Theory of economics

The main task and functions of commercial banks. The essence of commercial banks and the basis of their functioning are expressed in the basic principles of the organization of their activities:

1. Principle of operation of commercial banks on the basis of resources attracted from abroad in the creation of credit resources;

2. The principle of service of commercial banks at the limit of available funds in reality;

3. The principle of full economic independence of banking activities;

4. The principle of commercial description of the activities of banks;

5. Principle of protection for the benefit of customers;

6. The principle of profitability of banks and the rationale for their activities;

The principle of organization and operation of credit resources of commercial banks within the attracted funds is the basis of the bank's activities, increases its interest in attracting deposits and savings, creates a competitive environment for attracting liabilities. In addition, the balance of borrowed and invested funds increases the interest in attracting deposits in banks and creates the basis for the efficient use of these funds.

One of the second and fundamental principles of a commercial bank is to serve within the limits of the funds available in this reality. The commercial bank may make non-cash payments to the representative account of another bank, provide credit services to others and perform cash-paid transactions at the limit of the remaining balance on the representative account sheet. When it comes to the fact that commercial banks operate within the limits of the available funds, it is understood that the bank is not only in proportion to its resources and credit facilities, but also to ensure the proportionality between the assets of the bank and the funds involved in it. This should be taken into account first of all, the uniformity of the terms of passives and assets. Consequently, if the bank has attracted funds for a short period of time and placed these funds in the long-term account, the bank's ability to make payments on its liabilities at the same time may be associated with some problems, which in turn may have a negative impact on the financial position of the bank.

In addition, the principle of proportionality of attracted and invested funds is aimed at increasing the interest of banks in attracting deposits and more efficient use of these funds. Working on this principle will help increase the liquidity of commercial banks.

The third principle is the full economic independence of this bank. Based on this principle, it is envisaged that the bank can independently use its own and attracted funds, independently choose customers and depositors himself, independently establish and implement credit policies, independently establish and change interest rates, independently distribute income and independently carry out other types of activities. In accordance with the current legal - norms on the activities of banks, all commercial banks can use their funds and revenues economically independently.

The fourth principle of carrying out commercial banking activities is the commercialization of banking activities, in which the commercial object of banks is temporarily idle funds. Although these funds do not belong to the bank, the bank places them on its behalf during its activities.

Since the bank's turnover is based on the principle of earning more by investing less, its share in liabilities should be less.

The commercial bank intends to receive as much income as possible in the process of issuing loans and financing investments.

In addition, the security of banking activities is also one of the foundations of banking commerce. The Bank always operates in relation to risk. The less the level of risk in banking activities and the higher the security, the more the bank's income will also be.

Another important principle of operation of banks in the conditions of a market economy is that the bank, as an economic organization, can risk with its own capital, income, but it cannot risk with the client's income or capital. Until then, banking activities should be based on the principle that" everything is for the client". This principle indicates the need for the bank to respond to a scan for the client, ensures its income.

The bank is always a partner organization than by customers. Due to the fact that partnership relations should be carried out on the basis of mutual interests and consent of the two parties, the bank should prioritize the provision of customer interest.

The next principle of the activity of commercial banks is the rationalization and diversification of the services and operations that these banks provide, and it is imperative that the banking sector should be oriented towards high returns on the basis of low risk that it covers various sectors and sectors.

Regardless of which form of property the banks are based on, their activities are based on the above principles.

The economic role of commercial banks leads to a wide range of its activities. It is for this reason that commercial banks perform the following functions:

-collection of temporarily idle funds and their capitalization;

-lending of enterprises, organizations and population;

-carry out calculations and payments in the economy;

-activity in the financial and foreign exchange market;

-providing economic and financial information and advisory services, etc.

Banks collect available cash income and savings by performing the function of collecting free cash and converting it into capital. The accumulator (holder of free funds) receives a certain percentage of income because he entrusts his funds to the bank and the bank uses these funds. Loan capital is used to create a loan capital fund, which is used to lend to the economy.

The main function of a commercial bank is to attract idle funds and turn them into capital, and the income from borrowed funds is formed on the basis of supply and demand for borrowed funds.

The bank's intermediary operations create conditions for the Prevention of risks and uncertainties in its activities in the development of a system of market economy. Funds can also be in circulation between the creditor and the borrower without the mediation of a bank, but with this the risk level associated with the loss of funds increases, and problems with the timely return of funds arise. The occurrence of these problems is explained by the fact that the creditor and the borrower do not have enough information about each other, the demand for funds is not always equal in quantity and at the same time with the proposal. Commercial banks can attract funds to ICO, give in SSU. The Bank can reduce the level of risk of non-return of deposits by supporting a method of wide diversification on its assets.

In order to rebuild the economic system, it is necessary to rely mainly and first of all on domestic economic funds. As a commercial bank enters the financial market with the demand for credit resources, it is necessary to effectively influence not only the maximum accumulation of all available savings in the economy, but also the formation of the fund with the restriction of current consumption. The impact of commercial banks deposit policy on fund formation is great. In addition to the high interest on depositors, bank loans need a high guarantee and reliability. In addition to the security of deposits, the client may have sufficient knowledge of commercial banking activities and in this way he can assess the financial situation of the bank.

Lending to enterprises, organizations, individuals and various entities plays a key role in the activities of commercial banks. The bank plays the role of a financial intermediary in the organization of the lending process. It raises available funds and allows customers to use them temporarily on its behalf. Bank loans are used to finance important sectors of the economy - industry, agriculture, trade, etc., and provide a basis for expanding production.

Commercial banks can attract, place each other's funds on a contractual basis in the form of deposits, loans, carry out other cross - transactions specified in their statutes.

Commercial banks may apply to the central bank to obtain credit resources in case of insufficient funds to provide loans to customers and to fulfill the obligations assumed by them.

Interest rates on transactions of commercial banks are determined by them independently. But these rates should be based on the policy of interest rates, which is determined in the main directions of the state monetary policy.

During the transition to a market economy, the main financial resources available in the economy in the well-underdeveloped Bosporus of the securities market are realized by attracting deposits to banks.

The next function of banks is the function of carrying out payment transactions of this independent entity. All payments in the period of the planned economy carried out through a state 14 bank, the state itself would vouch for the implementation of payments in such a system of settlements. The formation of an independent commercial banking system leads to the separation of the settlement system and increased the level of risk that banks take on themselves.

In all countries based on the market economy, commercial banks occupy a leading position in the payment system of the economy.

The economy of our country plays a role of commercial banks in the payment system of our country through the reform and development of payment processing.

In addition, commercial banks can operate in the financial and foreign exchange market, that is, they can issue securities and place them, deal with the purchase, provide customers with all sorts of information, advice.

Commercial banks perform the following operations on the basis of the above-mentioned functions:

-passive operations;

-active operations;

-banking services and intermediary operations;

-they carry out operations and other types of transactions, which the bank carries out from the account of its own funds.