Tools for Assessing the Level of Adaptivity of the Financial
Architecture of Economy to Financial Globalization Conditions based
on the Capacity of Banks, Non-Banking Financial Institutions and
Stock Market
IGOR CHUGUNOV
Department of Finance, Kyiv National University of Trade and Economics
Kyoto Street, 19, Kiev, 02156
UKRAINE
LARYSA SIDELNYKOVA
Department of Finance, Accounting and Taxation, Kherson National Technical University
Berislavske shosse 24 Kherson 73008
UKRAINE
OLGA SOSNOVSKA
Department of Finance and Economics, Kiev Boris Grinchenko University
Marshal Tymoshenko Street, building 13-V Kyiv 04205
UKRAINE
MAKSYM ZHYTAR
Scientific and Pedagogical Work, Private Institution of Higher Education "International European
University"
Akademika Glushkova Avenue building 42 V Kyiv 03187
UKRAINE
ALLA NAVOLOKINA
Private Institution of Higher Education "International European University"
Akademika Glushkova Avenue building 42 V Kyiv 03187
UKRAINE
Abstract:- The article introduces scientific and methodical tools for assessing the level of adaptivity of the
financial architecture of economy in the context of financial globalization based on the defined areas of
assessment: a level of adaptivity of the financial architecture based on the capacity of banks (monetary
component, resource component, value component, macroeconomic component); a level of adaptivity of the
financial architecture based on the capacity of banks; a level of adaptivity of the financial architecture based on
the capacity of non-banking financial institutions. It defines areas of increasing the level of adaptivity of the
financial architecture of Ukrainian economy in the context of financial globalization: adoption of the balanced
autonomous fund system of the public finance system; optimization of public debt management; improvement
of the investment climate; updated exchange arrangement, etc.
Keywords: - Financial architecture, financial globalization, banks, financial institutions, stock market, level of
adaptivity.
Received: July 25, 2021. Revised: February 28, 2022. Accepted: April 4, 2022. Published: May 3, 2022.
1 Introduction
The financial support of economy is impossible
without the functioning and developed financial
architecture that, in the entirety of potential
participants, can adaptively respond to emerging
needs of different recipients of financial resources,
not provoke but smooth challenges of globalized
breakthroughs. In this regard, the assessment of the
possible potential regarding the adaptive response
of the financial architecture of national economy
during its passing through various stages of
globalization and disbalances (different external or
WSEAS TRANSACTIONS on BUSINESS and ECONOMICS
DOI: 10.37394/23207.2022.19.94
Igor Chugunov, Larysa Sidelnykova,
Olga Sosnovska, Maksym Zhytar, Alla Navolokina
E-ISSN: 2224-2899
1075
Volume 19, 2022
internal shocks), such as crisis states, revivals,
corresponding economic growth, is quite a relevant
subject for scientific research [1,3,7].
2 Literature Review
Various theoretical and methodological aspects of
the development of the financial architecture of
economic systems are described in scientific works
by Cinaj V., Meçe M., Ribaj A., Kadrimi I. Chima
M., Babajide A., Omankhanlen A., Adejumo B.,
Buckley P., Ghauri P., Hasan I., Koetter M.,
Wedow M., Levine R., Merton R., Bodie Z., Myers
S., Rodrik D., Subramanian A., Beck T.etc. [16-17,
19-25]. Ukrainian scientists investigating problems
of the designing and functioning of the financial
architecture of national economy include:
Yefymenko T., Melʹnyk V., Shchur R.,
Kryuchkova N., Solodzhuk T., Lyutyy I., Teres Y.,
Matsuk Z., Luk'yanenko I., Oliskevych M.,
Halushchak I., Kornyeyev V., Onyshko S.,
Payentko T., Dyachenko S., Voznyak H.,
Lopushnyak H., Kachula S., Perchuk O.,
Novosolova O., etc. [2-15,18].
3 Materials and Methods
The work applies a range of methods based on
contemporary theoretical and methodological
approaches, allowing ensuring the conceptual unity
of this research, in particular: system and structural
analysis – used to reveal the interrelation between
assessment indicators of adaptivity of the financial
architecture of national economy to financial
globalization conditions; comparative and factorial
analysis – while studying the dynamics of
institutional changes during the establishment of the
financial architecture of domestic economy;
economic and mathematical modeling – during the
structural interpretation of the methodical approach
to the assessment of the adaptivity level of the
financial architecture of economy in the context of
financial globalization; mathematical and statistical
method – while analyzing and generalizing statistical
data; graphic visualization method – for the visibility
of information, etc.
4 Results and Discussions
Currently, the issue and goal of assessing the actual
development state of the financial architecture of
national economy, its compliance with qualitative
and quantitative characteristics of economy, spark
the interest of both the scientific community and
practitioners. In this case, the monetary component,
the assessment of access of corresponding
economic agents engaged in different activity areas
to the financing process, and the capability of
financial institutions to provide such access to all
available financial services are obligatory
components of monitoring reports of the World
Bank, IMF, ECB and central banks. Meanwhile,
such methods are not usually focused on specific
particularities of the development of the financial
architecture of national economy in the context of
globalized breakthroughs and are quite aggregated.
The assessment of the level of adaptivity of the
financial architecture of economy to financial
globalization conditions are based on the following
aspects:
1) Definition of adaptivity primarily as the
resulting property for the efficient adaptation of the
financial architecture to current social and
economic challenges and as the buffer stock
regarding the adaptive response that requires the
two-dimensional evaluation of adaptivity, i.e., the
shift from ex-post and ex-ante positions. The ex-
post assessment evaluates the result for the
adaptation or the manifestation of this adaptivity
without determining how it is actually gained, i.e.,
due to a low level of the negative impact or the
formed stock of a strength level before this impact,
or the need for adaptation. Taking into account the
level of adaptivity of the financial architecture of
economy to financial globalization conditions, it is
reasonable to use such ex-post adaptivity indicators
that show the market dynamics in the context of
financial globalization: duration, shifting,
asymmetry, speed of recovering the structural and
functional capacity of the financial architecture
(efficiency, stability and access to the capital).
Thus, the ex-ante adaptivity assessment analyzes
corresponding adaptive possibilities or a certain
reserve potential without considering the potential
negative impact of the event or the rate of the
demand for this adaptation.
2) Due to the fact that globalized
transformations are accompanied by the diversified
approach to the actualization of financial
architecture development issues, performing
appropriate functions, to conduct the ex-post
adaptivity assessment, one is going to use the
following priorities to define indicators: indicators
of the financial.
WSEAS TRANSACTIONS on BUSINESS and ECONOMICS
DOI: 10.37394/23207.2022.19.94
Igor Chugunov, Larysa Sidelnykova,
Olga Sosnovska, Maksym Zhytar, Alla Navolokina
E-ISSN: 2224-2899
1076
Volume 19, 2022
3) Architecture stability are used at the stage
of the financial and economic crisis; indicators of
the market size, the level of access to required
financial resources, its viability are used at the
revival stage; indicators of the efficient interaction
between the financial architecture and businesses of
national economy, volumes or depth of the
financial architecture are used at the boom stage
(Fig. 1);
Fig. 1: Interrelation between assessment indicators of adaptivity of the financial architecture of national
economy to financial globalization conditions*
*Source: designed by the author
4) to conduct the integrated assessment of
adaptivity of the financial architecture, one should
use composite indicators that have become popular
in current conditions among corresponding national
and supernational financial institutions of the state.
To carry out the standardization of the given initial
indicators, let’s calculate maximum and minimum
values and their variability, taking into account
indicators of different countries. Thus, at the stage
of the economic boom accompanied by the credit
expansion, we can see the indicator of the
asymmetry for the crediting dynamics in regard to
GDP with the given value of more than two
(provided that the growth rate of credits of more
than twice in regard to GDP at the boom stage
exceeds the growth rate of this indicator at the stage
of credit recession);
5) keeping the cumulativeness of
globalization processes, namely the direct impact of
the state of national economy and financial
architecture on the depth and amplitude of the next
stages of financial and economic globalization,
makes it relevant to take into account adaptivity of
the financial architecture ex-post for previous
stages at the level of this adaptivity of the next ones
ex-ante.
The level of adaptivity of the financial
architecture of national economy is calculated
using the following formula:
, (1)
where is the level of adaptivity of
the financial architecture of national economy at a
certain stage of globalization l as the stock
regarding the adaptive response (ex-ante);
is a standardized indicator i of
adaptivity; is the level of adaptivity of
the financial architecture of national economy at
the previous stage of financial globalization
as an important resulting characteristic of the
efficient adaptation of the financial architecture to
financial globalization conditions;
n is the total amount of the given adaptivity
indicators at a certain stage of globalization.
Carrying out the standardization of
adaptivity indicators for those whose increase
results in the growth of adaptivity:
, (2)
is an average weighted minimum
value of indicator i according to the given list of
countries;
Indicators of financial
architecture adaptivity for
ex-ante expansion
Adaptivity indicators for
ex-post expansion
Indicators of financial
architecture adaptivity to hold
ex-ante excessive flexibility
Indicators of financial
architecture adaptivity to
hold ex-post excessive
flexibility
Indicators of financial
architecture adaptivity for
ex-post recovery
Indicators of financial
architecture adaptivity for
ex-ante recovery
Indicators of duration,
amplitude, asymmetry,
speed regarding
recovery of functional
capacity of financial
architecture
Stability of
financial
architecture
Efficiency of
interaction
between
financial
architecture
and business
sector
Scale, availability
of financial
resources,
efficiency
WSEAS TRANSACTIONS on BUSINESS and ECONOMICS
DOI: 10.37394/23207.2022.19.94
Igor Chugunov, Larysa Sidelnykova,
Olga Sosnovska, Maksym Zhytar, Alla Navolokina
E-ISSN: 2224-2899
1077
Volume 19, 2022
is an average weighted maximum
value of indicator i according to the given list of
countries.
Carrying out the standardization of
adaptivity indicators for those whose increase
results in the decrease in the level of adaptivity:
. (3)
At the first stage of the comprehensive
assessment of adaptivity adequate to the
corresponding response of the financial architecture
to conditions for meeting the financial globalization
requirements in terms of the support and recovery
of business activities by the financial architecture
of national economy, one evaluates the level of
adaptivity to the direct expansion of the structural
and functional capacity of the financial architecture
ex-ante. To design an efficient methodology, let’s
apply the logic of taking a methodical approach for
the Bank for International Settlements (BIS) to
determine the level for global liquidity that is
defined as a kind of simplicity for financing
national economy in the contemporary global space
[1-3]. The methodical approach implies that
liquidity of the financial architecture is not just a
representation of central banks’ actions but also an
object affected by the business sector from the
perspective of its prompt perception by a
corresponding participant in the potential risk. This
aspect plays a crucial role in proving negative
impacts of the financial globalization process and
crisis manifestations on the globalized financial
architecture [3-5].
During the implementation of BIS approach,
the defined global liquidity is divided into two
subtypes: official or public one based on the
principles of monetary operations at the central
bank level and private one that is a well-considered
result for operations conducted by different state
institutions and for the financial architecture in its
narrower sense. Well, the given integrated
indicators for defining global liquidity include:
stock and resource liquidity, monetary and market
liquidity, and potential perception of risks by
different market players defined by volume and
value indicators.
Integrating the logic of BIS approach
implementation, let’s focus on the fact that the
conducted assessment of the stock of adaptivity to
potential expansion of the resource and
organizational capacity of the financial architecture
of national economy will be based not only on the
evaluation of its liquidity indicators but also on
indicators of the development level of the
corresponding expansion potential, fulfilling the
needs of national economy in long-term resources
at the stage of exiting the recession process and
gradual recovery of the level of business activities
[6-8].
The conducted assessment of the level of
adaptivity of the financial architecture of national
economy to financial globalization conditions ex-
ante is defined by carrying out the consecutive
calculation of corresponding levels of adaptivity of
financial architecture institutions (GRB and GRN –
banking and non-banking financial institutions) and
the financial architecture (GRF) in a broader sense:
(4)
where , , are relative shares of
assets of banks, various non-banking financial
institutions and the trading volume on the domestic
stock market to the total sum of such indicators.
So, the assessment of adaptivity of the financial
architecture of national economy based on the
current capacity of banks to the process of their
expansion of corresponding offers of longstanding
credit resources (GRB) is interpreted by its efficient
monetary, value, resource and macroeconomic
components (Fig. 2).
WSEAS TRANSACTIONS on BUSINESS and ECONOMICS
DOI: 10.37394/23207.2022.19.94
Igor Chugunov, Larysa Sidelnykova,
Olga Sosnovska, Maksym Zhytar, Alla Navolokina
E-ISSN: 2224-2899
1078
Volume 19, 2022
Fig. 2: Structural interpretation of the methodical approach to the assessment of the level of adaptivity of the
financial architecture of economy in the context of financial globalization (designed by the authors)
Methods for assessing the level of adaptivity of the financial architecture of economy to financial globalization conditions
where is the level of adaptivity of the financial architecture
at a certain development stage l as the stock of the adaptive response (ex-
ante);
is a standardized indicator i of flexibility;
is the level of adaptivity of the financial architecture at
the previous stage of as a resulting characteristic of the efficient
adaptation of the financial architecture to economic challenges;
n is the total amount of adaptivity indicators at a certain stage of the cycle
Standardization of adaptivity indicators for those whose increase results in
the growth of adaptivity:
is an average weighted minimum value of indicator i
according to the list of examined countries;
is an average weighted maximum value of indicator i
according to the list of examined countries.
for those whose increase results in the decrease in adaptivity:
The level of adaptivity to the expansion of the functional capacity of the financial architecture
where , , are shares of assets of banks, non-banking financial institutions and the trading volume on the stock market to the total sum of these
indicators
Components and indicators of the assessment of the level of adaptivity of the financial architecture of economy
The level of adaptivity of the financial architecture based on the capacity of banks (GRB)
Monetary component
Indicator of the actual level of
economy monetization;
Share of medium- and long-term
financial resources in the money
supply;
Money multiplicator;
Indicator of the urgent structure of
demand and supply of resources on
the money market of the country
Value component
The capacity of banks to recover damages
(correlation between the regulatory capital
and subprime-related assets); The capacity
of banks to reduce the cost of crediting
(share of subprime-related assets of banks
in their total value);
Profitability of bank operations; The level
of the interest margin; Actual cost of
economy crediting; The gap in the cost of
credit resources on international and
national capital markets; The degree of the
elasticity of demand for credits regarding
the change in interests on credit; Credit
rating of public bonds
Macroeconomic
component
Correlation between the
current balance and GDP;
Debt load on the real
sector of economy;
Increase in real cash
earnings of the population
The level of adaptivity of the financial architecture based on the capacity of non-banking financial institutions (GRN)
The degree of business activities of non-banking financial institutions in financing economic demands (indicator of the actual size of assets towards GDP);
Financial stability of non-banking financial institutions; The level of business activities of venture funds towards the amount of capital investments;
The degree of asset diversification of investment companies and non-state-owned insurance companies; Profitability of operations of non-banking financial
institutions
The level of adaptivity of the stock market (GRF)
The level of the stock market depth; The level of share market capitalization; The size of national economy; The size of the government bond market; The
degree of the concentration of bond issuance by emitters (the share of bond issuance by the Top 5 emitters); Liquidity of the secondary bond market of the
internal national debt; Liquidity of the bond market (the share of bond exchange trade by the Top 10 emitters); The capacity of the stock market to involve
financial resources of large businesses based on their own capital (the share of the capital of large businesses in the total value of the corporate capital);
Liquidity of the share market (the share of bond exchange trade by the Top 10 emitters); The degree of the concentration of share issuance by emitters (the share
of share issuance by the Top 10 emitters); The level of the institutional support of the stock market; The structure of the financial system (correlation between
banking crediting of business entities and the volume of stock market trading)
Resource component
The degree of banks’ involvement of
gross savings of the population; The level
of cumulative debt load on national banks
(financial leverage);
The degree of severity of the regulation of
bank liquidity; The level of banks’
capacity to fund concentration to meet the
demand in the big capital; The degree of
independence from wholesale and external
sources of credit resources of banks; The
share of long-term deposits in their total
sum
WSEAS TRANSACTIONS on BUSINESS and ECONOMICS
DOI: 10.37394/23207.2022.19.94
Igor Chugunov, Larysa Sidelnykova,
Olga Sosnovska, Maksym Zhytar, Alla Navolokina
E-ISSN: 2224-2899
1079
Volume 19, 2022
Therefore, obtained monetary conditions for
establishing offers of the activization of money
supply flows in the financial architecture are initial.
So, the response of the financial architecture to the
needs of national economy for required financial
resources will be quite adaptive, i.e., the higher the
given initial indicator for the actual level of
national economy monetization (gRBM1), relative
shares of medium- and long-term financial
resources in the money supply (gRBM2), a
corresponding money multiplicator (gRBM3),
urgency of the structure of demand and supply of
resources on the corresponding money market
(gRBM4), the increase in money supply according to
the defined aggregate М2 (gRBM5).
It is viable to carry out the assessment of
adaptivity of the financial architecture of national
economy to financial globalization conditions ex-
post as a clearly resulting characteristic of the
efficient adaptation of the financial architecture to
current social and economic challenges, which is
based on principles of assessing the dynamics of a
range of indicators characterizing the process of
recovery and the corresponding gradual expansion
of the level of the financial support of national
economy – the size of the financial architecture in
its broader sense and the viability of its interaction
with businesses.
To show properties that will be the foundation
for the assessment of adaptivity ex-post, let’s use
the asymmetry of the duration of the growth in
comparison with the decline of the value of a
corresponding indicator in the context of rapid
financial globalization; the amplitude asymmetry
regarding the increase towards the decline and the
stability of the obtained position:
(6)
,
,
where is the corresponding asymmetry
of the duration of the growth of indicator i;
is the volume of the amplitude
asymmetry for the increase towards the decline in
indicator i;
is the stability of the defined position
with indicator i;
is the timeframe of the decrease in
indicator i from the period of its maximum (the
best) value to a corresponding moment of the worst
value within a certain period;
is the timeframe of reaching the
maximum value of indicator i from the period of its
maximum decline to the highest level within a
certain period;
are changes in the decrease in indicator
i; are changes in the total recovery of the
certain level of indicator i and taking into account
its maximum level gained after the decline;
is an average value of indicator i in the
defined period after its decrease;
is the worst value of the indicator
within the corresponding period.
The results of the conducted assessment are
provided in Table 1. Following the results of the
conducted assessment, we can confirm the inability
to carry out the adequate, appropriate adaptation of
the financial architecture of national economy to
financial globalization conditions, which is proved
by ex-ante adaptivity obtained during the analysis,
i.e., the average value of adaptivity as the result of
the adaption within the examined period of 2014–
2020 was 0.97. Thus, the failure of the given
indicators to gain their positive values or trends, the
average value of the change in the decline duration
towards the recovery process resulted in the value
lower than one – 0.65, i.e., the recovery of
properties of the financial architecture of national
economy was 35 % longer than their decline. The
change in the growth amplitude towards the decline
in indicators is also lower than one – 0.92. The
given indicators implying the partial recovery or
the significant expansion of the structural and
functional capacity of the financial architecture of
national economy include the indicator of country’s
monetization, a relative share of crediting for the
manufacturing industry to corresponding volumes
of crediting, a share of long-term crediting of
businesses in the total sum of their crediting, trends
in the issuance of shares by corresponding non-
financial corporations. Therefore, it is reasonable to
define the inability to promptly and efficiently
recover the viability of the functioning of the
financial architecture of national economy: the
definition of the correlation between GDP and
granted credits to businesses was just 35% from the
previous value, hence the similar level of the
recovery due to the given indicator of ensuring
required credit resources for investments, the rate
of recovering the amount of trading on the
contemporary stock market, a particular level of
capitalization towards GDP, was quite slow as well.
So, the obtained integrated value of adaptivity of
the financial architecture of national economy to
financial globalization conditions ex-ante is a
slightly decreasing trend primarily because of the
weak and undeveloped stock market in Ukraine.
WSEAS TRANSACTIONS on BUSINESS and ECONOMICS
DOI: 10.37394/23207.2022.19.94
Igor Chugunov, Larysa Sidelnykova,
Olga Sosnovska, Maksym Zhytar, Alla Navolokina
E-ISSN: 2224-2899
1080
Volume 19, 2022
The weakness and insufficient level of
establishing and fulfilling the potential of the
financial architecture allows us to ground the
hypothesis about certain regularities of obtained
trends for further substantial decline of its structural
and functional capacity since 2014.
It is also reasonable to assess adaptivity of
the financial architecture ex-post as a particular
resulting characteristic of the prompt adaptation of
the financial architecture of national economy to
financial globalization conditions by evaluating the
dynamics of a range of indicators characterizing the
recovery of its necessary stability [9-11].
Thus, such an approach to the assessment of
adaptivity for the gradual recovery of financial
stability is based on the well-known idea of C.
Reinhart and
K. Rogoff. They offered to present the complexity
of the recovery of national economies after banking
crises by calculating a corresponding index
calculated as a particular addition to the amplitude
of the decline in indicators of the economic growth
and duration of its crisis recovery to the process of
reaching a required level recorded in the
corresponding peak period [12-16]. So, we should
note the difference in the examined approach:
conducting the assessment of adaptivity, it is
important to take into account not only the duration
of this crisis but also its correlation with the period
of recovery, changes in the amplitude for recovery
with the amplitude of destabilization. At the same
time, the viability of including the loss of the
required level of stability for the whole examined
period (taking into account lower indicators in
terms of the level of their decline) provides a
significant basis for the integration of the duration
of certain crisis phenomena within the examined
period into the aggregated index of adaptivity. The
indicator of adaptivity is calculated as follows:
(7)
,
,
,
where is the level of the asymmetry
towards the duration of the recovery proves to
crisis phenomena;
is the asymmetry of recovery changes
to crisis phenomena;
are timeframes of crisis phenomena for
the analyzed period (Fig. 3);
is the duration of the decline in indicator
i from its best value – tpi to the period of maximum
destabilization – tсi – the duration of the decline in
indicator i from the time of its maximum
destabilization – tсi and to the moment of its
practical achievement of the best level – tvi;
is the amplitude to the decrease in
indicator i;
is the amplitude for the full recovery of
the defined level of indicator i, taking into account
its maximum level in point tvi;
is the value of indicator i in the point of
maximum destabilization;
is indicator i in the point of its
maximum positive level;
is indicator i in the point of its best level;
is the number of indicators.
WSEAS TRANSACTIONS on BUSINESS and ECONOMICS
DOI: 10.37394/23207.2022.19.94
Igor Chugunov, Larysa Sidelnykova,
Olga Sosnovska, Maksym Zhytar, Alla Navolokina
E-ISSN: 2224-2899
1081
Volume 19, 2022
Table 1. Indicators of adaptivity of the financial architecture of national economy to financial globalization conditions as a resulting characteristic of its development
(ex-post) [1, 3, 7, 17-18]
Indicators
Average
value of
increase for
the period
Duration of
decline,
years
Duration of
recovery,
years
Amplitude of
decline
Amplitude of
expansion
Asymmetry of
expansion
duration
Asymmetry of
expansion towards
decline
Steadiness
of position
Flexibility to
expansion of
financial
support
GDP monetization
0.56
4
2
0.023
0.098
2
4.24
1.05
2.71
Gross value added to credits for the real sector
1.13
3
4
0.70
0.24
0.75
0.34
1.16
0.67
Dynamics of enterprise crediting
1.11
1
4
0.66
0.11
0.25
0.16
1.06
0.38
Credits for the real sector to investments
0.24
1
4
0.66
0.23
0.25
0.34
1.93
0.62
Long-term credits for the real sector to investments
0.08
1
4
0.43
0.03
0.25
0.08
1.29
0.39
The share of manufacturing crediting in the total sum of crediting of
the real sector
0.27
1
1
0.01
0.03
1
3.28
1.02
1.92
The share of long-term crediting of the real sector in the total sum of
credited granted to it
0.55
1
4
0.01
0.02
0.25
1.07
0.96
0.72
The share of small business crediting in credits for the real sector
0.05
1
4
0.02
0
0.25
0.00
0.71
0.24
Increase in deposits
1.20
2
4
0.55
0.30
0.5
0.55
1.22
0.66
Bond issue to the value of investments in the real sector of economy
0.12
3
2
0.13
0.13
1.5
0.99
0.46
1.09
Dynamics of bond trading volumes
1.18
3
4
1.76
1.10
0.75
0.62
3.00
1.15
Dynamics of share trading volumes
5
5
0.33
0
1
0.00
0.00
0.40
Dynamics of the share issue by non-financial corporations
0.08
3
3
0.53
0.73
1
1.37
2.06
1.36
Correlation between capitalization and GDP
0.15
1
5
0.69
0.10
0.2
0.15
1.68
0.48
Share issue to the value of investments
0.17
1
2
0.64
0.25
0.5
0.39
6.16
1.59
Average values
0.55
2.07
3.47
0.48
0.22
0.70
0.91
1.58
0.96
Fig. 3: Parameters of the recovery of the financial architecture state in case of crisis. Source: designed by the author
tp
tk
tv
tv0
WSEAS TRANSACTIONS on BUSINESS and ECONOMICS
DOI: 10.37394/23207.2022.19.94
Igor Chugunov, Larysa Sidelnykova,
Olga Sosnovska, Maksym Zhytar, Alla Navolokina
E-ISSN: 2224-2899
1082
Volume 19, 2022
5 Conclusions
The conducted analysis of the recovery of the
development indicator of the financial architecture
of national economy for the examined period
allows concluding the following:
- an average level of the asymmetry
regarding the duration of the corresponding decline
in the level of indicators or the loss of its stability
to its gradual recovery was 0.58. It means that the
recovery of the viability of the financial
architecture is gained almost twice longer that their
rapid decline;
- the amplitude of the recovery to
globalization conditions was 5.35. Initially, a
positive role belonged to the increase in deposits,
almost twice, and the growth of national economy
crediting. Meanwhile, one failed to gain the
profitability of banking operations and medium-
term liquidity;
- generally, the decline in indicators
was also noticed within the whole period, almost
more than 2 years. The longstanding destabilization
also occurred in terms of defined indicators of
capital imports, bank profitability, remaining
balance and the share of unprofitable banks.
Based on the conducted assessment of the
level of adaptivity of the financial architecture of
economy in the context of financial globalization,
the article reveals a range of urgent crucial issues:
expansion of the financial potential of national
economy; establishment of the mechanism for self-
development and self-organization of components
of country’s financial architecture.
References:
[1]. Finansova arkhitektura ekonomiky Ukrayiny v
umovakh hlobalʹnykh transformatsiy (2020):
monohrafiya / M.V. O. Zhytar. – Chernihiv :
CHNTU, 352 s.
[2]. Yefymenko T. I. (2013). Aktualʹni problemy
transformatsiyi ekonomichnoyi teoriyi v
umovakh hlobalʹnykh zmin. Finansy
Ukrayiny. № 5. S. 7-18.
[3]. Melʹnyk Viktor, Zhytar Maksym, Shchur
Roman, Kryuchkova Nataliya, Solodzhuk
Tetyana (2021). Otsinka efektyvnosti
finansovoyi arkhitektury ukrayinsʹkoyi
ekonomiky: byudzhetni, fondovi ta sotsialʹni
aspekty. WSEAS Transactions on Business
and Economics, Tom 18, st. № 39, s. 386-395
[4]. Lyutyy I., Teres Y. (2018). Realizatsiya
borhovoyi polityky v krayinakh YES: uroky
dlya Ukrayiny. Svit finansiv. Vyp. 4. S. 7-19.
[5]. Matsuk Z.A. (2018). Arkhitektonika
infrastruktury rynku tsinnykh paperiv. Finansy
Ukrayiny. № 5. S. 94-105.
[6]. Luk'yanenko I., Oliskevych M. (2015). Vplyv
shokiv na rynok pratsi Ukrayiny:
Modelyuvannya SVEC / Nauk. Procedia
Ekonomika ta finansy. Tom 27. S.311-322.
[7]. Halushchak I., Kuzhelyev M., Melʹnyk V.,
Myhovych T., Zhytar M. (2020). Metodychni
aspekty otsinky finansovoyi arkhitektury
ekonomiky. WSEAS Transactions on Business
and Economics, Vol. 17, st. № 27, s. 260-268
[8]. Kornyeyev V. V. (2009). Povedinkovi finansy
ta investuvannya v ekspolyarniy ekonomitsi.
Ekonomichna teoriya. №3. S. 40-49.
[9]. Chugunov. I, Makohon. V, Vatulov. A,
Markuts Y. General government revenue in
the system of fiscal regulation. Investment
Management and Financial Innovations.1
(17). P. 134-142.
[10]. Sosnovsʹka O., Zhytar M. (2018). Finansova
arkhitektura yak osnova finansovoyi bezpeky
pidpryyemstva / Baltiysʹkyy zhurnal
ekonomichnykh doslidzhenʹ. Vol. 4. No 4,
Ryha 2018. S. 334-340
[11]. Onyshko S.V., Onyshko S.V. (2016).
Finansovyy rynok v systemi dzherel
finansovoho zabezpechennya innovatsiyno-
oriyentovanoho rozvytku Ukrayiny. Naukovyy
visnyk Polissya. № 2(6). S. 122-126.
[12]. Payentko T. V. (2013). Instytutsionalizatsiya
fiskalʹnoho rehulyuvannya finansovykh
potokiv: monohrafiya. Kyyiv: DKS-tsentr,
294 s.
[13]. Dyachenko S. A. (2018). Fiskalʹna
detsentralizatsiya yak
tendentsiyareformuvannya mizhbyudzhetnykh
vidnosyn. Investytsiyi: praktyka ta dosvid. №
21. S.89-94
[14]. Voznyak H. V. (2017). Osoblyvosti
mizhbyudzhetnykh vidnosyn v konteksti
dosyahnennya finansovoyi spromozhnosti
terytorialʹnykh hromad. Svit finansiv. №2(51).
S.17-28
[15]. Lopushnyak H.S. (2016). Fiskalʹna
detsentralizatsiya v Ukrayini: deklaratsiyi ta
praktychna realizatsiya. Ekonomichnyy
zhurnal-KHKHI. № 161. S. 79-84
[16]. Cinaj, V., Meçe M., Ribaj, A., Kadrimi, I.
(2020) The Need for Improvement of External
Audit Reports of Banks (The Case of Banks in
Albania which Mainly belong to EU Banks).
WSEAS Transactions on Environment and
Development, Vol. 16, 539-54.
WSEAS TRANSACTIONS on BUSINESS and ECONOMICS
DOI: 10.37394/23207.2022.19.94
Igor Chugunov, Larysa Sidelnykova,
Olga Sosnovska, Maksym Zhytar, Alla Navolokina
E-ISSN: 2224-2899
1083
Volume 19, 2022
[17]. Chima, M., Babajide, A., Omankhanlen, A.,
Adejumo, B. (2020) Development:
Unconventional Monetary Policy on Bank
Performance in Nigeria. WSEAS Transactions
on Environment and Development, Vol. 16,
844-860.
[18]. Kachula S, Zhytar M, Sidelnykova L, Perchuk
O, Novosolova O. (2022). The Relationship
between Economic Growth and Banking
Sector Development in Ukrain. WSEAS
Transactions on Business and Economics,
Vol. 19, p. 222-230.
[19]. Buckley P. J., Ghauri P. N. (2004).
Globalisation, economic geography and the
strategy of multinational enterprises. Journal
of International Business Studies. № 35 (2).
Р. 81–98.
[20]. Hasan I., Koetter M., Wedow M. (2009).
Regional growth and finance in Europe: Is
there a quality effect of bank efficiency?
Journal of Banking and Finance. № 33.
Р. 1446–1453.
[21]. Levine R. (1997). Financial Development and
Economic Growth: Views and Agenda.
Journal Economic Literature. № 2. Р. 688-
726.
[22]. Merton R., Bodie Z. (1995). Conceptual
Framework for Analyzing Financial
Environment. Global Financial System: А
Functional Perspective / D. B. Crane et al.
(eds.). Boston, Р. 3-31.
[23]. Myers S. (1999). Financial Architecture.
European Financial Management. Vol. 5. P.
133–141.
[24]. Rodrik D., Subramanian A. (2009). Why did
financial globalization disappoint? IMF Staff
Papers. № 56 (1). Р. 112–138.
[25]. Beck T. (2006). Efficiency in Financial
Intermediation: Theory and Empirical
Measurement. In Microfinance and Public
Policy: Outreach, Performance and Efficiency
/ ed. B. Balkenhol. Hampshire: Palgrave
MacMillan.
Contribution of Individual Authors to the
Creation of a Scientific Article (Ghostwriting
Policy)
- Conceptualization: Igor Chugunov, Maksym
Zhytar, Larysa Sidelnykova.
- Formal analysis: Olga Sosnovska.
- Methodology: Larysa Sidelnykova, Alla
Navolokina.
- Project administration: Igor Chugunov, Maksym
Zhytar, Larysa Sidelnykova, Olga Sosnovska, Alla
Navolokina.
- Supervision: Larisa Sidelnikova.
- Validation: Maksym Zhytar.
- Visualization: Olga Sosnovska.
- Writing – original draft: Igor Chugunov, Maksym
Zhytar, Larysa Sidelnykova, Olga Sosnovska, Alla
Navolokina.
Creative Commons Attribution License 4.0
(Attribution 4.0 International, CC BY 4.0)
This article is published under the terms of the
Creative Commons Attribution License 4.0
https://creativecommons.org/licenses/by/4.0/deed.e
n_US
WSEAS TRANSACTIONS on BUSINESS and ECONOMICS
DOI: 10.37394/23207.2022.19.94
Igor Chugunov, Larysa Sidelnykova,
Olga Sosnovska, Maksym Zhytar, Alla Navolokina
E-ISSN: 2224-2899
1084
Volume 19, 2022
