Petetska A.S
Donetsk natsіonalny unіversitet ekonomіki
I. torgovlі іmenі Mikhail Tugan-Baranovskogo
lecturer Usachov V.A

The role of banks in the economy

Banks are an integral feature of the modern money economy, and their activities are closely linked to the needs of reproduction. Being in the center of economic life, serving the interests of manufacturers, banks may mediate the relationship between industry and trade, agriculture and population. Banks have a specific purpose, perform a specific function. As enterprises, regulatory monetary relations, performing diverse banking and other transactions, banks are subject to economic laws, general and specific legal requirements. Banks have their own inherent technology only to them. The bank is the real productive force. His work is directly related to the economy, ensuring continuity and acceleration of production, increase the wealth of society. Banks are able to do much to increase the production and exchange of material products of labor. As the economy is judged on the activity of banks. It is true, however, the reverse: as the banks are judged on the overall economic development of society. The banking system - is the most perfect creation. Historians believe that the first institutions whose functions were similar to those that serve today, modern banks appeared long before the factories, during the exchange of commodities between the states and their inhabitants. This is a collection of different kinds of national banks and credit institutions operating in the framework of the monetary mechanism. In banking, as well as in industry, free competition inevitably causes concentration. Some banks are absorbed by more powerful rivals, the other, keeping the formal independence, in fact, fall under the power of the stronger competitors. There is a merger, "interweaving" of the banks. The number of banks declining, but at the same time increasing their size, increases the volume of transactions. In each country, highlighted a few major banks, the accounts of which are collected a huge amount of available funds, looking for profitable use. Competition occurs both between banks and between the major unions of bank capital. In more recent tendency towards monopolist agreements, towards the unification of the national banks - a store of money. However, this or something similar, the interpretation of the bank not only reveals its essence, but also to hide his real purpose in the economy. Banking institutions varied. In modern society, the banks engaged in various kinds of operations. Not only did they organize cash flow and credit relations. Through them, is financing the economy, buying and selling securities, and in some cases, brokerage and property management. Lending institutions advise and participate in the discussion of legislative and economic programs, keep statistics, have their utility company. The impression is not about the specifics, but the diverse nature of the bank. In the discharge of its activities are connected its species, which can carry, and other institutions. The most widespread view of the current bank is its definition as an institution, as an organization. Moreover, the bank as an organization is facing close to the concepts of "charity", "social organization". Although the bank and performs a public mission, he, nevertheless, has little to do with these concepts. Often the bank is characterized as a body of economic governance. A similar idea with its roots based on the period when the banks of the private, cooperative, began to turn into a public body, when there was a state monopoly on banking, the bank, as it were merged with the state became part of the State apparatus, control over the economy. Oversight functions, tasks, alarms about the shortcomings and mismanagement in the enterprises with the acquired shade of their main destination. Hence, another interpretation banks. Large financial transactions - the placement of government debt, the organization of large corporations - are increasingly carried out not by any particular bank, but by agreement among several leading banks. In banking, as well as in industry, free competition inevitably causes concentration. Some banks are absorbed by more powerful rivals, the other, keeping the formal independence, in fact, fall under the power of the stronger competitors. There is a merger, "interweaving" of the banks. In assessing the role of the bank and its important to see the public purpose. The Central Bank often owned by the state. With operations at the macro level, it has a policy in the public interest, does not aim at making a profit. Profit commercial banks operate various forms of ownership. Their social purpose manifested in the fact that they work primarily for customers to meet their needs. The Bank, being the economic enterprise, can not engage in charitable activities. Money of its depositors, he has no right to cover the losses of insolvent borrowers. The number of banks declining, but at the same time increasing their size, increases the volume of transactions. In each country, highlighted a few major banks, the accounts of which are collected a huge amount of free funds seeking profitable applications. observed competition both between banks and between the major unions of bank capital. In more recent tendency towards monopolist agreements, towards the unification of the banks. Large financial transactions - the placement of government debt, the organization of large corporations - are increasingly carried out not by any particular bank, but by agreement among several leading banks. In common parlance the bank as part of the superstructure. In the central banking system (emission), the bank is defined as the country's main bank and lender of last resort. He is in state ownership and functions assigned to it by the total control of every commercial bank in the framework of a single monetary policy - the credit system. The central bank is intended to bring their operations into compliance with the overall economic strategy and is a key agent of the state of monetary policy, while the central bank are used primarily economic management methods.
Therefore, particularly with the establishment of a functioning banking system should be started out of the crisis situation prevailing in our country. At the present time, due to lack of trained personnel and the rapid growth of commercial banks in this area are not enough trained workers who have no special education.
All this leads to a deterioration in the economic situation in the country. It may be noted that during the prevalence of centralized control, splicing of the state apparatus to the bank machine bank really looked like this add-on. Loans are granted on the basis of the normative, policy-making resource allocation from the top, non-cash payments between enterprises were prescriptive in nature, the principle of "one bank to the client" did not give a basis for development of commercial relations in the banking sector. With the transition to the market situation of the bank in the economy substantially altered the nature and interpretation of it as a vehicle control (or part of the state apparatus of control) by itself anymore. The banking system today - one of the most important and indispensable structures of a market economy. It should be borne in mind that banks are not just a store of money and cash for their issuance and lending. They represent a powerful tool for structural policy and the regulation of the economy, implemented through the redeployment of financial and capital in the form of bank lending to the investment required for a business, the creation and development of industrial and social objects. Banks play a very important role in the economy.