INFLUENCE OF ACCOUNTING INFORMATION ON THE LEVEL OF FINANCIAL SECURITY OF SYSTEMICALLY IMPORTANT BANKS
INFLUENCE OF ACCOUNTING INFORMATION ON THE LEVEL OF FINANCIAL SECURITY OF SYSTEMICALLY IMPORTANT BANKS

Summary/Abstract: Introduction. Dynamics and inconsistency of market changes caused by the current stage of economic development induce the increased deregulation of cash flows in time and volume. The most important component of the reproductive relationships implementation mechanism is the banking system, so the main task should be prevention of financial danger for systemically important banks, which is the key to timely responding to accounting information signals. Purpose of the article is development the approaches to determine the level of financial security of systemically important banks taking into account the influence of accounting information. Results. Banking system has a specific role in the effective functioning of cash flow and the course of economic processes in the state, consisting in making payments, financing of other business entities and risk transformation. A key basis for the regulation of bank activity is accounting information, because it is the basis for the model development of multi-version management decisions which directly affect the level of financial security of systemically important banks. The accounting information allows determining the key stability indicators of banking sector. An effective tool to classify systemically important banks according to these indicators is trigonometric analysis, which graphically visualizes the results on the unit circle. That allows defining the level of financial security of systemically important banks and make comparisons between them. Among the mechanisms for providing the financial security of systemically important banks under the influence of accounting information signals, the decisive role have the mechanisms which operate at the level of a state and region, because they are the basis for the internal mechanisms development to increase the level of financial security of certain banks. Conclusion. The key to raising the level of financial security of systemically important banks is development of effective accounting support and the financial risk management system that can respond to the dynamic change of updated information. The effective system creation of crisis early identification and prevention under the influence of accounting information signals allows the bank to implement timely the restructuring of its assets and liabilities in order to minimize the financial risks and provide the functioning stability of the banking system.

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