FINANCIAL RISKS OF THE RUSSIAN BANKING SECTOR : Case: PJSC "Sberbank of Russia"
Lelkova, Elizaveta (2016)
Jyväskylän ammattikorkeakoulu
2016
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Julkaisun pysyvä osoite on
https://urn.fi/URN:NBN:fi:amk-2016062113284
https://urn.fi/URN:NBN:fi:amk-2016062113284
Tiivistelmä
The objective of this thesis was to explore the key reasons for changes to the risk level of the public joint-stock company "Sberbank of Russia", Moscow, where the probability of facing risks in the financial market has significantly increased in recent years due to the unstable economic situation.
As the research strategy, the case study was chosen with a quantitative approach used for the data collection. The data for the analysis was retrieved from the annual accounting (financial) statements of the case bank provided by the company for this research. A statistical analysis was applied to identifying and analyzing the key indicators of the financial activities and the components of the credit and liquidity risks of the bank. Finally, the three major risks including the liquidity and credit risks and capital adequacy and their influence on the financial activities of the bank were analyzed.
The results indicate that the public joint-stock company "Sberbank of Russia" has a strong financial position and that its capital meets the requirements of the Bank of Russia and those of the Basel Committee on Banking Supervision. However, there was an increase in the volume of hopeless and problematic loans and in spending on the reserves for possible losses, which resulted in a lower profit, and in a tendency for the major risks to increase. Based on the findings of the present study, recommendations were provided for enhancing the current level of risk awareness and for eliminating the related negative consequences.
As the research strategy, the case study was chosen with a quantitative approach used for the data collection. The data for the analysis was retrieved from the annual accounting (financial) statements of the case bank provided by the company for this research. A statistical analysis was applied to identifying and analyzing the key indicators of the financial activities and the components of the credit and liquidity risks of the bank. Finally, the three major risks including the liquidity and credit risks and capital adequacy and their influence on the financial activities of the bank were analyzed.
The results indicate that the public joint-stock company "Sberbank of Russia" has a strong financial position and that its capital meets the requirements of the Bank of Russia and those of the Basel Committee on Banking Supervision. However, there was an increase in the volume of hopeless and problematic loans and in spending on the reserves for possible losses, which resulted in a lower profit, and in a tendency for the major risks to increase. Based on the findings of the present study, recommendations were provided for enhancing the current level of risk awareness and for eliminating the related negative consequences.