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BUSINESS INFORM №11-2015

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51

Section: Finance, Money Circulation and Credit
UDC 336.712
Cherep A. V., Osypenko S. О.
Communal Bank as an Investment Component of the Socio-Economic Development of Territorial Communities (p. 314 - 319)

The article is concerned with substantiation of feasibility of establishing a communal bank, and determination of organizational-functional framework of its activities in the context of power decentralization in Ukraine. It has been determined that in Ukraine has been experience of participating in the formation of capital of banking institutions by the local self-governing authorities along with utility enterprises, nevertheless, given the best practices of domestic scientists, considering such institutions as communal banks is not realistic. Taking into account the changes in the legislative framework to strengthen financial decentralization, the article proposes the organizational-functional framework for a communal bank. The expediency of participation by local self-governing authorities together with utility enterprises in the formation of the equity capital of communal bank in the amount of 50% has been substantiated. Presence of a large potential of local self-governing authorities as well as utility enterprises, institutions and organizations in the formation of attracted funds of communal bank has been determined. Some priority directions of activity of communal bank have been suggested.
Keywords: communal bank, financial decentralization, local self-governing authorities, utility enterprises, administrative-territorial reform
Fig.: 1. Bibl.: 10.

Cherep Alla V. – Doctor of Sciences (Economics), Professor, Professor, Department of Finance, Banking and Insurance, Zaporizhzhia National University (66 Zhukovskoho Str., Zaporіzhzhia, 69600, Ukraine)
Email: [email protected]
Osypenko Svitlana О. – Assistant, Department of Finance and Credit, Dmytro Motornyi Tavria State Agrotechnological University (18 Bohdana Khmelnytskoho Ave., Melitopol, Zaporizka obl., 72312, Ukraine)
Email: [email protected]

Article is written in Ukrainan
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Reference to this article:
Cherep, Alla V., and Osypenko, Svitlana О. (2015) “Communal Bank as an Investment Component of the Socio-Economic Development of Territorial Communities.” Business Inform 11:314–319.


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