Kobulov bahtiyor

1. Commercial bank as an element of the banking system
1.1 The concept of a commercial bank
According to the law “Banking activities” of the Republic of Uzbekistan and Law of China on Commercial banks – Bank a legal entity that is a commercial organization that carries out collectively operations for opening and maintaining bank accounts, making payments, attracting funds to deposits (deposits), providing loans on its own behalf, defined as banking activities.
So, from the above it’s clear that bank is a financial institution that accumulates and stores funds, conducts monetary transactions and settlements, controls the flow of funds, provides loans, issues money and securities into circulation. Thus, the bank can be characterized as a financial institution that performs a wide range of financial and credit functions and transactions with money and securities. On the one hand, a bank, like any other enterprise, is created to satisfy the interests of the owner of the bank (shareholders) and the public interests (clientele). On the other hand, a bank is a special type of enterprise that organizes and carries out the movement of loan capital, ensuring profit to the owners of the bank.
Commercial banks play a huge role in the mechanism of functioning of the credit system. They accumulate the main share of credit resources, provide customers with a full range of financial services, including loans, deposits, settlements, purchase-sale and storage of securities, foreign currency, etc.
Commercial banks belong to a special category of business enterprises, which are called financial intermediaries. Accepting customer deposits, a commercial bank creates a new obligation - a deposit, and issuing a loan - a new requirement for the borrower. This process of forming new obligations is the essence of financial intermediation.
Commercial banks, providing customers with a full range of services, including loans, differ from specialized institutions limited to certain functions. At the same time, it is very important that the legislation ensures not only a variety of types of banks, but also their equality. In any case, it is necessary that the bank be an autonomous enterprise. The bank's autonomy should be supported legally and economically. This means that society should not only adopt laws on commercial banks, on their activities, as the first elementary step of a rule of law state, but also compliance with the laws themselves that consolidate this autonomy, independence from political pressure, which goes against the economic purpose of credit associations, is of great importance.
Banks as subjects of the financial market have two essential features that distinguish them from all other subjects.
Firstly, banks are characterized by a double exchange of debt obligations: they place their own debt obligations (deposits, savings certificates, etc.), and the funds raised in this way are placed in debt obligations and securities issued by others. This distinguishes banks from financial brokers and dealers who do not issue their own debt obligations.
Secondly, banks are distinguished by assuming unconditional obligations with a fixed amount of debt to legal entities and individuals. This is how banks differ from various investment funds, which distribute all the risks associated with changes in the value of its assets and liabilities among its shareholders.
In modern conditions, the influence of banks on the economy is increasing. The activity of credit institutions is not limited to the accumulation and placement of a growing mass of funds of companies, enterprises and part of the population. They contribute to the accumulation of capital, not only by actively interfering in all aspects of economic life, but also by directly participating in the activities of functioning capital or exercising control over it. Thanks to banks, there is a mechanism for the distribution and redistribution of capital by spheres and branches of production, which largely ensures the development of the national economy, depending on the objective needs of production.
Nevertheless, at present, in modern conditions, the trend of expanding the functions of commercial banks continues to develop, which, in order to improve bank liquidity, generate income, and occupy positions in the market, develop previously uncharacteristic operations and services for banks.