INTERNATIONAL BANKS AND FINANCIAL CENTERS, Transnational...

INTERNATIONAL BANKS AND FINANCIAL CENTERS

This chapter is devoted to the analysis of the activities of, firstly, transnational banks, including the Bretton Woods Institutions (IMF and WB, as well as BIS); secondly, the analysis of the activities of international commercial banks, including Islamic banks (as a new form of organization of banking activities); third, the activities of international financial centers. Thus, we are talking about the most important subjects of the world financial system, which play an extremely important role in the mechanism and distribution of credit resources around the world on an enormous scale through the channels of international financial markets.

Transnational banks (TNB)

Tendencies towards the universalization of banking operations. The origins of the TNB's appearance and their activities are well described in the scientific literature, we will point out only some of the features of their activity in the Present-Day Time:

• The increased role of TNB as intermediaries between owners of money (financial resources) and investors, i.e. elevating the TNB's credit role in the mobilization and movement of loan capital;

• the defining role of TNB in ​​the emerging global financial market, which is characterized by a multitude of forms and channels of movement of funds (from the owner to the borrower);

• Implementation by commercial banks of TNB of the widest international payments. They act as a universal financial link through which various operations are conducted to attract free cash and place them on international markets on terms of repayment, urgency and payment;

• The special appeal of the TNB for the owner of money, which is explained by the high degree of their reliability. In this, apparently, one of the reasons for the explosive growth of the TNB in ​​the 1980-1990s. and since the beginning of the XXI century, the rate of which as a whole outpaced the growth of banking institutions in terms of investment funds. Hence the relative independence of TNB growth from the logical link between national savings and savings (investments) that determine and limit the level of investment with a corresponding share of savings.

All this contributed to the intensive development of the processes of transnationalization of banking capital, the intertwining of banking institutions of the world's leading countries. There have been cases when British, Canadian, Australian, European financial organizations investing in securities invest heavily in powerful US TNBs. Leading Japanese banks, despite the stagnation they experienced, have made significant contributions to the shares of American, West European and Asian commercial banks and non-bank financial institutions throughout the last decade. Similarly, European TNBs acted by entering into mutual strategic alliances, buying up the banks of other countries, including developing ones, by investing heavily in TNBs operating in various regions of the world.

The processes under consideration are a reflection of the further development of the process of global financial globalization, which TNB is the bearer of. At the same time, a trend is emerging in the financial division of the world between powerful banking and financial groups, each of which has tremendous power and influence in the world economy, and regional and branch segments.

Among the largest banks and investment companies in terms of assets, according to recent statistics, American banks are leading; followed by banks in Japan, Britain, Germany, Switzerland and France, Asian banks - China, South Korea and Latin America; the role of Turkish, Arab, African, East European banks is growing. We also note that the assets of each bank exceed the market value by two or three orders, and this is evidence of enormous financial power. Another point is the mobility of banks' positions in the largest hierarchy. This is understandable, because at least a few dozen other banks have almost the same indicators as the largest ones, so they easily take their places, showing a much superior dynamism in growth. Sometimes some banks literally break into the top line of the next list of the largest. This is the result of mergers, strategic alliances or acquisitions, the processes of which have been intensively developing over the past few years.

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