Banking system and economy of Russia
Make a research of banking system and economy of Russian Federation and connect it to small business, politics and corruption. Recognize week points, and establish possible solutions, that can improve economy of Russia.
The central Bank of Russia was created since 1990s and up to know days it is the bank of the first level, which is the main bank for holding federal funds of 475 billion dollars up to know. The central bank is the main one to issue banknotes and is acting as the main coordinating and regulatory body of the entire credit system of the country.
Also it controls the activities of credit organizations, issues and withdraws licenses from them for banking operations, and credit organizations work with other legal entities and individuals. The economy of Russia is directly connected with Central bank and plays the biggest role. Currently the situation in our country is not the best, and the crisis is developing in bad way.
Year by year people are living worse, mainly due to inflation, people who got the normal job, let’s say as a teacher have the same salary but the prices for the goods are growing dramatically. The bank and economy of Russia are seriously affected by prices for oil which now days jump a lot in prices, mainly due to geo politics of our country.
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- What are the problem?
As in beginning my main objective was to study the bank system and the central bank of Russian Federation. But after analyzing data and thinking about all of those years, looking how the economy and our currency, falls in front of Dollar and Euro, which means the economy struggles and there are weak points in Russian economy.
- Topics to connect (problems to solutions)
1) Small business has two chooses or they fall as a bankruptcy or they don’t pay taxes.
Reasons: Low wages vs high prices for goods, high inflation, monopolization of a number of economic sectors and bureaucracy.
Reasons: Sanctions, geo politics, micro, and oil prices.
Reasons: 52% of corruption, which means the government don’t get paid taxes. Government regulations
All of that plays a big role in economy of Russia, in which I want to study and make my research paper, I want to find solutions and how people in my country can live better.
2) Structure of central bank and system
4) Legal status
5) Goals of Central bank and growing economy
- Conclusion of the proposal
After researching about this topic and thinking further, I can see that my country experiencing lack of attention in banking system, government regulations and political side, which are affecting the Russian economy dramatically, there are many reasons which I have proposed on up section, my objective will be to find solution to each one and see how they are all connected between each other, and would my solutions help in any of the ways for the economy of my country.
2) Research Area / Fields / Subfields
Money, economics, internal politics, international relationships and trading (export/ import), currency, small business, taxes, federal reserves, credits/ loans, bonds, real estate, derivatives markets, system risk, financial system regulations, financial institution, bank assets, infrastructure, health and primary education, tourism, micro economics, macroeconomics, corruption, labor market efficiency, community business (schools, universities…)
3) Research Aim
I am interested in researching and studying banking system in Russia for my own reasons as I have a chance after finishing my studies, get a job in this sector. My knowledge about the system and structure of central bank in Russia is very low. I want to study this sector further, so I can be prepared for this work, get ideas how it can be improved and what can be changed to grow economics in my country. As I know, right now is not the best time for my country in economics, the reason can be a cold war and sanctions between other countries. Also I want to compare and find out why our currency is not as stable as other currencies: Euro and Dollar. As I hear a lot about economics in my country, I know that there are weak sides which I want to find out.
Bank, central bank, bank in Russia, banking system, functioning, industry, organizational structure, online bank, currency, money, credits, loans, corruption, investments, deposits, economy, ruble, business, mortgage, payments, federal reserve, retail, lending, finance, insurance, regulations, savings, crisis, asset, banknotes, treasure, commercial, investor, federal, institution.
5) Research objectives
While researching this topic, my main objective will be to study the problems of falling of the economy and find answers that could improve it.
Some of the objectives I want to study
1) How central bank secures and stabilizes the national currency
2) Development of banking system and how it can be improved
3) Studying sector of geo politics, corruption and local small business to identify reasons of falling of the economy
4) Online payment systems and how they can be connected to banking system in order to grow of economics in Russia. (Not sure, how to describe it better, but this one is personal and in my interest as business idea)
5) Short bibliography + other sources
Most of the sources I have used are on Russian language: