Electronic Issue "Scientific Research"

ISSN: 1312-7535
Title MacroEconomic Environment as a Factor of Stability of the Banking System
Authors Elena Stavrova

Abstract

The problem of providing a steady development of the banking system takes a key position in the complex of economic problems in the transitional period. In the last two decades the economy of Bulgaria has undergone significant changes thus causing an alteration of the macroeconomic environment of banks. Under the conditions of constantly complicating economic, social, political and institutional interrelations of the credit institutes with other subjects of economy and society, the rate of the interdependence and dependencies lying at the root of the phenomena and the developed general theoretical bases, are a prerequisite for defining and solving of this intricate complex of problems. The major principles of stability of the banking sector of quantitative and qualitative factors, influencing the stability of the banking system, are studied in the article. A model for finding this interdependencies between the major indicators of the status of the banking system and the macroeconomic condition and factors influencing its stability, is produced. KEY WORDS: stability of the banking system, budget deficit, mutual gearing (indebtedness) between companies, economic system, customers' base of the bank, product specialization, principles of banking system stability, factors influencing the stability of the banking system.


References

1. Alexandrov, St., The Banking System is the Circulatory System of Economy, Capital Market, No 5 / 1998
2. Vucheva, Hr., Economic Policy in the period 1991-2000, "Stopanstvo" University Publishing House, S., 2001, 28-209
3. Trifonova, S., Money Board, Banking System and Financial Development, "Stopanstvo" University Publishing House, S., 2002, (269-290).


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