Regulation and supervision in corporate governance of the Russian banking sector: key indicators, contradictions, and efficiencies. Case company: PJSC Sberbank

Abstract

Governance of banking activities in the broadest sense is a multifaceted and complicated process. There are many problems and obstacles to create effective corporate governance systems for any commercial organization, including financial ones. The corporate governance of the financial sector is a very challenging issue. Over the past few years, this topic has deservedly received increased attention worldwide. The object of the study is the corporate governance system of Sberbank of Russia PJSC and its quality assessment. The subject of the study is a set of external and internal relationships that arise in the process of regulation and supervision in corporate governance. Many professionals in the field have been studying certain issues of proper corporate governance systems in Russian banks. However, the problem is studied insufficiently. Many of its aspects, including the basic ones, remain debatable and require further, more profound, and comprehensive research. The topic required a comprehensive study and analysis. Considering the significance of the designated topic both for the banking sector and the economy, the relevance of the chosen topic is beyond doubt. The research purpose is a practical assessment of the regulation and supervision system in a commercial bank's corporate governance system on the example of PJSC Sberbank. To achieve the intended goal, the study was focused on the following tasks: reveal the essence of corporate governance and its features in credit institutions; review the key principles of corporate governance; determine the approaches of the Bank of Russia to the regulation of corporate governance in Russian banks; characterize the corporate governance system at PJSC Sberbank and evaluate its quality; identify problems and areas for improving corporate governance in credit institutions on the example of the selected company. The research uses general scientific descriptive research methods with content analysis as comparative legal, analytical, economic-statistical, graphic, and others. Namely, the explanatory study with quantitative numbers focusing on the deductive approach is used. The bachelor thesis includes an introduction, literature review, methodology, research result, conclusion, references, and appendices chapters. The theoretical and methodological basis of the work is licensed educational and scientific literature and periodicals. Data that formed study results were taken from Sberbank's annual report 2020 and the official website and video materials from official conferences of the case company. In addition, corporate legislation and corporate governance practice are used for the study. Within the framework of this study, the most significant problems in the corporate governance of Sberbank were studied and analyzed. Therefore, this research aimed to expand the existing knowledge on successful corporate government practices together with its possible difficulties, specifically for commercial banks operating in Russia. Finally, the study has contributed to the literature of the given topic.