Regulatory responses to the Chinese shadow banking development

Shadow banking systems were developing rapidly in the Western economies during the last two decades. Research from recent years show that within the last years equally important process of shadow banking development occurs in some emerging markets, and among others, in China. The system was not only a sophisticated part of China’s financial market, but played very important role in the development of the Chinese economy. The aim of this article is a description of the mechanisms of shadow banking development in China, characteristics of the main threats of this system and the regulatory approach in the country. Despite many threats, the shadow banking system plays an important role in the Chinese economy. There is a need for its regulation and support for further development

The Foreign Direct Investments in the United States during the period of 1980-2015

The aim of this article is to examine the Foreign Direct Investments (FDI) in the United States during the period of 1980-2015. It was analyzed the flows and stocks of these investments, their structure with the division into the main sectors of industry, the major investment partners and the branches of industry in which the United States are connected with the rest of the world through manufacturing processes. On the basis of the size and structure of FDI flows between the United States and its' major investment partners it can be concluded that developing countries are not the major investment partners for the United States, even in "manufacturing" investment outflow, but the developed countries have a more important position in the area. In the past the main motives for FDI were: market-seeking and efficiency-seeking. The main motive which drives the investments from emerging markets to the United States during the last several years is the strategic asset-seeking. The state policy in the United States towards the FDI should be very subtle

The process of reforming the International Monetary Fund

W ciągu ostatnich kilku dekad stopniowo malało znaczenie MFW w gospodarce światowej. Było to spowodowane procesami globalizacji gospodarek i rynków nansowych. Globalny kryzys nansowy potwierdził, że istnieje potrzeba zreformowania działalności Funduszu. Celem artykułu jest wskazanie przyczyn podejmowanych reform MFW, kierunków niezbędnych działań w tym zakresie, a także charakterystyka reformy kwot i reformy działalności kredytowej, które miały miejsce w okresie 2010-2016.during the past few decades, the role of the IMF in the world economy has been gradually diminishing. It was caused by the process of globalization of the economy. The last nancial crisis has con rmed that there is a need to reform the IMF. The aim of this article is to identify the causes of these reforms, their implementation, and the characteristics of the reforms of the quota and lending activities of the Fund, which were undertaken during the period of 2010-2016

The fintech transformation of banking : governance dynamics and socio-economic outcomes in spatial contexts

Objective: The objective of the article is to identify and systemize the governance dynamics and related socioeconomic consequences of the fintech transformation in banking, while acknowledging spatial contexts. Research Design & Methods: The research framework comprised Global Production Networks (GPN), Global Value Chain (GVC), and co-evolutionary approaches to guide a systematic literature review in the Scopus, Web of Science, and Taylor & Francis databases for 2016-2021. The final sample comprised 76 sources that became the basis for selective coding and the synthesis of the results. Findings: Fintech impacted banking governance by creating a dual and interrelated system of global financial networks and a ‘mosaic’ of territorial financial ecologies and ecosystems, where incumbent banks held an important but not exclusive position. The fintech-enhanced governance transformations had both positive socioeconomic effects (improved efficiency, expanded range of services, and inclusion of unbanked or under-served customers) and negative effects (over-indebtedness, surveillance, and exclusion of some customers). Wider socio-economic consequences refered to sustainable development and changes in economic and social behaviour. Implications & Recommendations: A research framework and agenda for future studies related to the dynamics of fintech-driven governance in banking have been elaborated. The article derives the immediate and wider economic and social consequences of fintech-driven transformations. The results can also be applied in public policies oriented towards sustainable socio-economic development. Contribution & Value Added: The study provides theoretical and policy-relevant contributions. Firstly, it broadens the research on the transformation of banking governance in the spatial context. Secondly, it contributes theoretically by proposing a research framework of GVC and GPN governance augmented by a co-evolutionary perspective. Thirdly, the article informs policy that seeks financial inclusion for cohesive and sustainable development

Blockchain and cloud platforms in banking services: A paradox perspective

PURPOSE: The banking sector is under intense pressure from digitalization. One of the accompanying processes is the development of digital platforms and platform ecosystems in banking services. The paper aims to present the dynamic pattern of behavior among partners stemming from the tensions between governance costs and co-created value within platforms in banking services. METHODOLOGY: The study employs an approach based on a systematic literature review of 54 publications selected from Scopus and WoS databases. We applied an approach that consists of two steps. The first step of the research was a literature review and critical analysis of the sources related to our research questions. In the second step, we propose a causal loop diagram research procedure, which is a research system dynamic tool used in modeling system dynamics. FINDINGS: There are different types of platforms, and among the most important are blockchain-based and cloud-based platforms. In both types, the relations between owners, complementors, and customers are important. The tension between governance costs and co-created value informs behavior patterns among platform partners. The degree of interconnectedness between platform participants and the level of centralization of banking services depends on the platform type. The study highlights that blockchain-based and cloud-based platforms play a significant role in the transformation of the current banking services. The choice of platform type has important implications for the platformization of banking services. IMPLICATIONS: The pattern of behavior among platform partners identifies the self-reinforcing dynamics that suggest how managers can navigate the tension over time amidst the asymmetry of benefits and risks. The research findings can be informative for financial regulators and they help work out a policy that reduces the asymmetry of benefits and contributes to the more sustainable development of digital platforms. ORIGINALITY AND VALUE: This paper addresses the paradox perspective on the banking sector changes during the intensive processes of digitalization and the creation of new ‘platform ecosystems.’ This topic has not been studied in this context so far

An analytical framework for strategic alliance formation between a cooperative bank and a fintech start-up : an Italian case study

CEL: Celem artykułu jest identyfikacja cech charakteryzujących analizowane podmioty, motywacje oraz procesy tworzenia aliansów strategicznych pomiędzy małym bankiem spółdzielczym a start-upem typu fintech. Artykuł wypełnia lukę badawczą w literaturze dotyczącej tej tematyki oraz wyjaśnia czynniki sukcesu aliansu strategicznego zawieranego pomiędzy badanymi podmiotami. METODYKA: Zastosowano jakościowe podejście badawcze, które składa się z dwóch etapów. Pierwszym krokiem było opracowanie ram analitycznych, umożliwiających zrozumienie kluczowych czynników sukcesu w tworzeniu aliansów strategicznych między bankami i start-upami typu fintech. W drugim kroku zastosowano ramy analityczne do analizy studium przypadku, którym był alians strategiczny pomiędzy Banca Popolare di Cortona i start--upem NetFintech. WYNIKI: Z przeprowadzonych badań wynika, że istnieją różne motywy tworzenia aliansów strategicznych między bankami i start-upami typu fintech. Z teoretycznego puntu widzenia motywacje banków opierają się na outsourcingu, innowacjach, ewolucji modelu biznesowego, przewadze konkurencyjnej, oszczędnościach, poprawie jakości świadczonych usług oraz uczenia się. Główne motywy fintechów to dostęp do klientów, pożyczki, licencja bankowa, ekonomia skali, zaufanie i wiarygodność. W części empirycznej ustalono, że głównymi czynnikami sukcesu są strategiczne dopasowanie i hybrydyzacja, kompetencje i doświadczenie, wartość kulturowa i bliskość terytorialna oraz profesjonalizm. IMPLIKACJE: Wyniki poszerzają wiedzę na temat aliansów strategicznych między bankami spółdzielczymi i start-upami typu fintech. Głównym ograniczeniem jest to, że artykuł opiera się tylko na jednym studium przypadku i dotyczy wyłącznie banków spółdzielczych, pomijając inne rodzaje banków. Może on być punktem wyjścia do dalszych badań w tym obszarze. Opisane studium przypadku może być dobrym przykładem do porównywania innych przypadków takich aliansów. Banki spółdzielcze i fintechy typu start-up zaangażowane w alianse strategiczne powinny dzielić swoje zaangażowanie na poziomie zarządzania. Istotne są również procedury tworzenia aliansów strategicznych. ORYGINALNOŚĆ I WARTOŚĆ: Artykuł wnosi istotny wkład do dotychczasowych badań na temat transformacji sektora bankowego pod wpływem technologii finansowych w dwóch obszarach. Po pierwsze opracowaliśmy teoretyczny model kluczowych czynników sukcesu podczas budowania aliansów strategicznych między bankami a start-upami typu fintech. Po drugie, zastosowaliśmy nasz model w kontekście kształtowania aliansów strategicznych między bankami i startupami na lokalnym rynku we Włoszech. W przeciwieństwie do wcześniejszych badań, które dotyczą głównie banków komercyjnych, nasz artykuł dotyczy relacji między bankami spółdzielczymi i start-upami typu fintech.PURPOSE: The paper aims to identify the characteristics of the entities involved, the motivations and the processes of forming strategic alliances between a small cooperative bank and a fintech start-up. The paper bridges the research gap in the literature and explains the success factors of strategic alliance between considered entities. METHODOLOGY: We applied a typical qualitative research approach that consists of two steps. The first step was to develop an analytical framework to understand the critical success factors for the strategic alliance formation between banks and fintech start-ups. In the second step, we applied the analytical framework for a case study analysis, considering the strategic alliance between the Banca Popolare di Cortona and the NetFintech start-up. FINDINGS: Our research shows that there are different motives for strategic alliance formation for banks and fintech startups. From a theoretical point of view, banks’ motivations are based on outsourcing, innovation, the evolution of the business model, competitive advantage, saving costs, improving service quality, and learning. The main motives for fintechs include access to customers, loans, banking license, economies of scale, trust, and credibility. In the empirical part, we found that the crucial success factors are strategic alignment and hybridization, competence and experience, cultural value and territorial closeness, and professionalism. IMPLICATIONS: The results develop the knowledge about the best conditions for cooperative banks and fintech start-ups strategic alliances. The main limitation is that the paper is based only on one case study and it is related to cooperative banks and does not embrace other groups of banks. For this reason, it can be a basis for further research in this area. The described case study can be a good example to compare other cases of such alliances. Cooperative banks and fintech start-ups involved in a strategic alliance should share the commitment at the governance level. Critical are also the procedures of the alliance formation. ORIGINALITY AND VALUE: This article provides two main contributions to the literature on the technology-driven transformations of the banking sector. First, we elaborated a theoretical framework of the critical success factors for the bank and fintech start-up strategic alliance formation. Second, we applied the framework with the bank–fintech start-up cooperation in the local market in Italy. Contrary to previous research, which focuses mainly on commercial banks, this article presents the relationship between cooperative banks and fintech start-ups

Threats arising from the policy of currency devaluation

The currency devaluation policy, implemented by developed countries after the last crisis, causes many negative consequences. It is defined as currency wars, with reference to similar situations in the twentieth century. The article describes the impact of currency devaluation that took place in recent years on the situation of the word economy. This policy may be beneficial if it takes into account the needs of all countries

Determinanty rozwoju przemysłu high-tech w Argentynie i Brazylii : przykład przemysłu lotniczego i farmaceutycznego

Kraje Ameryki Łacińskiej (LAC) starają się naśladować kraje wysoko rozwinięte w celu przyśpieszenia swojego rozwoju gospodarczego. Najbardziej aktywnymi są w tym obszarze Argentyna i Brazylia. Od początku pierwszej dekady XXI wieku oba kraje rozpoczęły poszukiwanie nowego modelu polityki przemysłowej. Szczególną cechą obecnego podejścia jest dążenie do wzrostu znaczenia przemysłu high-tech. Do istotnych gałęzi high-tech w Argentynie i Brazylii należą sektory: lotniczy i farmaceutyczny. Efekty rozwoju tych sektorów są zróżnicowane.Latin American countries (LACs) are trying to catch up with the developed countries. The most active in the field are Argentina and Brazil. Since the beginning of the noughties both countries have been searching for a new model of industrial policy. An important feature of such policy is the development of high-tech industry. Among high-tech sectors in Argentina and Brazil are aerospace and pharmaceutical sectors. The results of their development are diversified