Banking system of Russia. Central Bank and commercial banks

Considering the modern banking system as a criterion for determining the belonging of individual elements to it (institutional aspect), we will accept not only the connection with banking operations (banking activities in the narrow sense), but also with banking activities as a whole (in the broad sense). So, according to the criterion of participation in banking activities to the elements of the country’s modern banking system The following economic entities may be included:

• – Bank of Russia as the body regulating banking activities, as well as directly carrying out its individual types;
• – banking and non-banking credit organizations, which are the main “working” link of the banking system, directly performing banking activities;
• – Vnesheconombank, which, if we strictly follow the definition of a credit organization contained in the Banking Law, is not a credit organization, but nevertheless meets all the features and functions of a bank credit organization, with the exception of the absence of a license issued by the Bank of Russia;
• - structures that unite banks, for example, unions and associations of credit organizations (Article 3 of the Law on Banks), banking groups and bank holding companies (Article 4 of the Law on Banks), which, based on the principle of their connection with banks, and through them - with the banking sector activities can also be classified as elements of the banking system;
• – economic entities whose activities are inextricably linked with banking activities and are impossible in isolation from the banking system of the Russian Federation (but not included in the banking system of the Russian Federation by the Law on Banks). These are DIA and numerous BKIs. Moreover, the activities of banks are currently also practically impossible in isolation from the named entities;
• – entities involved in carrying out certain banking operations, namely – bank payment agents specified in Art. 3 of the Law on the National Payment System.

The activities of not all of the listed structures are directly controlled by the Bank of Russia, however, they are inextricably linked with the implementation of banking activities by credit institutions.

Thus, institutional aspect of the modern banking system of the Russian Federation includes the following elements:

• – Bank of Russia,
• – DIA;
• – bank credit organizations;
• – Development Bank;
• – non-bank credit organizations;
• – banking groups and banking holdings;
• – branches and representative offices of foreign banks;
• – BKI;
• – bank payment agents;
• – unions and associations of credit organizations.

At the same time, modern The banking system of the Russian Federation can be divided into three levels according to the criterion of the presence of power in individual elements of the system and the criterion of the nature of the interaction of elements with each other.

TO the first (highest) level of the banking system of the Russian Federation include the following elements with certain powers in relation to the elements that make up the second level:

• 1) Bank of Russia as a subject endowed by the Law on the Bank of Russia with authority for the purpose of exercising state influence on the banking system, including control, supervisory and regulatory powers;
• 2) DIA as a subject endowed with powers in relation to elements of the second level. In accordance with the Law on Insurance of Deposits of Individuals, the DIA is a deposit insurer by force of law, has the authority to issue regulations on deposit insurance issues, determines the amount of insurance reserves for deposits that are mandatory for all banks, is a bankruptcy manager and liquidator of credit organizations, and has the functions of preventing bankruptcy banks, participates in bankruptcy procedures of credit institutions along with the Bank of Russia. Despite the fact that the Bank of Russia, compared to the DIA, has broader powers that influence the Russian banking system, their interaction with each other as elements of the first level of the banking system is characterized by parity relations defined by federal laws.

Second level of the Russian banking system form all the other above-mentioned elements of the banking system, except for unions and associations of credit organizations. At the same time, the interaction of elements of the second level of the banking system with elements of the first level, with rare exceptions, is built both at the level of administrative legal relations and at the level of equal (contractual) relations. And their interaction with each other is built at the level of contractual relations.

Elements of the second level of the banking system of the Russian Federation, in turn, can be divided into several groups.

First group form banking credit organizations, Development Bank (VEB), non-bank credit organizations, being the direct “working” layer of the banking system. These elements are allocated to a separate level based on the principle of direct participation in banking operations.

Second – banking groups and holdings.

• According to Art. 4 Banking Law banking group – an association of credit institutions in which the parent credit institution directly or indirectly has a significant influence on decisions made by the management bodies of another credit institution (for example, the VTB banking group includes more than 20 banks, including VTB 24, TransCreditBank, Bank of Moscow and others banks);
• bank holding company – an association of legal entities with the participation of a credit organization, in which a legal entity that is not a credit organization (the parent organization of a bank holding company) has the ability to directly or indirectly exert a significant influence on decisions made by the management bodies of the credit organization.

Legal entities united in a bank holding company can create a special management organization whose main task is to manage the holding company. The named organization does not have the right to engage in banking activities, as well as insurance, trading and production activities.

Banking holding companies and banking groups differ from other participants in the banking system in that they, as associations of legal entities, are not legal entities themselves and do not directly carry out banking operations. Moreover, the nature of the relationships within these entities is determined either by corporate relations due to the ownership of some organizations with shares in the authorized capital of other organizations, or by contractual relations. However, despite the fact that banking groups and bank holding companies do not directly carry out banking operations, they can nevertheless influence their implementation through credit institutions that are part of banking groups and bank holding companies.

Accordingly, the Bank of Russia exercises control over the formation and condition of bank holding companies and banking groups. In particular, based on Regulations on the procedure for submitting information on bank holding companies, approved by the Bank of Russia on September 19, 2002 No. 197-P, holdings submit to the Bank of Russia information about their formation and composition, and on the basis Provisions on consolidated reporting, approved by the Bank of Russia on July 30, 2002 No. 191-P, and Bank of Russia instructions dated January 20, 2009 No. 2172-U "On the publication and presentation of information on the activities of credit institutions and banking (consolidated) groups" banking holdings and banking groups regularly submit their reports to the Bank of Russia.

third – branches and representative offices of foreign banks, united into one group on the basis of their belonging to legal entities formed on the territory of other states. Nevertheless, since they operate on the territory of the Russian Federation and their activities are related to the implementation of banking activities here, they can be classified as elements of the banking system of the Russian Federation.

Fourth, the so-called banking infrastructure group is formed by BKI and management organizations of bank holding companies. These elements are combined into one group on the basis of their inextricable connection with banking activities and their auxiliary nature. Despite the fact that they themselves do not carry out banking activities, the existence of these organizations is impossible without the existence of credit institutions that carry out banking activities.

To the fifth group of the second level of the banking system includes bank payment agents - organizations that, in addition to carrying out other activities, are engaged by banks on a contractual basis as agents to carry out banking operations of transferring funds without opening bank accounts on the basis of the Law on the National Payment System.

The third level of the Russian banking system form unions and associations of credit organizations, being legal entities - non-profit organizations created to protect and represent the interests of their members, coordinate their activities, develop recommendations for the implementation of banking activities and solving other joint problems of credit institutions. Unions and associations of credit organizations can be separated into an independent level of the banking system on the principle of the absence of direct power influence on them from the Bank of Russia and the DIA, which form the first level of the banking system.

Non-profit organizations, unions and associations of credit institutions do not have the right to carry out banking operations, such as, for example, bank payment agents. They are not related to banking operations even at an indirect level. This is how they differ from bank holding companies and BKIs. Accordingly, the Bank of Russia does not have the right to regulate their activities. Nevertheless, unions and associations as legal entities are formed by credit institutions, actively participate in promoting their interests at the legislative level and have a significant influence on the regulatory regulation of banking activities. Their opinions and suggestions are taken into account in the preparation of legislation on banks and banking activities, on deposit insurance and on bank accounts, in the preparation of regulatory documents of the Bank of Russia and the Government of the Russian Federation.

In Russia there are currently more than 50 banking associations and unions, the largest of which are the Association of Russian Banks and the Association of Regional Banks of Russia.

Association of Russian Banks established in 1991, is a non-governmental non-profit organization that unites, as of January 2013, 518 banks and other credit institutions, which own over 90% of all assets of the Russian banking system, as well as 208 other organizations whose activities are related to the functioning of financial credit system of the Russian Federation. This Association includes all the largest banks of the Russian Federation, 55 banks with full foreign participation in the authorized capital, 15 representative offices of foreign banks, as well as all members of the big four auditing agencies.

Association of Regional Banks of Russia was created in 1990 with the participation of 37 banks as the Association of Joint-Stock Commercial Industrial and Construction Banks. Now the Association is a non-governmental non-profit organization that voluntarily unites banks and other legal entities

in order to coordinate activities to ensure the protection of their rights and represent the common interests of its members in government and other bodies. In 1999, the Association was renamed the Association of Regional Banks of Russia. As of January 2013, the Association has more than 450 members. Among them are large systemically important credit institutions of an all-Russian scale, banks with foreign capital, non-bank organizations providing services to financial and banking organizations, public organizations, and the media.

Despite the apparent heterogeneity of the above elements of the banking system of the Russian Federation, it is nevertheless centralized, since the existence of all its elements is directly determined by banking activities. But since the functions of regulating banking activities and supervising them in accordance with the laws on banks and on the Bank of Russia are concentrated in the hands of the Bank of Russia, then, therefore, it is the Bank of Russia that is the central link that “cements” the banking system of the Russian Federation.

It should be noted that, along with the above elements of the banking system, there are also several types of organizations operating on the territory of the Russian Federation that have the right to carry out transactions that are similar to the banking operations specified in the Banking Law. These include, in particular:

• – pawnshops operating on the basis of the Law on Pawnshops and issuing loans at interest secured by property;
• – credit cooperatives operating on the basis of the Law on Credit Cooperation, providing loans to their members (shareholders) to meet their financial needs;
• – microfinance organizations operating on the basis of clause 8 of Art. 12 of the Federal Law of July 2, 2010 No. 151-FZ “On microfinance activities and microfinance organizations”, issuing loans within a fixed amount (up to 1 million) to an unlimited number of persons;
• – Federal Postal Service, operating on the basis of the Federal Law of July 17, 1999 No. 176-FZ “On Postal Services” and carrying out, among other activities, also transfers (postal) funds;
• – payment agents – organizations that do not belong to the above category of banking agents, operating on the basis of the Federal Law of June 3, 2009 No. 103-Φ3 “On the activities of accepting payments from individuals carried out by payment agents”, and, in addition to other activities, carrying out money transfers funds without opening bank accounts on the basis of agreements with organizations - recipients of funds;
• – insurance organizations operating on the basis of the Law of the Russian Federation of November 27, 1992 No. 1015-1 “On the organization of insurance business in the Russian Federation” and issuing bank guarantees in accordance with Art. 368 and other norms of Ch. 23 Civil Code of the Russian Federation;
• – Federal Treasury, which carries out activities on the basis of Art. 116.1 of the Budget Code of the Russian Federation opening and maintaining personal accounts of administrators, managers and recipients of budget funds to record transactions with budget funds.

However, despite the implementation of these operations, the above organizations cannot be attributed to the banking system because:

• – these operations are carried out by them on the basis of the laws in accordance with which they were established and do not require licenses issued by the Bank of Russia;
• – the combination of operations carried out by them does not form the totality necessary for banking or non-banking credit organizations.

Accordingly, the activities of the listed organizations are not banking in the legal sense of this term.

Using the example of these organizations, it becomes obvious that defining the elements of the banking system only through their relationship to the implementation of banking operations is inappropriate, since the entities included in the system according to this criterion fall out of the single basis used to build the system - banking activity.

Modern banking system of the Russian Federation (institutional aspect)– a set of organizations directly engaged in banking activities or individual banking operations, as well as organizations and their associations, the existence and activities of which directly depend on organizations engaged in banking activities.

The essence of the banking system of the Russian Federation, its levels

Definition 1

Banking system of the Russian Federation is a set of interrelated elements, including the Central Bank (Bank of Russia) and various financial and credit organizations (commercial banks and other credit and settlement institutions), often united in holdings, as well as banking legislation and banking infrastructure.

Thus, in Russia the banking system is two-tier. Its upper level is represented by the Central Bank of the Russian Federation, the lower - by various credit organizations (banks and non-bank credit organizations), as well as representative offices of foreign banks.

Credit organisation is a legal entity whose main purpose is to make a profit in the money market and capital market. Credit institutions can carry out their activities on the basis of a license issued by the Megaregulator - the Bank of Russia (the Central Bank of the country) and have the right to carry out banking operations provided for by the Federal Law “On Banks and Banking Activities”.

Bank is a credit institution that has the exclusive right to carry out the following operations:

• attracting funds from legal entities and individuals to deposits
• placement of raised funds on one’s own behalf and at one’s own expense on terms of payment, repayment, urgency
• opening and maintaining accounts of legal entities and individuals, etc.

Non-bank credit organization (NPO) is a credit institution that has the right to carry out certain banking operations (the list of which is approved by the Bank of Russia). In general, non-banking financial institutions can carry out credit, deposit and settlement operations, as well as collect funds, bills of exchange, settlement and payment documents, etc.

Banking group is an association of credit institutions in which one of the credit institutions has a significant influence on the decisions made by the management bodies of other organizations that are part of the group.

Bank holding is a corporation or bank that owns a share of the share capital of one or more credit institutions, which is sufficient to exercise control over them.

Basic elements of the banking system of the Russian Federation:

• banking infrastructure
• credit organizations
• regulatory framework.

Banking infrastructure

For banks to effectively perform their economic functions, they need to provide a number of important services that can be provided banking infrastructure. It is worth noting that in recent years the importance of banking infrastructure has only increased.

Definition 2

Under banking infrastructure is understood as a set of institutions that create the necessary conditions for the effective functioning of the banking system and the implementation of banking activities, as well as facilitating the creation and delivery of banking services to end consumers.

The main institutions of banking infrastructure include, first of all:

• independent payment systems that facilitate efficient settlements between banks and organizations (for example, the SWIFT system) and payment transactions with plastic cards (MasterCard, VISA, UnionPay, etc.)
• deposit insurance system
• audit firms
• legal and consulting firms that help banking institutions develop their business, which can also represent the interests of credit institutions when interacting with authorities and consumers of financial services
• organizations providing software and other technological solutions
• educational organizations that train banking specialists, improve their qualifications, organize various courses and seminars, etc.

In the Russian financial and banking sector, two definitions are especially widely used - credit and banking systems. These two concepts have significant differences, despite the fact that they may seem similar.

Unlike the credit system, the banking system is not understood as a collection of several banking organizations, but as a union into one large group of structures such as the Central Bank and divisions of foreign banks opened in Russia.

What is the banking system

At the legislative level in Russia, the concept and structure of the Russian banking system were established. The main Russian banking branch - the Central Bank of the Russian Federation - has several divisions. Each of them is quite significant and a separate link in the structure. These links include various branches of foreign banks, as well as branches of Russian organizations.

No organization operating in a group of credit institutions may seek to obtain benefits and profits, as this would be considered a violation of the law. This applies to all divisions of the banking structure. Groups of credit institutions and holdings can be created.

Main features:

• the presence of common elements aimed at achieving certain goals;
• special properties that are important in banking;
• interchangeability of various elements;
• high dynamism;
• closed type of business management;
• self-regulation.

The elements of this system also include specialized structural financial elements that perform many functions, but do not have the status and license of a bank. The main characteristic feature of the main Russian bank is that it performs two very important functions - undertakes all the tasks of an economic body, but is also a government agency. This imposes certain powers and features on its activities. Despite the fact that the Central Bank of the Russian Federation is considered a government body, it is not a source of executive power.

The banking system of the Russian Federation – its structure and main features

Experts have identified the structure of the banking system of the Russian Federation:

• issuing, central Russian bank, performing all basic functions;
• commercial branches, performing special special functions, as well as universal and savings. It is not uncommon to find investment and mortgage organizations on the market;
• additional, independent organizations– pawnshops, insurance companies.

The main financial organization of the country, which is the repository of reserves of commercial institutions, is the Central Bank of Russia. He not only takes on the functions of a creditor, but also pursues a very important goal, organizing and executing mutual deductions for all monetary obligations.

Also, it should be noted what is included in the structure of the banking system of the Russian Federation:

1. The main, central management apparatus.
2. Institutions located in different regions of the country.
3. Settlement centers, cash centers.
4. Computing and Documentation Centers.
5. Field institutions.
6. Educational and security institutions.

The presence of a functional structure ensures the existence of some separate institutions. These include, for example, Management Departments.

Functional credit system: structure and features

The definition of a functional system should be understood as separating credit services provided by banks into a separate group. This includes consumer, commercial and mortgage loans not only to citizens, but also to legal entities.

Each type of loan has its own characteristics and is part of the structure:

1. Commercial– issued when performing certain trade transactions in the event that it is necessary to defer payment for goods to the supplier. An invoice or bill of exchange is issued.
2. Consumer– a small loan issued to the population for needs, for example, for the purchase of goods.
3. Mortgage– a loan issued for a long term for the purchase of real estate. May be issued on bail. This type of loan can only be obtained from a specialized institution.
4. Tax- a deferment issued by the state so that the taxpayer has the opportunity to repay the debt.
5. State– some of the loans are issued by the state, which is not only a guarantor of ensuring and respecting the rights of all parties, but also a creditor. It can also act as a borrower of funds.

The central office - the Central Bank of the Russian Federation - regulates the activities of all organizations that issue credits and loans to the population, both short-term and long-term.

Basic concepts and structure of the institutional system

Various organizations operate in the credit sector. Their totality is considered a functioning institutional system. The structure of such a system looks like this:

• Central Bank;
• an integral banking group, which includes organizations that provide mortgage and savings services to the population;
• non-banking institutions - pawnshops, insurance companies.

The basis of the structure is made up of credit institutions that carry out activities based on placing and attracting money. They can be banking and non-banking. The main part of the system is considered to be the divisions of banks operating in Russia. They constitute a specific group, and the activities of such banks are carried out in accordance with the norms of the current general mechanism.

Basic elements of the Russian banking system

The initial and most important components of the system in Russia include the internal infrastructure of financial institutions, credit divisions, as well as norms and laws issued to regulate activities. In Russia, to carry out their main functions, banks use some services defined by the banking infrastructure.

No bank or credit organization could carry out its activities without the existence of such institutions as:

• common systems for making payments not only in Russia, but throughout the world - Visa and MasterCard;
• organizations involved in insuring customer deposits, ensuring the safety of all money deposited in the bank;
• conducting an independent audit and preparing an audit report;
• consultations on legal issues, in particular in the field of conducting activities in the financial market;
• departments for training and retraining of specialists.

The Russian Constitution and the law issued to regulate banking activities specify the rules that must be followed by all banking organizations.

Three-level system model

After the adoption of the law “On Credit Consumer Cooperatives” in Russia, banks acquired the main features of a three-tier system:

1. First, top level: The main Russian branch of the bank is the Central Bank. This can also include the main directorate and department, as well as settlement centers and national branches.
2. Second level, intermediate: organizations that have the right to operate in the field of commerce. In particular, they carry out financial transactions. This also includes those organizations that operate separately.
3. Third, lower level: consumer and agricultural cooperatives.

The division into levels was made to ensure that the system worked smoothly, and each department performed its functions.

Classification of Russian banks by functions performed

A certain classification can be distinguished by distributing all types of banks and credit organizations according to the functions they perform and the form of their activities:

• in accordance with the functions performed– issuing organizations, banks with deposit accounts, commercial branches;
• according to the form of conducting business from the point of view of law– CJSC and OJSC;
• by type of ownership– distinguish between private and public. There is also another type - mixed banks;
• by type of operations performed– carrying out specialized operations, or universal banks;
• depending on what operations are performed, banks may be- specialized, universal;
• by operating branches and their number– without a branch or with branches;
• by type of service and industry– general, national, international.

The activities of various services and agencies that are part of the structure are necessary to ensure the functioning of banks.

Historical features of the creation of the system and its formation

The structure of the Russian banking system was created historically, since without a clear organization of activities, the work of banks is impossible. Development took place over time. Several stages can be distinguished:

1. Creation of a developed, complete system consisting of several large, specialized banks.
2. Creation of a legal framework, publication of laws regulating banking activities.
3. Changes in laws associated with the collapse of the USSR and the formation of a full-fledged banking system, consisting of two levels - the Central Bank of the Russian Federation and commercial branches.

Thus, in the process of forming the structure, various stages, recessions and ascents were passed:

• active development and improvement of the system;
• destabilization;
• the emergence of a global crisis in the system;
• recovery period;
• improvement of activities, development of structure in the context of a global, large-scale crisis in the economy.

High inflation contributed to the development of the banking system, in particular, credit institutions. At the same time, long-term lending was not carried out, since interest rates on loans, even high ones, did not cover inflation. Simultaneously with the creation of laws before the collapse of the USSR, many large banks became the main emerging system.

Structural divisions of the banking system - credit and financial institutions

At its core, the banking system is the main element of various associations. System components:

1. Unions and divisions of organizations included in the “credit” group: can carry out any financial activity without pursuing the goal of making a profit.
2. International banks: International banks opened on the territory of Russia are independent, since, in accordance with concluded agreements, they can carry out their activities without coordinating them with the Central Bank.

Some organizations and credit institutions, in turn, are part of the system and may be institutions of national rank.

Main structural elements of the banking system

In the process of developing the banking infrastructure, the following elements were identified to normalize activities:

1. Legal acts, norms aimed at regulating activities, determining the status of an organization. Without drawing up legal documents, including a license, the bank cannot operate. Otherwise, a violation of the law may be recorded.
2. To protect our own and client interests, certain legislative norms apply. Thus, commercial banks must independently establish rules for conducting business. This often has a negative impact on work and leads to errors.
3. Processing the received data on a computer, creating a database for data analysis. This is necessary in order to establish a workflow.
4. Bank divisions, management structure.

The external structure of the bank includes personnel, information and scientific support.

Main sectors of the structure

The banking structure is also divided into several sectors. This division is necessary to improve work efficiency and create new directions that will simplify activities. There are three sectors in the system:

• organizations issuing consumer loans;
• leasing institutions;
• land banking organizations.

The banking system is, first of all, formed by the banks themselves. They can carry out their activities and develop successfully only in close cooperation with other structural elements, which, first of all, include the banking infrastructure.

Bank concept comes from the Italian language, and translated means bench, table. Banchieri was the name given to money changers and moneylenders in medieval Italy.

Bank- This financial institution which carries out various types of transactions with money and securities. Banks are financial and credit institutions that provide financial services to the government, individuals and legal entities. Bank properties:

• making a profit;
• carrying out banking operations;
• opening and maintaining bank accounts for individuals and legal entities;
• activities based on a state license;
• lack of rights to engage in trading, manufacturing or insurance activities.

Types of banks not numerous: central banks and commercial ones. Central banks- regulate the banking system at the state level, including the issue of national currency. Commercial banks conduct business activities in the banking system.

There are three types of commercial banks:

• investment banks (investments, securities);
• savings banks (deposits, deposits);
• universal (all types of banking activities).

Functions of banks.

1. Storing client money: the first historically, and still one of the main functions of the bank.
2. Transfer of money from one client to another by bank transfer (by changing the relevant records).
3. Loans(loans have a stimulating effect on the production sector of the economy and on entrepreneurship; in addition, another positive aspect of this function is the creation of additional money supply).
4. In the resources of banks, attracted and borrowed capital prevails over their own, which entails increased responsibility to client depositors and creditors.
5. Simultaneous work with clients from different fields of activity, including with opponents (competitors).

Bank resources consist of equity capital and borrowed funds. Equity capital is a bank's reserve fund, a means of protection in the event of a bank's loss of liquidity and the need to return deposits. Own capital consists of:

• authorized capital (the minimum amount of bank property);
• funds from profits;
• additional capital (income from the sale of securities, exchange rate differences and differences in the revaluation of fixed assets).

Raising funds from bank resources is:

• deposits of individuals and legal entities;
• interbank loans;
• bank bills and bonds.

Banking system.

Banking system is a complex of all types of national banks and credit institutions. Structure of the banking system consists of two levels.

At the top level is the central or issuing bank, which regulates the activities of the entire system. At the lower level are commercial banks (universal and specialized - investment, savings, mortgage, credit, etc.).

The main elements in the infrastructure of the banking system:

• legislative norms;
• regulations for transactions;
• accounting, reporting and database processing;
• structure of the management apparatus (management).

Banking infrastructure is something without which the banking system cannot develop normally; it represents for banks the same regulator of behavior as moral and legal norms for humans.

Speaking about banks and the banking system, one cannot fail to mention the concept bank secrecy- a kind of code of honor for the bank. In some countries, all bank employees are prohibited from disseminating information about clients, their accounts and the movements of funds.

Banking Law Rozhdestvenskaya Tatyana Eduardovna

6. Banking system of the Russian Federation

Currently, in the Russian Federation, as in most countries of the world, there is a two-tier banking system.

Part 1 art. 2 of the Banking Law contains a provision that banking system The Russian Federation includes the Bank of Russia (upper level), credit organizations, as well as branches and representative offices of foreign banks (lower level). Under foreign bank means a bank recognized as such under the laws of the foreign state in whose territory it is registered.

The Law takes a narrow approach to defining the elements of the banking system: it includes only entities vested with the right to directly carry out banking operations (with the exception of representative offices of foreign banks).

The Banking Law also mentions banking groups, bank holding companies, unions and associations of credit organizations.

Banking group An association of credit organizations, which is not a legal entity, is recognized in which one (parent) credit organization directly or indirectly (through a third party) has a significant influence on decisions made by the management bodies of another (other) credit organization (credit organizations). Significant influence here means the ability to determine decisions made by the management bodies of a legal entity, the conditions for its business activities due to participation in its authorized capital and (or) in accordance with the terms of the agreement concluded between legal entities that are part of the banking group and (or ) to the composition of a banking holding company, to appoint a sole executive body and (or) more than half of the composition of the collegial executive body of a legal entity, as well as the ability to determine the election of more than half of the board of directors (supervisory board) of a legal entity.

Bank holding company a non-legal entity is recognized as an association of legal entities with the participation of a credit organization (credit organizations), in which a legal entity that is not a credit organization (the parent organization of a banking holding company) has the opportunity, directly or indirectly (through a third party) to exert a significant influence on decisions made management bodies of the credit organization (credit organizations).

Unions and associations are non-profit associations of credit institutions (non-profit organizations) created to protect and represent the interests of their members, coordinate their activities, develop interregional and international relations, satisfy scientific, information and professional interests, develop recommendations for the implementation of banking activities and other solutions joint tasks of credit institutions. Unions and associations of credit organizations are prohibited from carrying out banking operations.

According to Art. 2 of the Law on Banks, the specified structures (banking groups, bank holding companies, unions and associations of credit organizations) are not directly included in the banking system of the Russian Federation, however, other points of view are expressed in the literature.

Control questions

1. Formulate the features of banking law.

2. What is meant by banking law?

3. What is the subject of legal regulation of banking law?

4. Name the main methods of legal regulation inherent in banking law.

5. List the sources of banking law.

6. List the main federal laws regulating banking legal relations.

7. Give a general description of the Federal Law “On the Central Bank of the Russian Federation (Bank of Russia)”.

8. Give a general description of the Federal Law “On Banks and Banking Activities”.

9. What regulations does the Bank of Russia adopt?

10. What is the role of international law in regulating banking activities in the Russian Federation?

11. What elements are included in the banking system of the Russian Federation?

12. What is meant by a banking group? bank holding company?