektoren, Bankenkrisen die Zahlungsfähigkeit ihrer Heimatstaaten. Diese Kopplung von Staats- und Bankensolvenz wird durch den Home Bias im Staatsanleiheportfolio, also die...

The literature wisdom shows that both theoretical and empirical studies provide contradictory predictions about the relationship between market concentration or competiveness and financial stability in the banking system. In the past two decades, the structure of banking industry of many...

Quality of asset and efficiency of bank is highly correlated. The efficiency of banking in post-liberalization period is judged not only based of its profitability but also on quality of assets it holds. Non Performing Asset (NPA) is the foremost threat for banking stability and growth. Against...

In recent years, the emergence of rising budget deficit is the main reason forcing economists to investigate the reasons for changes in fiscal balances. The purpose of the paper is to investigate the relationship between budget deficit and macroeconomic fundamentals using data from Azerbaijan....

This paper tries to briefly analyze the characteristics of fiscal policy in the context of the actual crisis. We start from the ongoing discussion regarding the role of fiscal policy during the economic and financial crisis. We then focus on the case of CEE countries and on Romanian economy and...

This paper will examine the sustainability of the central budget and its relation to the financial stability in the case of Indonesia. The standard model of fiscal sustainability is modified to cover some financial variables. The empirical estimates are done by employing several aspects of the...