Achieving sustainable development of financial institutions has been at the forefront of the world agenda since the end of the recent economic crisis in 2008-2009. Prudent supervision of the banking sector is critical to reach this goal. Russia ranks third in the number of banks globally, after the United States and Germany. However, Russia’s major bank, The Bank of Russia, lacks the necessary resources to organize regular field inspections of a large number of its banks. This is why The Bank of Russia urgently needs a remote system to monitor the national-banking sector. This system should enable the most vulnerable banks to be identified and properly supervised to improve banking-sector stability.
The probability-of-default (PD) model constitutes a possible instrument to address this problem. The PD shows the likelihood of a bank failure over a fixed assessment period. This paper reviews binary choice models that attempt to describe, predict, and prevent defaults of Russian banks with regard to national-banking sector peculiarities. To achieve this, we have utilized the experience of PD model creation for emerging economies, i.e., BRICS and Eastern Europe. The majority of existing work on the Russian banking experience examines the collapse of the Russian banking system in 1998. However, the rules of the game and the economic environment have dramatically changed since that time.
Sustainable development of financial institutions has been on world agenda since the end of the recent crisis in 2008-2009. Prudent supervision of the banking sector is important to reach this goal. Russia takes third place in number of banks after the USA and Germany: there are about 900 operating banks. At the same The Bank of Russia lacks resources organize field inspections of a large number of banks regularly. That is why The Bank of Russia needs a remote system to monitor the national banking sector. The most vulnerable banks should be identified and supervised properly to make the banking sector more stable.
The probability of default model is a possible instrument to address this problem. The probability of default (PD) shows the likelihood of a bank failure over a fixed assessment period. This paper reviews binary choice models that attempt to describe, predict and prevent the defaults of Russian banks with regard to national banking sector peculiarities. We have used the experience of PD model creation for the emerging economies, namely, BRICS and Eastern Europe. The majority of existing papers about the Russian experience examine the collapse of the Russian banking system in 1998. However the rules of the game and the economic environment have dramatically changed since then.
In the winter of 1863, the first 13 Korean immigrants to Russia settled in the valley of the Tizinkhe River, which is located 5 km north of the Posyet Port of Novgorod Bay, across the Duman River at the border of Hamgyeong-bukdo. They were illegal residents and stateless, without possessing any official documents issued by either Soviet Russia or the Joseon Dynasty. In fact, their settlement in the area constituted a life-threatening action because they would be subject to summary execution if they were caught by border guards. In an effort to increase their security, Korean families requested official permission from First Lieutenant Rezanov at Novgrod to legitimately reside in the area, as well as secure his protection from the Red Turban rebellion, which involved horse-riding marauders in the Manchuria area. In response to this request, the Russian government not only authorized their legal residency in the area, but also provided them with food and agricultural supplies for farming.
One of the primary functions of scientific data is to serve as evidence for argumentation in scientific research (citation). The sharing and reuse of scientific data facilitates research progress and findings, increases exchange and comparison among academic fields and sub-fields, and accelerates problem-solving and disciplinary advancement (citations). For instance, the Text Retrieval Conference (TREC) requires participants to adopt a unified dataset released on the same track to collaboratively promote the resolution of issues related to information retrieval. In addition, the ArrayExpress Archive has become a major resource for the research community for reusing data from high-throughput functional genomics experiments.
Digital scientific data are extraordinary, in terms of both quantity and quality. Ever increasing data repositories, especially in the fields of biology, medicine, earth science, etc., are being developed and deployed (citations). Consequently, data-related research, such as data-use tracking (citations), motivations and influences of data-sharing (citations), and dataset evaluation is flourishing. These studies are committed to exploring the value of scientific data as a type of emerging academic resource. However, it is worth noting that the basis of the above endeavors is to extract data-use statements (DUS) from extant academic literature in an effective manner. DUS refers to identifying statements in academic literature which identify how scientific data are obtained, processed, and utilized by author(s). While previous studies have mainly focused on extracting data-sharing or data-citation statements, few studies have specifically examined extracting DUS. Furthermore, the approaches in previous studies are mostly semi-automatic or human-intensive.
Digital scientific data extraordinarily stands out both in quantity and quality. More and more data repositories, especially in biology, medicine and earth science, etc., are getting developed and deployed (citations).Consequently, data-related research such as data use tracking (citations), motivations and influences of data sharing (citations), and dataset evaluation flourishes. These studies are committed to exploration of the value of the scientific data as a kind of emerging academic resources. However, it is worthy of being noted that the basis of the endeavors above is to extract data use statements (DUS) from academic literature in an effective way. DUS refers to identifying the statements in academic literature which state how scientific data is obtained, processed, and utilized by author(s). Few studies have focused on extracting DUS while the previous studies are mainly on extracting data sharing or data citation statements. Furthermore, the approaches in previous studies are mostly semi-automatic or human-intensive.
Promoting digital certificates has proven difficult, even with a large amount of funding and effort. One example of this kind of promotion is the Hong Kong Government’s campaign in January 2000. Although the campaign was a failure, we can learn crucial lessons from it and avoid making similar mistakes in the future. Hong Kong Post is assigned the role of recognized CA under the Electronic Transaction Ordinance in Hong Kong. The Hong Kong Government orchestrated many activities to promote it, such as spending a tremendous amount of money on promotion and advertisements, in such venues as newspapers and television.
The cost of a digital certificate is HKD$50. In order to create a critical mass of personal users and to promote the development of electronic business, Hong Kong Post offered the general public an option to embed a digital certificate in their new smart identity card for one year for free. This free “e-Cert” program began in June 2003 and ended in March 2007.
This was a particularly expeditious concept because Hong Kong law requires all citizens to carry ID cards with them whenever they travel outside of their homes. Thus, users can always use digital certificates because their cards are always in their wallets. In this way, they are not burdened with having to carry an extra USB flash drive. This constitutes a unique program to Hong Kong. It was generally expected to be a success and that Hong Kong Post would generate an appropriate profit.
Hongkong Post is assigned the role of recognized CA under the Electronic Transaction Ordinance in Hong Kong. A vast amount of money has been spent on promotion and advertisements such as newspaper and television. The Hong Kong Government had arranged a lot of activities to promote it.
The cost of digital certificate is HKD$50. In order to create a critical mass of personal users and to promote the development of electronic business, Hong Kong Post offered the general public an option to embed a digital certificate in their new smart identity card with a year of free use. This free e-Cert program was started in June 2003 and ended in March 2007.
This was a good idea because all citizens are required to carry their ID card by Hong Kong’s law whenever they go outside their home. Thus users can always use the digital certificates because the card is always in the wallet. They don’t need to carry a USB flash drive. This is unique to Hong Kong. People expected that this operation will be a success and Hong Kong Post will make a profit.