Ministry of higher and secondary special education of the republic of uzbekistan tashkent institute of finance

2. Essence and structure of financial system (3^rd type)

Answer: The financial system is the totality of any participants in economic activity with a surplus (creditors) or a deficit of capital (borrowers). In third type of financial system have 2 interaction between creditors and debtors: direct and indirect. Direct interaction is direct financial relations. Indirect interaction is via financial intermediaries. Financial intermediaries are commercial banks, insurance companies, microcredit organizations. The financial system is the totality of any participants in economic activity with a surplus (creditors) or a deficit of capital (borrowers) between whom financial relations arise related to the redistribution of financial capital through the targeted movement of exchange value using financial instruments taking into account the risk / return ratio, through financial institutes. This is concept of Ermolev E.A. and Zavyalov Yu. S.