Banks of the present and the future

Abstract

The article examines the main financial management mechanisms of a commercial bank, as well as the prospect of creating a modern financial mechanism. The article analyzes the approach to the definition of the term "finance" and the focus of management on the allocation of financial resources to obtain income. Particular attention is paid to the importance of productive financial relations between the bank and its clients through financial management. The role of elements of planning, operational management and controlling in the creation of modern financial management methods is also considered. The stability of the banking sector largely determines the stability of the economy in general and its successful development. Thus, the primary task of state bodies at the macro level and the management of credit organizations at the micro level should be to ensure such stability through the implementation of a rational monetary policy; assessment and monitoring of the state of the real and financial sectors of the economy; the fall of all types of risks and the acquisition of income, which multiply total costs. All this will contribute to the modernization and improvement of the quality of banking services provided to individuals and legal entities. An unreasonable and hasty policy in the field of banking business will not only lead to a decline in the financial stability of credit organizations, but will also affect the economy as a whole. The article reviews the features of the financial management of foreign banking organizations, as a result of which the authors come to the conclusion that the most important indicators in the development of a bank’s financial strategy are the value of a financial organization, the level of bank capital, a certain number of active innovative projects, an increase in the range of products and services provided by banks, an improvement of management of external and internal risks, as well as development of an effective investment policy. As a result of the study, the relationship between effective financial management and a high level of liquidity management of the bank and the adequacy of its capital is determined.