The sustainable, adequate, security and efficient operation of a central bank depends on many internal and external factors. New trends, challenges, and threats (which are associated with European integration, globalization, etc.) affect the sustainable, efficient, and security operations of the ECB, which can lead to economic or financial crises. Therefore, in the current situation, the concept of the Central Bank’s activities, its legal status and the institution of monetary policy should change completely. The purpose of this research was as follows: 1) to determine economic and legal aspects of sustainable, efficient and safe operation of the ECB, with a reflection on innovation and analysis of modern de lege lata trends to ensure sustainable development of the EU, 2) to prepare conclusions and to identify positive and negative aspects that affect the activities of the Central Bank, 3) on the basis of scientific and practical de lege lata research and its application, to develop de lege ferenda to improve the activities of the European System of Central Banks, the European Central Bank, national central banks and other institutions of the European Union.
Microcredit emerged in the 1970s, in Bangladesh, as a tool for sustainable development. However, in Portugal, it only took its first steps in the late 1980’s and emerged as a response to unemployment. This paper provides an overview of micro credit system in Portugal and aims to identify the profile of the successful microentrepreneur and point out the reasons that most contribute to the sustainability of microcredit business initiatives. Although the paper is mainly exploratory, we combined different methodologic approaches. First, we conducted interviews with key informants, then, we applied a questionnaire to microentrepreneurs. The survey contained three sections, namely, socio-demographic characteristics; characteristics of project; attitude as an entrepreneur. A sample group consisting of 96 participants of microfinance programme participated in the research. The findings indicate that the profile of the successful microentrepreneur is an individual with a superior degree, already have been employed, with positive or very positive level for the innovation of the product/service, for the adjustment of the business to the environment, for prior planning and for the accompaniment by public/non-profit institution. In a less degree, a positive level for training/professional experience in the project area and a positive level for self-esteem/self-confidence have also some influence. The results point out that the attitude as a microentrepreneur is less important than the characteristics of the project to the outcome of the microenterprise.
The purpose of this article is to identify important aspects of the development of creditworthiness in the post-crisis period. The customer’s creditworthiness was and is one of the main valuation objects in the practice of banks in the world and in Latvia, determining the usefulness and types of credit relations. It is important for both the lender and the borrower to make an objective, complex assessment of the potential borrower’s creditworthiness in order to make an informed decision. More than a decade after the global financial crisis, the financial sector is still considered vulnerable. An analysis of the borrower’s creditworthiness is a mandatory step in the credit granting process. Because the borrower’s creditworthiness depends on many factors, determining a change in all the factors, causes, and circumstances that will affect the creditworthiness in the future is a significant and rather complex issue. Consequently, the purpose of the borrower’s creditworthiness analysis is to conduct a comprehensive examination of his / her performance with a view to making a reasoned assessment of the possibility of returning the resources granted to him. The complex analysis of the borrower’s creditworthiness uses different types of economic analysis. The article analyzes the theoretical and methodological aspects of the borrower’s (legal entity’s) creditworthiness and compares the empirical research of the real practice of Latvian commercial banks in 2011 and 2018. The author investigates the choice of borrower’s creditworthiness analysis methods in Latvian commercial banks, their ranking by importance, the importance of credit policy in the lending process and the main signals that indicate the low creditworthiness of borrowers, thus confirming the likelihood of credit risk.
At the heart of any banking system, there is the provision of payments. Payments can be made via fiat or crypto currencies, bank credit or deposits, or fund transfers on the books of non-bank payment providers. When using payment systems, security and protection of people and property are extremely important, especially in relation to cyberterrorism. The purpose of cybercrime is to gain material benefit using IT systems, while its targets can be both business and political actors. The focus of this article is on a profound analysis of extracted factors which would be necessary for achieving a comprehensive understanding and depiction of users’ behaviours and risks in the field of security of payment instruments as well as technologies aimed at improving intermediated retail payment transactions.
This comparative study explores the contribution of non-financial services, namely, micro training and social capital towards women micro enterprise sustainability in Pakistan and Malaysia, specifically focusing on women, the vulnerable section of the society. Because of gender discrimination, women micro enterprise sustainability is relatively low, and thus, has lower contribution to economy in Pakistan and Malaysia (20% to 25%). The moderating role of environmental disaster is considered in this cross-sectional research. The responses were gathered from females working micro enterprises through survey questionnaire while data was analyzed through SmartPLS 3. Results revealed that environmental disaster has significant impact on women micro enterprise sustainability in Pakistan and Malaysia. Micro training also is evident to have statistically significant impact on women micro enterprise sustainability in both countries. Interestingly, social capital has significant impact on women enterprise sustainability in Malaysia while non-significant in Pakistan. Lastly, environmental disaster has significant moderating role between micro training and women micro enterprise sustainability in Pakistan and Malaysia. This study is a pioneer to investigate women micro enterprise sustainability in cross-cultural manner while including environmental disaster’s moderating role. Thus, this study assists the governments of Pakistan and Malaysia along with the practitioners to enhance understanding and implement strategies to boost women micro enterprise sustainability.
This paper finds out the impact of a board diversity in terms of nationality and gender diversity on sustainability of bank performance and risk in Indian Banking and Financial Industry over the period of 2011 – 2015. Our results show that the presence of foreign directors is found to lead into a worse firm performance, but no significant relationship is found for the existence of women directors on bank performance. The nationality and gender diversity are found to have positive and significant impact to the bank risk. By looking at this, the regulation in India should pay more attention to the inclusion of foreign and women directors in their board as the improvement of corporate governance in emerging markets. Some contributions are made in this paper, which are first, this study gives new perspective in India as emerging market especially in financial industry, while most of the studies are conducted in U.S. and Europe. Most of the studies in India regarding the impact of board diversity to bank performance are conducted in all sectors, not specifically on the banking and financial industry and there is not any research which is conducted to find the impact on bank risk. However, some limitations are found. First, limited sample as it only covers 22 banks and financial industries due to lack of data on board diversities. Second, only 2 diversities are examined, while there are more diversities could be observed, such as age, education, experience.
Financial security of companies is of the strategic importance. An effective credit risk management greatly impacts on a company security because its failure can threaten the existence of the company. These aspects are closely related to the sustainability of the SME sector, which is determined by many negative processes in the current post-crisis period. The aim of this article is to research the dependence between the entrepreneur’s ability to manage the credit risk in their company effectively and their knowledge of the corporate capital. Within the set goal, we looked at the differences in the attitudes of entrepreneurs depending on a company size, gender and education of entrepreneurs. To analyze acquired data, we used descriptive statistics, regression analyses and Z-score in our research. The originality of the article is that the whole process and result trajectory is focused on highlighting the financial security and sustainability of the searched sector. The results of our research brought an interesting finding. On the one hand, entrepreneurs declared a high capability of the effective credit risk management in their companies and, on the other hand, demonstrated a low level of knowledge in managing the corporate capital. This trend creates a potential possibility of a growth of corporate financial risks. The research results confirmed that the theoretical knowledge of the corporate capital has a significant impact on the formation of effective attitudes of the entrepreneur to manage the credit risk. Larger companies, men and entrepreneurs with higher education have much better level of knowledge of the corporate capital management. The research results enable to form a platform for a deeper insight into the financial security processes in companies and in the sustainability of the SME sector, especially in the current post-crisis period.
The aim of the paper is to point out the tax system and activity of tax authorities at carrying out a control activity and as well as the activity of its bodies in order to eliminate tax evasions and tax frauds for a sustainable development of state economy. We pay attention to tax systems and deal with tax frauds. We assume that there is no correlation between the number of registered taxpayers and the total tax collection. We also assume that the majority of findings from the tax controls that were carried out will be on VAT whereas there is no correlation between the findings of VAT controls and the number of tax controls carried out. We refer to the importance to strengthen the battle against tax frauds and tax evasions in Slovakia and the aim is to point out the current tax collection and the overall tax administration in the Slovak Republic with the focus on value added tax (VAT). The final part consists of the proposals for the possibilities to combat against tax frauds and tax evasions more effectively.
In accordance with the rise and rapid growth in e-commerce in the past few decades, the use of payment cards for online purchases has significantly increased in the payment cards market. This situation has led to an explosion in payment card fraud and it is costing billions of euros and dollars in losses in the card payment industry. The understanding of security has therefore undergone a significant development. Due to the inaccurate evaluation of their personal security status, people tend to underestimate the safety features related to the protection of their financial data on the internet. This claim is supported by the high level of interest that cyber attackers show in persons operating in the public and economic spheres. The collection and data analysis carried out suggests that the target sample group has not had experience with cyber-attacks, predominantly because this group was made up of ‘ordinary’ people, presumably outside of the cyber attackers’ sphere of interest. It is therefore important to further investigate the opinion and consumer approach to security and payment card fraud. As a result of rising losses, financial institutions and card issuers are constantly searching for new technologies and innovations in payment card fraud detection and prevention. This article provides several views on personal safety and quality of security to payment cars and cyber- attacks.The data collection and analysis was carried out in Slovakia via electronic sample surveys. With sample surveys the data is collected from a base sample unit, which in this case consisted of a sample of residents of the Slovak Republic. The research sample for this investigation consisted of 287 respondents, out of which there were 164 men (57,14%) and 123 women (42,86%). For the purposes of the analysis, the respondents were divided into categories, based on their age, level of education and occupation. The study results can help the issuers of payment cards and banks as well as clients using payment cards, especially in order to improve the prevention against fraud and the unauthorised use of payment cards.
Due to the rise and rapid growth in e-commerce in recent years, the use of payment cards for online purchases has dramatically increased the credit and debit cards market. This situation has led to an explosion in payment card fraud and it is causing billions of euros and dollars in losses in the card payment industry.
In addition to direct losses, the brand may be affected by fraud-induced decrease in consumer confidence. It is therefore important to know the opinion and consumer approach to security and payment card fraud. As a result of rising losses, financial institutions and card issuers are constantly searching for new technologies and innovations in payment card fraud detection and prevention.
This article provides several views on personal safety and quality of security that banks devote to payment cards and payment systems and the related research was carried out in an electronic form by means of selective examination in Slovakia in 2015. The study group consisted of 287 respondents, of whom 164 were men and 123 were women. The respondents were categorised by their age, education and job.
The study results can help the issuers of payment cards and banks as well as clients using payment cards, especially in order to increase the prevention of misusage of payment cards and fraud.