Katranzhy L. The Financial Mechanism of Banking Capital Formation

The thesis addresses to improving the financial mechanism of banking capital formation in Ukraine providing the stability of banks and contributes to the development of the banking system and the economy as a whole. The term of banking capital and its modern theoretical concepts have been determined. Definitions and components of the financial mechanism of banking capital formation have been grounded. A concept for improving the financial mechanism of banking capital formation has been developed. Macroeconomic factors of banking capital formation have been analysed in terms of global and domestic experience. Prudential and market aspects of banking capital formation have been examined. International standards have been adapted for banking capital formation. Based on the construction and analysis of dynamic econometric model the structure of banking capital has been optimized considering prudential limitations. The theory of financial leverage and measurement of its effects in the banking sector have been elaborated.