The student's daily time budget consists of parts. Statistical study of the time budget of students

Main Characteristics Capital Form of Government President Territory Population Currency Singapore Singapore Parliamentary Republic Parliamentary Republic Tony Tan Tony Tan 714.3 km² (174th in the world) 714.3 km² (174th in the world) people (7 200 people/km²) people (7,200 people/km²) Singapore dollar SGD Singapore dollar SGD

2000: 2000: 2001: 2001: 2002: 2002: 2003: 2003: 2004: 2004: 2005: 2005: 2006: 2006: 2007: 2007: 2008: 2008: 2009: 2009: 2010 $ .9227 billion $91.1484 billion $90.5828 billion $93.3629 billion $109.3365 billion $123.5069 billion $139.125 billion $168.434 billion $166.7923 billion $175.9349 billion $213.1545 billion 239.6996 billion

Industry structure economy of Singapore Service sector: Service sector: Manufacturing industry: Manufacturing industry: Agriculture: Agriculture: 65.5% 34.4% 0.1% The main share of exports falls on engineering products (almost 40%). The state also exports oil products, chemical products, fabrics, clothing, and agricultural products.

Policies in crisis To support companies and provide employment, a stabilization fund of S$ 20.5 billion was allocated from government reserves to finance 5 priority areas: To support companies and ensure employment, a stabilization fund in the amount of S$20.5 billion to finance 5 priority areas: 1. Job retention 2. Encouragement of bank loans 3. Tax incentives 4. Support for families 5. Improvement of infrastructure

Job Preservation S$5.1 billion has been allocated to preserve jobs and a special Jobs Credit Scheme has been created that provides subsidies to companies to pay the wages of local workers. S$5.1 billion has been earmarked for job retention and a special Jobs Credit Scheme has been set up to provide subsidies to companies to pay wages to local workers. The Skills Program for Upgrading and Resilience pays a portion of the salary to workers undergoing (re)training. The Skills Program for Upgrading and Resilience pays a portion of the salary to workers undergoing (re)training.

Encouraging Bank Borrowing Approximately S$5.8 billion of government funds is earmarked to support bank borrowing. Thanks to the program, the government compensates for the probable losses of banks in the amount of 80% on loans up to S$ 5 million, and up to 75% on loans for the development of a trading business. Approximately S$5.8 billion of government funds is directed to support bank loans. Thanks to the program, the government compensates for the probable losses of banks in the amount of 80% on loans up to S$ 5 million, and up to 75% on loans for the development of a trading business.

Tax benefits The following measures have been taken to ensure cash flow: The following measures have been taken to ensure cash flow: 1. in 2009, a 40% discount on industrial and commercial property tax; 2. for one year there will be a 30% discount on the road tax for trucks Vehicle, buses and taxis; 3. Starting from 2010, the corporate income rate on profit will be reduced to 17%.

Supporting families The Singapore government has committed S$2.6 billion to help citizens weather the economic downturn. The Singapore government has allocated S$2.6 billion to help citizens weather the economic downturn. Large subsidies for the purchase of public housing. Large subsidies for the purchase of public housing.

Improving infrastructure Like many countries, Singapore is increasing spending on infrastructure development, which will lead not only to the creation of new jobs, but also to improve the image of the country as a whole. An amount of S$4.4 billion will be used to develop a network of roads and sewer systems, as well as infrastructure in the field of education and health care. Like many countries, Singapore is increasing spending on infrastructure development, which will lead not only to the creation of new jobs, but also to improve the image of the country as a whole. An amount of S$4.4 billion will be used to develop a network of roads and sewer systems, as well as infrastructure in the field of education and health care.

Singapore's military industry Singapore is the only ASEAN country with its own developed military industry. The state fully or partially controls this sector of the economy. Within the Singapore Technologies holding, military-industrial companies are grouped into four groups according to their areas. Singapore is the only ASEAN country with its own developed military industry. The state fully or partially controls this sector of the economy. Within the Singapore Technologies holding, military-industrial companies are grouped into four groups according to their areas.

Monetary Authority of Singapore Malay. - the central bank and the state financial regulatory authority of Singapore. Malay Penguasa Kewangan Singapura is the central bank and state financial regulatory authority of Singapore. President (Chairman) - Goh Chok Tong President (Chairman) - Goh Chok Tong Central Bank

As of November 2010, there were 121 commercial banks in Singapore, including 7 local and 114 foreign ones. As of November 2010, 121 commercial banks were operating in Singapore, including 7 local and 114 foreign ones. full set services, 50 wholesale banks and 38 offshore banks. Foreign banks, in turn, are represented by 26 full-service banks, 50 wholesale banks and 38 offshore banks. Singapore's banking sector also has 46 merchant banks. Singapore's banking sector also has 46 merchant banks. Banks of Singapore

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UFI STATE AVIATION TECHNICAL UNIVERSITY

FACULTY OF INFORMATION SCIENCE AND ROBOTICS

DEPARTMENT "FINANCE, MONEY CIRCULATION AND

ECONOMIC SECURITY»

COURSE WORK

in the discipline "Money, credit, banks"

on the topic: "Banking system of Singapore"

COMPLETED:

Student gr. EF-302 R.I. Nuriakhmetova

Assignment for term paper on the discipline "Money, credit, banks"

1. Theme of the course work "Banking system of Singapore"

2.Main content:

Analysis of the state of money circulation in the country, building a monetary system, the role of the central bank, the structure of the banking system, the features of banking operations; recommendations for improving the Russian banking system, taking into account foreign experience; settlement part.

3. Requirements for registration

The explanatory note must be drawn up in the Microsoft ® Word editor in accordance with the requirements of ESKD ESKD, ESPD, GOST, STP, etc.

4.Sources of information:

Textbooks on the discipline, lecture material, data from periodicals, the Internet, data from statistical collections.

Date of issue ________ End date ______________

Supervisor ___________________________

Plan - schedule for the course work

Name of the stage of work	Labor input, hour.	Percentage of the total complexity of execution	Deadline for submission to consultant
Receipt and approval of the task
Analysis of the theoretical foundations of the topic under study
Completing the task to the topic of the course work
Development of proposed activities
Compilation and execution of term paper and preparation for defense

Introduction

1.1 Short story Singapore

1.4 Comparison of the banking system of Russia and Singapore

Chapter number 2. Settlement part

Conclusion

Bibliography

Introduction

A stable monetary system is the basis for the normal functioning of the economy and the achievement of general economic equilibrium and equilibrium growth of the economy as a whole. Money is central to both the monetary system and the market economy as a whole. A change in the amount of money in circulation can significantly affect the level of income, prices, and output. In this course work, the monetary system of Singapore will be considered.

The relevance of the study is due to the rapid development of the country's economy. Singapore is among the rapidly developing countries of the southeast. This country has excellent financial infrastructure, political stability and legal system world level. Singapore is one of the largest Asian financial centers, not yielding to Tokyo and Hong Kong.

The subject of the study is the monetary system of Singapore.

The object of the study is the economy of Singapore.

Research objectives:

1. Consider the main historical aspects of Singapore.

2. Describe the monetary system of Singapore.

3. Conduct a comparative analysis of the banking system of Singapore and Russia.

Chapter number 1. Singapore banking system

1.1 Brief history of Singapore

In late 1818 Lord Hastings - the British Governor General of India - appointed Lieutenant General Sir Stamford Raffles to establish trading stations at the southern tip of the Malay Peninsula.

The British expanded their dominion over India and also established trade with China. They saw the need to create a port in order to "repair, revitalize and protect their merchant fleet", as well as to prevent any success of the Dutch East Indies.

After surveying other nearby islands by Sir Stamford in 1819 and the rest of the British East Indies, he settled on Singapore, which was to be their strategic trading post along the spice route.

Singapore eventually became one of the most important commercial and military centers british empire.

The island was the third in a row captured by Britain in the Malay Peninsula after Penang (1786) and Malacca (1795). These three British settlements (Singapore, Penang and Malacca) became outright settlements in 1826, under the control of British India.

In 1832, Singapore became the center of government for the three regions.

On April 1, 1867, the immediate settlement of Singapore became a British colony and was administered by a governor under the jurisdiction of the colonial office in London.

Soon there was a weakening of the British fortress. During World War II, Singapore was occupied by the Japanese. British Prime Minister Sir Winston Churchill called it "the worst disaster and the largest capitulation in British history".

After the war, the country faced staggering problems of high unemployment, low economic growth, inadequate housing, decaying infrastructures, labor strikes and social unrest.

However, it sparked a political awakening among the local population and gave birth to an upsurge of anti-colonial and nationalist mood, the slogan “Merdeka”, which means “independence” in Malay, became the personification of this.

In 1959, Singapore became a self-governing state under the British Empire with Yusuf bin Ishaq, the first Yang de-Pertuan Negara (translated from Malay as "He who is the master of a prominent state") and Lee Kuan Yew as its first and longest-term prime minister. (he held the post until 1990).

Prior to joining the Federation of Malaysia with Malaya, Sabah and Sarawak, Singapore unilaterally declared independence from Britain in August 1963.

Two years later, Singapore left the Federation following heated ideological conflicts between the Singapore government and a major political party called the People's Action Party (PAP), as well as the federal government of Kuala Lumpur.

On August 9, 1965, Singapore officially gained sovereignty. Yusuf bin Ishak was sworn in as the first president, and Lee Kuan Yew, in turn, remained prime minister.

With independence came dark, if not risky, economic days. In the words of Barbara Leitch Lepoer, editor of Singapore: A Country Study (1989): (Singapore: A Country Study) "Secession from Malaysia meant the loss of Singapore's economic continents, and Indonesia's policy of military confrontation directed at Singapore resulted in Malaysia's economic drying up." in this direction".

These problems prompted Singapore's leadership to focus on the country's economy. With a Cambridge law degree, Lee Kuan Yew took the helm of the government of Singapore, his rule was aggressive and export-oriented in the industrialization of labor, through an extensive incentive program to attract foreign investment.

After all, Singapore still had its strategic location in its favor.

Prior to 1972, one quarter of Singapore's industrial companies were either foreign-owned or joint ventures of companies under the control of large US and Japanese investors.

As a result, Singapore's stable political climate created favorable investment conditions and a rapid expansion of the world economy, with gross domestic product (GDP) doubling between 1965 and 1973.

With the economic boom of the late 1960s and 1970s new jobs were created in the private sector. The government began providing subsidized housing, education, health care and public transportation, and created new jobs in the public sector.

The central reserve fund of the country with a comprehensive system of sustainable social security has created compulsory contributions for employers and employees to accumulate the necessary capital for government projects and the financial security of the country's elderly workers.

In the late 1970s, the government changed its strategic thinking to high professionalism and labor-intensive technology, added value to industry, and abolished labor-intensive production.

In particular information Technology which were a priority for expansion, consequently Singapore became the largest manufacturer of discs and disc parts in 1989. In the same year, 30% of the country's GDP was received from production proceeds.

Singapore's international and financial services sector has been and remains one of the fastest growing sectors of its economy, accounting for nearly 25% of the country's GDP in the late 1980s.

In the same year, Singapore and Hong Kong became the two most important Asian financial centers after Tokyo. In 1990, Singapore had transactions with over 650 multinational companies and several thousand financial institutions and trading firms. On the political front, Kuan Yew Go Chok managed to beat Lee Hsien Lung in the 2004 election and Lee Kuan Yew's eldest son became Singapore's third prime minister.

1.2 Characteristics of the system of monetary circulation and the monetary system of Singapore

Singapore's national currency - the Singapore dollar (SGD) - was first put into circulation in 1967, when there was a division of currencies between Malaysia, Singapore and Brunei. At the same time, free mutual exchange and free circulation of three new independent currencies in these territories. In a relatively short period of time, the Singapore dollar has become one of the strongest and most stable currencies in the world. Theoretically, the currency parity of the Singapore dollar, confirmed by the International Monetary Fund, corresponds to the gold content in it of 0.290299 g of pure gold. The annual turnover of the Singapore currency exchange is second only to London, New York and Tokyo - it exceeds $25 billion.

Currently in circulation in Singapore are banknotes in denominations of 1, 5, 10, 25, 50, 100, 500, 1000 and 10,000 Singapore dollars of the Orchid series; banknotes in denominations of I, 5, 10, 20, 50, 100, 500, 1000 and 10,000 Singapore dollars of the "Birds" series and change coins of 1, 5, 10, 20, 50 cents and 1 dollar. In addition, commemorative coins issued by the International Agricultural Organization (FAO) in denominations of 5 cents, silver coins in denominations of 5, 10 and 50 dollars and gold coins in denominations of 100, 150, 250 and 500 Singaporean dollars are in circulation in Singapore. The Monetary Authority of Singapore has the monopoly right to issue money. The most popular banknotes in Singapore are 10, 25,100, 500 and 1000 Singapore dollars.

Consider Singapore's monetary aggregates. The country uses 4 monetary aggregates:

M0 - includes all money in circulation, paper and metal;

M1 - includes M0 + funds on settlement, current and special accounts of enterprises and the population + + deposits of the population in demand banks;

M2 - includes M1 + time deposits of the population in banks;

M3 - includes M2 + deposit and savings certificates + bonds government loan.

The money supply according to the latest data is 521,868,800 SGD.

The central bank of the country plays an important role in the functioning of the monetary system, let's consider the Central Bank of Singapore in more detail.

The Monetary Authority of Singapore is the central bank of Singapore.

Prior to 1970, various monetary functions were distributed among several government departments and agencies. Singapore's rapid development required a more sophisticated banking and monetary system. In this regard, it became necessary to streamline the functions, which should have contributed to the development of a dynamic and consistent monetary policy. Therefore, in 1970, the Singapore Parliament passed the Monetary Authority of Singapore act. On January 1, 1971, the Monetary Authority began its activities.

The Monetary Authority of Singapore is authorized to represent the interests of Singapore as a banker and financial agent for the Government of Singapore. The Department is entrusted with the functions of maintaining financial stability, credit and currency regulation in the country, contributing to the development of the country's economy.

In April 1977, the Government of Singapore entrusted the Monetary Authority of Singapore with the responsibility of regulating insurance activities in the country. Responsibilities for the regulation of the securities market were assigned to the Office in September 1984 by the Securities Industry Act. After the Monetary Authority of Singapore merged on October 1, 2002 with the Board of Commissioners of Currency, the Authority was entrusted with the issuance of Singapore dollars.

1.3 Characteristics and structure of the banking system

Banking activities in Singapore are regulated by a number of laws:

· Monetary Authority of Singapore Act;

· Banking Act;

· Deposit Insurance and Policy Owners "Protection Schemes Act".

The banking system of Singapore contains a developed network of financial institutions operating in accordance with international standards. Occupying one of the leading economic regulations in Southeast Asia, this state ensures the reliable functionality of the banking sector, both locally and internationally. Singapore has all the conditions for conducting financial transactions both within the country and abroad.

Singapore is one of the world's leading financial centers and the main distribution hub for finance in Southeast Asia. It is not surprising, therefore, that the country has created one of the most advanced banking systems world, with approximately 124 local and foreign banking and financial institutions providing services ranging from consumer banking and asset management to exchange, investment banking and specialized insurance services. At the end of 2010, Singapore's domestic banking sector was estimated by the Monetary Authority to have assets/liabilities of S$764 billion. The leading banks in Singapore are ABN AMRO, Citibank, DBS, HSBC, OSCBC, Standard Chartered and LSO.

While there is currently no government-supported deposit insurance program, MAS plans to establish such a system in the near future. The activities of commercial banks in Singapore are licensed and subject to the Banking Act.

Commercial banks can engage in all possible types of banking activities. (credit operations, provision of banking operations for conducting settlements between individuals and legal entities, collection of funds, provision of cash operations, implementation of foreign exchange operations, attraction of deposits, provision of bank guarantees for banking operations, money transfer services without opening bank accounts). In addition to providing commercial banking services, including deposit taking, check settlement and lending, banks may also engage in any other type of banking business that is regulated or permitted by the MAS, including financial advisory services, insurance brokerage services and capital placement services. On the market.

Commercial banks and their representatives do not have to be separately licensed to carry out such activities, but are required to comply with the requirements of the code of conduct when carrying out economic activity prescribed by the Financial Advisers Act (IA) and the Securities and Futures Act (SFA), respectively. In July 2001, the Banking Law was amended to prohibit banks from engaging in non-financial activities. The banks were given three years, until July 2004, to complete their non-financial activities. In August 2003, this grace period was extended by another 2 years until July 2006 for those banks that applied to MAS for an extension. There are currently 113 commercial banks in Singapore. Five of them are locally registered and belong to three domestic banking groups. Commercial banks operate as full service banks, wholesale banks or offshore banks.

Full-service banks may provide all services provided for by the Banking Law. There are currently 28 such banks in Singapore. Five of them are locally registered and belong to 3 domestic banking groups, while the remaining 23 banks are branches of banks registered abroad. Six of these 23 branches of foreign banks have received the privilege to provide a full range of banking services. Foreign banks that provide a full range of services and enjoy this privilege may have only 15 branches and / or ATMs separate from their offices, of which a maximum of 10 can be branch offices. These banks can share ATMs with each other and freely change the location of their branches. Since July 1, 2002, eligible banks have been authorized to provide debit services through the EFTPOS network (electronic transfer of funds), offer the Supplementary Pension Package, use investment accounts (CPF Investment Scheme accounts) and accept time deposits under the investment scheme and the scheme with a minimum deposit amount.

Wholesale banks may engage in the same banking activities as full-service banks, except that they are not authorized to provide retail banking services in the Singapore dollar. They operate in accordance with the MAS-issued Wholesale Banking Guidelines. There are 37 wholesale banks in Singapore, all of which are branches of foreign banks.

Offshore banks are eligible to engage in the same activities as full service banks and wholesale banks when dealing with Asian currencies denominated in Asian Currency Units (ACUs). Asian currency units is the accounting unit used by banks to record all their foreign currency transactions in the Asian dollar market. Bank transactions in Singapore dollars are accounted for separately in domestic banking units (DBU). The volume of transactions carried out in domestic banking units by offshore banks is somewhat more limited in terms of transactions with residents compared to wholesale banks.

In addition to the three categories of commercial banks described, there are financial institutions that can operate as merchant banks. Merchant banks are approved by the Monetary Administration in accordance with the law and their activities are subject to the Merchant Bank Directives. Operations of such banks in terms of Asian currencies are also carried out in accordance with the Banking Law. As a rule, merchant banks are engaged in corporate financing, subscription to issued shares and bonds, mergers and acquisitions of companies, investment portfolio management, management consulting and other paid activities. Most merchant banks, with the permission of the MAS, operate with the unit of Asian currencies, through which they compete with commercial banks in the Asian dollar market. As far as DBUs are concerned, merchant banks are not allowed to accept demand deposits, savings deposits, or borrow funds from the public. However, they are allowed to take deposits or borrow from banks, financial companies, shareholders and companies controlled by their shareholders. There are currently 52 merchant banks in Singapore.

Financial companies are focusing on small-scale finance, including installment loans for car purchases, consumer durables, and home loans. Financial companies are licensed and operate in accordance with the Financial Companies Act. Financial companies are not allowed to open deposit accounts that can be withdrawn on demand by checks, bills of exchange or demand for payment. They are also not permitted to extend an unsecured loan of more than S$5,000 to any person or to transact in any foreign currency, gold or other precious metals, or to purchase foreign exchange denominated shares, shares or debt securities. However, financial companies holding capital in excess of SGD 10 million may apply for permission to transact in foreign currencies, precious metals and shares denominated in foreign currencies. Such permission is issued on the condition that at any time the total amount of the loan in foreign currency provided will not exceed 10% of the capital of the financial company. There are 3 financial companies operating in Singapore.

Some of the main financial institutions operating in Singapore under a full service license are:

1. ABN AMRO BANK NV (ABN AMRO BANK NV)

2. AMERICAN EXPRESS BANK LTD. (AMERICAN EXPRESS BANK LTD)

3. BANGKOK BANK PUBLIC COMPANY LIMITED (BANGKOK BANK PUBLIC

4. COMPANY LIMITED)

5. BANK OF AMERICA, NATIONAL ASSOCIATION

Significant income from the export of goods and services, large income from financial transactions, a positive balance of payments, a fairly low level of external debt led to the accumulation of significant gold and foreign exchange reserves in Singapore. In the period from 1990 to 2000, Singapore's gold and foreign exchange reserves increased more than 3 times and reached 48.5 billion Singapore dollars, which is higher than in such developed countries as Great Britain, Holland, Sweden, Denmark, Australia and Canada.

The bulk of gold and foreign exchange reserves (99%) are gold reserves and foreign currency, 0.6% - special rights borrowed (SDR) and 0.4% - reserve positions in the International Monetary Fund (IMF). According to experts, the share of gold in Singapore's gold and foreign exchange reserves ranges from 15% to 20%, the US dollar accounts for 35-45%, the Japanese yen - 20-30%, the rest - for Western European currencies, mainly the German mark, the British pound sterling to swiss franc.

Singapore's gold and foreign exchange reserves are held in international financial institutions as deposits. In recent years, there has been a steady upward trend in the exchange rate of the Singapore dollar against the currencies of Singapore's main trading partners.

The total debt of the central government is represented by domestic debt. In its structure, 96% is owed to individuals and legal entities (registered shares and bonds, treasury bills), 4% is owed to the banking sector (deposits). There is no external debt, since all debt is formed from instruments placed in its own currency. This suggests that the Central Bank focuses on the domestic market to a greater extent than on foreign markets.

1.4 Comparative characteristics of the banking system of Russia and Singapore

When conducting a comparative analysis of banking systems Russian Federation and Singapore, their similar and distinctive features were identified, the main data are given in table No. 1.

Table number 1. Master Data Comparison

Full title	Republic of Singapore	the Russian Federation
Form of government	Republic	Federal Republic
	Singapore
Area, km 2	693 (175 in the world)	17 075 400 (1 in the world)
Population, people	5,077,000 (113 in the world)	143,300,000 (9 in the world)
	Singapore dollar
International organizations	Commonwealth of Nations, APEC	APEC, G8, CIS
Establishment of the Central Bank	Monetary Authority of Singapore	Central Bank of Russia
The share of state property in the capital of the Central Bank.

The Russian banking system has a two-tier structure. The first level is represented by the Central Bank of the Russian Federation. The second level includes banks and non-bank credit institutions, as well as branches and representative offices of foreign banks.

The Singapore banking system is also represented by a two-tier structure. At the first level is the monetary authority, which is also the central bank of Singapore. On the second banks, credit organizations.

The number of banks in Russia is 778. There are 121 commercial banks in Singapore, including 7 local ones and 114 foreign ones.

The money supply of Singapore according to the latest data is 521,868,800,000 SGD, the monetary base is 162,744,300,000.

The money supply in Russia, according to the latest data, is 31,636,700,000 rubles. Monetary base RUB 7,960,300,000

Exchange rate of the Singapore dollar on 05/12/2015 1 SGD = 38.1157 RUR

Russian GDP index: 82 RUB 937,000,000

Singapore GDP indicator 297 900 000 000 USD

The main functions of the Monetary Authority of Singapore are:

1. Operate as the central bank of Singapore, including the administration of monetary policy, the issuance of banknotes, the oversight of payment systems, and the service of the Government of Singapore as a banker and financial agent

2. Supervising financial services and monitoring financial stability

3. Singapore Foreign Exchange Management

4. Develop Singapore as an international financial center

The main functions of the Central Bank of the Russian Federation:

1. In cooperation with the Government of the Russian Federation, develops and implements a unified state monetary policy

2. Supervises the activities of credit institutions and banking groups

3. Organizes and implements currency regulation and currency control in accordance with the legislation of the Russian Federation

The first commercial bank in Russia opened on November 1, 1864 in St. Petersburg. Then a number of commercial banking offices sprang up in Moscow. In 1870, the Volga-Kama and Azov-Don banks were formed.

OCBC Bank - was founded in 1932. largest bank by market capitalization, with assets in excess of S$253 billion.

Consider the differences in the form of commercial banks operating in the country.

In Russia, only traditional commercial banks. In Singapore: wholesale, offshore, trading.

Based on the comparison, the following conclusions can be drawn:

Chapter number 2. Settlement part

Based on the data of option 13, guided by Instruction No. 139-I of the Central Bank of the Russian Federation, it is necessary to calculate the basic standards for the activities of a commercial bank. The requirements of the Bank of Russia to comply with these standards are methods of administrative regulation of the liquidity of the balance sheets of commercial banks (Table 2).

Table 2 - Initial data for calculating the standards for the activities of a commercial bank

Aggregates
Bank equity ()
The amount of assets minus the amount of the provision for possible losses on the relevant items of risk-weighted assets ()
The amount of credit risk on instruments reflected on off-balance sheet accounts ()
The amount of credit risk on forward transactions ()
Market risk value ()
Liquid assets ()
Highly liquid assets ()
Demand liabilities ()
Demand obligations and for up to 30 days ()
Bank loans ()
Bank liabilities on loans ()
Assets (A)
Required reserves (P0)
The amount of the bank's claims to the borrower ()
Cumulative value of large credit exposures ()
The total amount of the bank's liabilities (Ovkl)
Krz indicator in relation to those shareholders whose contribution to the authorized capital of the bank exceeds 5% of its value registered by the Bank of Russia ()

Table 2 - Standards for the activities of a commercial bank

Name of the standard		Result

Table 3 - Calculations of the norms for the activities of a commercial bank

Name of the standard

Capital adequacy ratio (N1)	4000000/(10143765+1461307 + 800000 +5531100) *100%	7340500/(12531600 +1650100 + 6230400+776413)*100%	8431982/(14116230 + 1650100 + 551135 + 5400700) *100%
Instant liquidity ratio (N2)	(1600515/8456011)*100%	(1100500/9100200) *100%	(929450/9100200)*100%
Current liquidity ratio (N3)	(2414760/11340800) * 100%	(2600300/11340800) *100%	(1903300/8415300)*100%
Long-term liquidity ratio (N4)	12543600/(900500+4456000)*100%	9500400/(1500700+7870 800)*100%	11300514/(700600+8431982)*100%
Total liquidity ratio (N5)	2414760/(6311620+ 700000)*100%	2600300/(7413000+715900)*100%	2600300/(1100500+9100200)*100%
Maximum risk per 1 borrower or group of related borrowers (N6)	(1560340/4000000) *100%	(1574201/7340500) *100%	(2201345/8431982) *100%
Maximum size of large credit risks (N7)	(11816432/4000000) *100%	(9908203/7340500) *100%	(7500302/8431982)*100%
Maximum risk per lender (N8)	(1423700/4000000)*100%	(2500400/7340500)*100%	(3202415/8431982)*100%
Maximum credit risk per shareholder (N9)	(870200/4000000) *100%	(1213438/7340500) *100%	(2314700/8431982) *100%

Based on the calculations performed, the following conclusions can be drawn:

The bank's own funds adequacy ratio (N1) regulates (limits) the risk of bank insolvency and determines the requirements for the minimum amount of the bank's own funds necessary to cover credit and market risk. Recommended value for Russian practice? 10%. The capital adequacy ratio (N 1) meets the requirements, which indicates the adequacy of own funds: the available capital covers (according to regulatory requirements) risk-weighted assets.

The bank's instant liquidity ratio (N2) regulates the risk of a bank losing liquidity, that is, the ability of any asset to be transformed into cash, immediately or if necessary. Recommended value?15%. The instant liquidity ratio (H2) is more than 15% in 1 year, which means that highly liquid assets are enough to cover demand liabilities, and vice versa in 2 and 3 years.

Bank's current liquidity ratio (N3). Regulates the risk of liquidity loss by the bank within the next 30 calendar days. The recommended rate is ?50%. The current liquidity ratio does not meet the requirements in all years, which indicates that there is not enough cash in hand to cover demand liabilities for up to 30 days.

Bank's long-term liquidity ratio (N4). Regulates the risk of a bank losing liquidity as a result of placing funds in long-term assets. Recommended value of H4 ? 120%. The long-term liquidity ratio H4 is less than 120% only in year 2, therefore, the bank's capital and demand liabilities do not cover the bank's debt in years 1 and 3

Bank's overall liquidity ratio (N5). Regulates the share of assets that can be converted into cash within the next 30 days (liquid assets) in the total mass of assets. Should not exceed 15%. For all three years, the indicator was above the standard value.

Maximum risk limit per borrower or group of related borrowers (N6). Regulates the bank's credit risk in relation to one borrower or a group of related borrowers and determines the maximum ratio of the total amount of the bank's credit claims to the borrower or a group of related borrowers to the bank's own funds (capital). The maximum risk per borrower or a group of related borrowers H6 must be less than 25%, in years 1 and 3 the standard does not meet the requirements, and in year 2 the standard, on the contrary, satisfies established boundaries, this indicates that the total requirements of the bank in 1 and 3 years could not be satisfied with the bank's own funds.

Ratio of the maximum amount of large credit risks (N7). Regulates the total amount of large credit risks of the bank and determines the maximum ratio of the total amount of large credit risks and the amount of own funds (capital) of the bank. The maximum amount of large credit risks H7 is less than 800%, the standard is met by the bank, which means that the bank's capital is sufficient to prevent large credit risks.

The maximum amount of risk per creditor (H8). The norm was not observed in any year.

The standard for the maximum amount of loans, bank guarantees and guarantees provided by the bank to its participants (shareholders) (N9). Regulates the credit risk of the bank in relation to the participants (shareholders) of the bank and determines the maximum ratio of the amount of loans, bank guarantees and sureties provided by the bank to its participants (shareholders) to the bank's own funds (capital). We recommend the value of this standard (H9) - ?50%. For all years, the bank is within the required limits of the standard, therefore, the maximum amount of guarantees and guarantees provided by the bank to its shareholders is set correctly in relation to the bank's own funds.

The bank complies with all performance standards except for the general liquidity requirement and the maximum risk limit per 1 borrower or a group of related borrowers, which means that the bank does not have enough cash to cover all liabilities and it needs to increase its own funds.

singapore bank cash

Conclusion

The course work examined the history of Singapore, the features of its monetary system, the banking system. The dynamics of its main economic indicators allows us to draw the following conclusions:

1. Singapore's gold and foreign exchange reserves have grown significantly over last decade. Their structure is dominated by foreign currency and gold. Monetary aggregates tend to increase.

2. Singapore's GDP is increasing. The country pursues a policy of an overvalued exchange rate. The rate of inflation is clearly contained.

3. Since 2009, there has been a decrease in interest rates and an increase in GDP growth rates. This suggests that the instrument of monetary policy - interest rates had a positive impact on the macroeconomic indicator - the GDP growth rate, causing it to increase.

The banking system of Singapore contains a developed network of financial institutions operating in accordance with international standards.

After comparing the banking system of Singapore with the Russian system, the following conclusions were made:

1. Banks appeared in Russia 60 years earlier than in Singapore.

2. The functions of the Central Bank of Russia and the Monetary Authority of Singapore are similar.

3. Indicators of the money supply, monetary base and GDP of Singapore exceed those of Russia, which indicates an insufficiently effective monetary policy of Russia.

4. Both countries have a two-tier structure of the banking system.

5. The number of banks in Russia is about six times the number of banks in Singapore.

An investment-attractive environment has been created in Singapore. What allows you to concentrate in a small country, a large number of money, and competent management to use them correctly.

The conclusion on the settlement part is as follows: the bank complies with all performance standards, with the exception of the general liquidity ratio and the maximum risk limit per 1 borrower or a group of related borrowers, which means that the bank does not have enough cash to cover all obligations and it needs to increase the amount own funds.

Bibliography

1. Avdokushin E.F. International Relations: Textbook. - M.: Jurist, 2010. - 366 p.

2. Agapova T.A., Seregina S.F. Macroeconomics. Textbook / Moscow State University. M.V. Lomonosov, M., 2009. - 35-36 p.

3. Bulatov A.S. Economics: Textbook / General edition Bulatova A.S. - M.: Economist, 2006. - 113-116 p.

4. Kalashnikov N.I. Singapore: problems of the city-state. M.: Knowledge, 1981. - 231-233 p.

5. Karamova O.V. Monetary Policy // A course of lectures for the IPPK. M.: FA, 2012. - 25-31 p.

6. Keynes J.M. General theory of employment of interest and money. M.: Helios ARV, 1999. - 176-177 p.

7. Kolpakova G.M. Finance. Money turnover. Credit: Tutorial. M., 2002. - 56-59 p.

8. Kurzanov V.N. Singapore in the economy of Southeast Asia. M.: Nauka, 1985. - 134 p.

9. Raizberg B.A., Lozovsky L.Sh., Starodubtseva E.B. modern economic dictionary M.: INFRA-M, 2006. - 76-77 p.

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Ministry of Education and Science of the Russian Federation

St. Petersburg State Polytechnic University

Institute of Engineering and Economics

Department of "World and Regional Economics"

COURSE PROJECT

Analysis of the Monetary System of Singapore

in the discipline "Money, credit, banks"

Completed by student Larina S.K.

Head Skripnyuk D.F.

St. Petersburg

Introduction

1.1.1 Neoclassical school

2.5 Issue of money

3.1 Macroeconomic overview

3.2 Foreign trade and capital flows

3.3 Public debt

3.3 Monetary policy instruments and their impact on the economy

3.3.1 Interest rates

3.3.2 Foreign exchange intervention

Conclusion

List of used literature

Introduction

The topic of this course project is an analysis of Singapore's monetary system. The relevance of the study is due to the rapid development of the country's economy. Singapore is among the rapidly developing countries of the southeast. This country has an excellent financial infrastructure, political stability and a world-class legal system. Singapore is one of the largest Asian financial centers, not yielding to Tokyo and Hong Kong. An analysis of monetary policy will reveal how the government regulates the growing economy of Singapore and what tools it uses to do this.

The purpose of the course project is to analyze the impact of monetary policy on the economic development of Singapore.

Achieving this goal required the formulation and solution of the following theoretical and practical tasks that predetermined the logic and structure of the study:

study the theoretical concepts of monetary policy

review the functions of Singapore's central bank

consider the banking and non-banking systems of the country

analyze the country's gold and foreign exchange reserves and monetary aggregates

make an overview of macroeconomic indicators

consider foreign trade indicators and capital movements

consider the volume and structure of public debt

analyze Singapore's monetary policy instruments

The object of the study is the economy of Singapore. The subject of the study is the influence of the country's monetary policy instruments on its economic development.

This project consists of an introduction, three parts, a conclusion and a list of references. The first part is devoted to the theoretical foundations of monetary systems. The second part contains an analysis of the structure of Singapore's monetary system. In the third part, attempts were made to analyze the impact of a country's monetary policy on its economic development.

The theoretical basis of the study was the works of leading domestic and foreign economists in the field of monetary, credit and banking systems. Also, when writing the work for the most complete, clear analysis was used educational literature, economic dictionaries, newspaper and magazine articles, statistical collections recent years, Internet resources covering this topic, included in the list of references at the end of the term paper.

The study was carried out using general scientific methods knowledge: abstraction, induction, deduction, analysis, synthesis, comparison and generalization. These methods allowed the most complete, accessible and understandable disclosure of the topic of this course project.

The volume of the course project was ______ pages.

1. Theoretical foundations of the monetary system

1.1 Ideas about the monetary regulation of the economy in the theories of various schools

The monetary policy of the central bank (monetary policy) is a set of government measures that regulate the activities of the monetary system, the loan capital market, the procedure for non-cash payments in order to achieve a number of general economic goals: price stabilization, economic growth rates, strengthening the monetary unit.

Monetary policy is currently one of the forms indirect impact states to the economy. It is based on the theoretical ideas of economists about the role of money in the economy and its impact on the main macroeconomic parameters: economic growth, employment, prices, balance of payments. In modern theories, money is increasingly viewed as an active factor in the reproductive process, and the theory of money itself has become an important part of macroanalysis.

The theory of money (monetarist theory) is a branch of economic theory that studies the impact of money and monetary policy on the state of the economy as a whole.

The problem of state regulation of the market economy, including the methods of monetary policy, had no practical significance until the 1930s. XX century, while the economy of the leading countries of Europe and North America not hit by a devastating crisis.

1.1.1 Neoclassical school

Economists of the classical (neoclassical) school of the last third of the 19th - early 20th centuries. they firmly believed in an effective self-regulating and self-developing market economy, denied the need for large-scale state intervention in economic processes, and considered money only as a shell for the nominal expression of real values, such as output, income, investment, etc.

They believed that the real volume of production is determined by the main factors of production available to society: labor resources, production capacities, natural resources, i.e. factors that change only in the long run. In particular, many economists of this school believed that the volume of production and the velocity of money tend to tend to natural levels and do not depend on the impact of money and monetary policy. Changes in the amount of money in the economy can only affect the level of domestic prices.

Adhering to the quantity theory of money, a significant contribution to the modernization of which was made by a prominent representative of the mathematical school I. Fisher. In economic theory, the mathematical equation of exchange by I. Fisher is well known

where M is the amount of money in circulation. V is the velocity of money, P is the price level. Q is the level of real output. In this equation, MV characterizes the supply of money in the economy, PQ - the demand for money.

The neoclassicals argued that a proportional change in the nominal amount of money would only cause a proportional change in the absolute price level. Therefore, they concluded that monetary policy was ineffective and urged the government to take care, first of all, of a balanced state budget, avoiding its deficit.

World economic crisis 1929-1933 called into question the fundamentals neoclassical theory, which virtually ruled out the possibility of protracted crises and involuntary unemployment in a market economy. He also found that the classical quantity theory of money and prices, operating on long-term time scales, was unable to solve the problems caused by the crisis. To combat the unemployment of the US government. Great Britain and other developed countries began to use measures of state regulation that do not fit into the orthodox neoclassical doctrine.

1.1.2 Keynesian model of monetary regulation

most famous theoretical justification large-scale state intervention in the market economy was the whale and J. Keynes "General Theory of Employment, Interest and Money" (1936). Keynes revolutionized macroeconomics, radically changing the way economists and governments think about business cycles and economic policy.

Unlike the classics, J. Keynes believed that the economy could “get stuck” for a long time in a situation of low output and chronic unemployment, since, due to the inflexibility of prices and wages, there is no mechanism by which full employment would be quickly restored and full use of production capacities would be ensured.

J. Keynes saw the reason for the economy to fall into the equilibrium trap under conditions of underemployment in insufficient aggregate demand and believed that the government could influence the state of economic activity using the methods of monetary and fiscal policy to change aggregate demand.

In the Keynesian theory of aggregate demand, investment demand is of decisive importance. Fluctuations in investment due to the multiplier effect will cause large changes in production and employment. Among the most important factors determining the level of investment in the economy, J. Keynes highlights the interest rate, since the latter is the cost of obtaining a loan to finance investment projects. An increase in the interest rate, ceteris paribus, will reduce the level of planned investment, and consequently, output and employment will fall.

The chain of functional dependencies can be expressed as follows: an increase in the money supply causes a fall in the interest rate, which leads to an increase in investment, and hence income and employment. Keynes considered the influence of the interest rate on investment policy as a lever through which the conditions of money circulation affect the economy as a whole. That is why the analysis of the money market, where the interest rate is set as a result of the interaction of money supply and demand, is an important part of Keynesian theory. Revealing the mechanism of changing the interest rate, J. Keynes rejected the classical quantity theory demand for money and presented his point of view, according to which money is one of the types of wealth, and the desire of business entities to keep part of the assets in the form of money is determined by the so-called liquidity preference.

Keynes viewed the demand for money as a function of two variables: nominal national income and the interest rate, because he believed that the total demand for money included two elements. The first element is transactional demand, or the demand for money as a medium of exchange, i.e. demand for money for transactions, purchases of goods and services. It takes into account the transaction motive, when money is needed to carry out planned expenses, and the precautionary motive, which makes it necessary to have money in order to be able to meet unexpected needs. Transaction demand depends on the level of national income: the higher the nominal national income, the higher the level of spending, as people enter into big number transactions and they need to have more liquidity.

Fundamentally new in Keynes is the introduction of the second element into the aggregate demand for money - speculative demand associated with the purchase and sale of securities. The presence of a speculative demand for money is due to the fact that people in each case determine for themselves what share of income to spend on consumption and what share on savings, as well as in what form to store savings. Savings represented in securities generate income. However, holding them is associated with risk, since a change in the interest rate will lead to a change in the price of securities. Since the price of securities is inversely proportional to the interest rate, when it rises, the market value of securities decreases. Moreover, it is expected that, having reached the "natural level", the interest rate will begin to fall in the future and securities can be sold at a profit and at more high price. Naturally, every business entity that invests assets will prefer to invest in securities, as a result of which there will be no speculative demand for money. On the contrary, if the interest rate is low, it is expected to rise in the future, which will lead to a decrease in the price of securities and cause losses in the capital of holders of securities. Under these conditions, there is a general desire for liquidity, the refusal to lend to economic growth through investment in securities, and the speculative demand for money is growing.

According to the works of J. Keynes, the speculative motive forms feedback between the demand for money and the lending rate.

The functional dependence of the demand for money can be defined as follows: the nominal demand for money depends on the nominal national income and the nominal interest rate.

The money supply in the economy is determined by the policy of the Central Bank and is constant in the short run.

Using the methods of monetary policy, the state can influence the interest rate, and through it the level of investment, maintaining full employment and ensuring economic growth.

However, J. Keynes and his followers gave priority to fiscal policy. Several reasons can be given to explain this.

First, the economy enters a special state in which an increase in the money supply does not cause a change in national income. This case is called the "liquidity trap" and is analyzed in sufficient detail by the well-known English economist J. Hicks.

"Liquidity trap" means that the interest rate is at a fairly low level and it can only be changed upward. Under these conditions, the owners of money will not seek to invest them. There is a situation where even a very low interest rate does not stimulate investment and does not contribute to income growth. The entire increase in money is absorbed by speculative demand, i.e. money settles in the hands, and is not invested in the economy. Since the interest rate does not change, investment and income remain constant. The market mechanism of independent revival does not work. An impulse is needed from outside the market system. The way out of this situation, the Keynesians believed, is possible only with the involvement of fiscal policy, which will serve as a "locomotive" for private investment.

Secondly, in assessing the velocity of money, Keynes proceeded from the fact that it is changeable and unpredictable, including in short periods of time (for example, within the economic cycle). Therefore, money cannot be regarded as the most important factor, which determines the dynamics of output, employment and prices.

And finally, thirdly, J. Keynes believed that prices in a market economy are inflexible, so everything economic indicators it is expressed in constant wages.

After examining the channels through which the government's fiscal and monetary policy affects the state of the economy, and based on theoretical premises, Keynes concluded that in the conditions of the depression, the methods of the monetarist approach to regulating and stimulating the economy collapsed. He considered changes in the tax system and the structure of government spending to be more effective ways to stabilize the economy. This conclusion led the followers of Keynes to proclaim the well-known thesis: "money does not matter." At the same time, the early Keynesians, proceeding from the "liquidity trap", considered monetary policy to be ineffective and emphasized the absolute of fiscal policy.

Later Keynesians also considered monetary policy to be effective. Preference is given to a mixed monetary and fiscal policy: relatively tight fiscal and light monetary, while the latter is given the role of an adaptive policy that accompanies fiscal regulation measures. Monetary policy is needed to keep the interest rate low and encourage investment: an increase in the money supply will counteract an increase in the interest rate and thus prevent the crowding out of private investment, reduce the "push" effect when public spending increases.

1.1.3 Monetarist quantity theory of money

Post-war period until the late 1960s - early 1970s. Marked by the most favorable processes of socio-economic development of the leading Western countries over the past 100 years. However, at the turn of the 1960-1970s. miscalculations of the Keynesian concept of economic regulation were revealed.

They consist in underestimating the danger of inflation, exaggerating the role of direct public investment and budgetary methods of conjuncture regulation, and overestimating the real effect of deficit financing.

The discrediting and crisis of Keynesianism contributed to the rehabilitation of the role of money in the economy and the resuscitation of temporarily forgotten monetary theories. M. Friedman and his followers, known in the economic world as monetarists, developed the modern quantity theory of money, which became extremely popular in the 1970s.

Monetarism is a school of economic thought that emphasizes changes in the amount of money in circulation as a determining function of prices, income, and employment.

The monetarists disagree with the Keynesians not only in questions of the role of money in the economy, but above all in assessing the functioning of the market economy as a whole. They believe that the market economy is quite stable and the market mechanism is capable of restoring economic equilibrium on its own. Therefore, monetarists oppose active state intervention in the economy, defend the principles of free competition in general and in the monetary sphere in particular. Money is viewed by monetarists as decisive factor production development. Excessive state regulation of the monetary sphere can provoke, in their opinion, an economic crisis. They found proof of this not only in the crises of the mid-1970s and early 1980s.

Underestimation of the role of money, and monetary circulation in particular, the inability of the US Federal Reserve System (FRS) to prevent a sharp decline in the amount of money in circulation in the late 20s. Significantly increased, according to M. Friedman, the negative aspects of the economic downturn. M. Friedman was convinced that money and money circulation have always been very important for the development of the economy, and ignoring the monetary theory or misusing its postulates in the course of excessive state regulation can cause enormous harm to the public economy.

The analysis of business cycles and monetary circulation allowed M. Friedman and his associates to significantly modernize the classical quantitative theory of monetary circulation, especially for short-term time intervals. Thus, monetarists, considering the velocity of circulation of money as a variable, believe that the theory they propose makes it possible to predict the behavior of this variable. As the main factors determining the speed of circulation of money, they highlight the expected level of inflation and the interest rate. Monetarists also revealed the relationship between changes in the growth rate of the money supply, real and nominal GNP and showed that changes in the growth rate of the money supply affect real output faster than prices. For example, within one

business cycle, the rate of growth of the money supply in circulation, after some delay, usually several months, causes changes in the rate of growth of nominal GNP. First, a significant part of the change in nominal GNP reflects changes in real GNP, i.e. changes in the real quantity of goods and services produced in the economic system. In the future, if the growth rate of the money supply significantly exceeds average annual rates economic growth, a significant part of the changes in nominal GNP are changes in the absolute price level. Thus, the acceleration of growth in nominal GNP, caused by an increase in the money supply, only initially takes the form of an increase in real output, accompanied by a decrease in unemployment. Subsequently, the slowdown in the growth rate of real production leads to the fact that price growth absorbs an increasing part of the impact on the economy due to changes in the growth rate of the money supply. When the rate of growth of the money supply slows down, the corresponding changes in nominal and real GNP slow down in reverse order.

New studies by representatives of the monetarist direction gave the keys to understanding the impact of the state's monetary policy on the state of the economy, made it possible to explain this previously unobserved economic phenomenon, like stagflation, or the simultaneous existence of high unemployment and high inflation, which is completely contrary to Keynesian theory, and finally offer appropriate recommendations on the state's monetary policy.

Based on the fact that good intentions are too often carried out incorrectly, monetarists opposed the implementation of an active monetary policy aimed at stabilizing both the money supply and the interest rate.

They considered the Keynesian concept to be erroneous and internally contradictory. Therefore, the main object of regulation, in their opinion, should not be the interest rate, but the growth rate of the money supply. The central bank must implement a constant predictable monetary policy and follow the simple rule of constant growth in the money supply. The growth rate of the money supply must be sufficient to, on the one hand, ensure the growth of real GNP, and, on the other hand, not cause inflationary processes in the economy.

In the 1970s - early 1980s. the practical application of monetarist recipes made it possible to develop quite effective measures to combat inflation. At the same time, the stabilization of inflationary processes, changes in financial institutions and the transition to a new quality of economic growth in the 80s. significantly reduced the relevance of the monetary policy recipes developed during the inflationary period of the previous decade. However, largely thanks to the scientific achievements of the monetarists, economists forever said goodbye to the statement "money does not matter."

Modern monetary theory is increasingly acquiring synthetic forms of models, including elements of Keynesianism, monetarism, neoclassical supply-side economics, etc.

On the whole, a direction has been formed in economics, called "neoclassical synthesis", which includes various points of view on the theory and practice of the functioning of a modern mixed economy.

1.2 Monetary systems of the leading countries of the world

This paragraph will consider the monetary systems of the world's leading economies: the United States, Germany, Japan and China.

1.2.1 US monetary system

Over the past century, the American economy has been an example of the most successful and successful economic development after the economic catastrophe (30s, the Great Depression in the USA), becoming at the end of the century the most prosperous country experiencing the peak of its development. But, even being one of the most perfect economic systems in the world, the US monetary system would not be able to do without a financial institution responsible for managing this system. Such an institution capable of ensuring the financial health of the US banking and monetary system was the US Federal Reserve System (FRS). The Fed is essentially equivalent to the central banks of issue of other countries

An integral part of the US monetary system is the national currency system. The United States has a decimal division system of 1:10:100 (1 US dollar equals 100 cents). In circulation are: bank notes in 100, 50, 20, 10, 5, 2 and 1 dollars; $100 Treasury notes; silver-copper and copper-nickel coins of 1 dollar, 50, 25, 10, 1 cent. The right to issue banknotes is granted to the Federal Reserve System, and small currency notes, silver dollars and small change - to the Treasury.

Targeting has been introduced in the USA since the 1970s. setting targets in regulating the growth of money supply in circulation for the coming period, which are followed in their policies by central banks. Since 1975, the Federal Reserve System (FRS) has periodically reported to Congress on the planned rate of growth or contraction of the money supply for the coming 12 months.

One of the most serious difficulties faced with the US economy was inflation. This problem became especially acute in the 1970s. For example, in the United States, inflation rates have tripled in a decade from 4% to 13% per year. In this regard, in 1978, the US Congress passed legislation obliging the Federal Reserve System to set limits on the growth of money and credit. The "Full Employment and Balanced Growth Act" was also adopted. It specified the goals of monetary policy: ensuring high level employment and maintain price stability. To achieve this, the Fed was required to annually announce the amount of money supply and credit resources for next year, which should affect the expected performance of the economy and inflation rates.

While recognizing that it is not always possible to maintain the desired balance between money supply growth and economic growth rates, the law does not oblige the Fed to strictly adhere to the declared parameters of the money supply. However, if there is a discrepancy, the Fed must explain their reasons. Money supply and credit emission are announced in February of each year and adjusted in a report submitted to Congress in June. This report also refers to preliminary estimates of these values for the next year.

This policy has three main goals: first, limiting price increases. Second, public notice of the Fed's future strategy so that businesses and individuals can adjust their economic behavior with the intentions of the central bank. Thirdly, strengthening the accountability and responsibility of the Central Bank for the decisions it makes and the achievement of the intended goal.

Monetary policy in the classical sense took place in the United States only between October 1979 and October 1982. The Federal Open Market Committee announced changes in monetary policy due to the possibility of rising inflation and uncertainty about the effectiveness of setting target levels of interest rates. The use of the interbank interest rate as a tactical target was discontinued, and the growth rate of the narrow monetary aggregate M1 (includes cash in circulation and demand deposits in commercial banks) became a new intermediate target.

1.2.2 German monetary system

Before the global economic crisis of 1929-1933. credit system of the Republic<#"center">1.2.3 Monetary system of Japan

In 1995, there were about 6,200 commercial financial and credit organizations operating in Japan. The banking business has been elevated in Japan to the rank of the highest national importance. There has not been a single case of bankruptcy in Japan since the war.<#"justify">singapore monetary credit policy

Japan's monetary system is two-tiered and consists of the Central Bank, commercial banks and non-bank financial institutions. At the first level of the monetary system is the Central Bank of Japan. He owns the exclusive right to issue banknotes, he carries out monetary policy, economic regulation and cash services for the state treasury. At the second level of the monetary system are banking and non-bank financial institutions.

Commercial banks in Japan are divided into city and regional banks. Their operations are regulated by law. A commercial bank must be organized in the form of a joint-stock company and have an authorized capital of at least 1 billion yen. A commercial bank does not have the right to operate without a special license from the Ministry of Finance. To obtain such a license, the founders must ensure that the capital, assets and liabilities of the bank comply with the established standards, have the necessary experience and knowledge.

Features of the monetary system of Japan:

A high degree of concentration and centralization of capital.

Strict regulation of banking activities.

Specialization of banking institutions in certain types activities.

The essence of the monetary policy of the Bank of Japan at present is not to prevent inflation, but to overcome the negative consequences of deflation for the economy - the deceleration of consumer and investment demand. To do this, it is necessary not to reduce, but to increase the amount of money in circulation. The amount of money in circulation is growing at a faster rate than GDP, but this money ends up in savings and is used to lend support to the economy.

2. Analysis of the structure of the Singapore monetary system

2.1 Central Bank and its functions

The Monetary Authority of Singapore is the central bank of Singapore.

The Monetary Authority of Singapore has the right to represent the interests of Singapore as a banker and financial agent of the Government of Singapore<#"center">2.2 Banking system of the country

Singapore is one of the world's leading financial centers and the main distribution hub for finance in Southeast Asia. No wonder, then, that the country has developed one of the most advanced banking systems in the world, with some 700 local and foreign banking and financial institutions providing services ranging from consumer banking and asset management to stock exchange, investment banking and specialized insurance services. At the end of 2010, Singapore's domestic banking sector was estimated by the Monetary Authority to have assets/liabilities of S$764 billion. The leading banks in Singapore are ABN AMRO, Citibank, DBS, HSBC, OSCBC, Standard Chartered and LSO.

Banking activities in Singapore are regulated by a number of laws:

the Monetary Authority of Singapore Act;

Banking Act;

Deposit Insurance and Policy Owners Act Protection Schemes Act).

Singapore has a bank deposit insurance system. In 2005, the Deposit Insurance Act came into force. In 2006, under the Companies Act<#"justify">RankCompanyMarket capitalization (billion USD) 1DBS Bank<#"justify">Table 2.2 - External position of the banking system of Singapore in terms of assets and liabilities

Figure 2.1 - Assets and liabilities of the banking system (external position)

Figure 2.1 shows that the volumes of liabilities placed abroad in all currencies have a general upward trend. At the same time, in 2013, the volume of assets fell sharply from 395 to 368 billion US dollars. This means that the banking sector's debt to non-residents exceeds its assets abroad.

Table 2.3 - Banks: Assets and Liabilities of DBUs

Million сингапурских долларовКонец периодаАктивы + ОбязательстваАктивыОбязательстваНаличные средстваСредства в банкахСчета денежно-кредитного управленияДолевые ценные бумагиПлатежи за финансированиеПрочие активыДепозиты небанковских клиентовСредства в банкахПрочие обязательства2012911,000.52,756.0184,902.719,503.3153,318.7490,706.559,813.3518,840.7244,892.2147,267.6

Table 2.3 clearly demonstrates the structure of assets and liabilities of the banking system of Singapore by objects. The structure of assets is represented by cash, due in banks, accounts of the Monetary Authority, equity securities, loans and payments for financing and other assets. Most of the banking sector's assets are in loans and financing payments. The structure of liabilities is represented by deposits of non-bank customers, due from banks and other liabilities. Most of the liabilities come from deposits of non-bank customers.

2.3 Non-banking sector and financial institutions

In addition to the categories of commercial banks described in the previous paragraph, there are financial institutions that can operate as merchant banks. Merchant banks are approved by the Monetary Authority in accordance with the law and their activities are subject to the Merchant Bank Directives. Operations of such banks in terms of Asian currencies are also carried out in accordance with the Banking Law. As a rule, merchant banks are engaged in corporate financing, subscription to issued shares and bonds, mergers and acquisitions of companies, investment portfolio management, management consulting and other paid activities. Most merchant banks, with the permission of the Monetary Authority, operate with a unit of Asian currencies, through which they compete with commercial banks in the Asian dollar market. As far as DBUs are concerned, merchant banks are not allowed to accept demand deposits, savings deposits, or borrow funds from the public. However, they are allowed to take deposits or borrow from banks, financial companies, shareholders and companies controlled by their shareholders. There are currently (as of 2011) 52 merchant banks in Singapore. Financial companies are focusing on small-scale finance, including installment loans for car purchases, consumer durables, and home loans. Financial companies are licensed and operate in accordance with the Financial Companies Act. Financial companies are not allowed to open deposit accounts that can be withdrawn on demand by checks, bills of exchange or demand for payment. They are also not permitted to extend an unsecured loan of more than S$5,000 to any person or to transact in any foreign currency, gold or other precious metals, or to purchase foreign exchange denominated shares, shares or debt securities.

However, financial companies holding capital in excess of SGD 10 million may apply for permission to transact in foreign currencies, precious metals and shares denominated in foreign currencies. Such permission is issued on the condition that at any time the total amount of the loan in foreign currency provided will not exceed 10% of the capital of the financial company. There are 3 financial companies operating in Singapore.

Let's present in table 2.4 the external position on assets and liabilities of Singapore's non-banking sector.

Table 2.4 - Assets and liabilities of Singapore's non-banking sector (external position)

Source: bis.org (Bank for International Settlements)

Figure 2.2 - Assets and liabilities of the non-banking sector (external position)

In the non-banking sector, stable dynamics is observed, assets to non-residents exceed liabilities.

2.4 Gold and foreign exchange reserves of the country

Let's imagine in Figure 2.3 the dynamics of Singapore's gold and foreign exchange reserves.

Figure 2.3 - Dynamics of Singapore's gold and foreign exchange reserves (billion US dollars)

Source: #"82" src="/wimg/13/doc_zip6.jpg" />

Source: #"298" src="/wimg/13/doc_zip7.jpg" />

Figure 2.4 - Structure of Singapore's gold reserves (billion US dollars)

The structure of gold reserves is clearly dominated by foreign currency and gold, their share is increasing in the total volume of gold reserves. SDR holdings and positions in the IMF are negligible compared to holdings of foreign exchange and gold. This testifies to the insignificant role of the country in the IMF's credit policy.

2.5 Issue of money

Singapore's national currency - the Singapore dollar (SGD) - was first put into circulation in 1967, when there was a division of currencies between Malaysia, Singapore and Brunei. At the same time, free mutual exchange and free circulation of three new independent currencies in these territories was envisaged. In a relatively short period of time, the Singapore dollar has become one of the strongest and most stable currencies in the world. Theoretically, the currency parity of the Singapore dollar, confirmed by the International Monetary Fund, corresponds to the gold content in it of 0.290299 g of pure gold. The annual turnover of the Singapore currency exchange is second only to London, New York and Tokyo - it exceeds $25 billion.

Consider Singapore's monetary aggregates. The country uses 4 monetary aggregates:

M0 - includes all money in circulation, paper and metal;

M1 - includes M0 + funds on settlement, current and special accounts of enterprises and the population + + deposits of the population in demand banks;

M2 - includes M1 + time deposits of the population in banks;

M3 - includes M2 + deposit and savings certificates + government bonds.

Let's imagine Singapore's monetary aggregates in dynamics in Figure 2.5.

Figure 2.5 - Monetary aggregates M1, M2 and M3

Source: #"285" src="/wimg/13/doc_zip9.jpg" />

Figure 2.6 - The level of monetization of the economy by М1 (in % of GDP)

For the level of monetization of the economy according to M1, there is a trend towards growth. This suggests that the amount of cash in circulation has increased significantly (from 31 to 51% of GDP). This, in turn, could cause an increase in inflation. And inflation for given period increased from 1.7 to 4.5%.

Let's imagine in Figure 2.7 the level of monetization of the economy in terms of the M2 monetary aggregate.

From 1995 to 1999, the level of monetization of the economy increased, in 1999 it was 200% of GDP, which means that the money of the banking system exceeded the market GDP by 2 times. This suggests that deposits in banks are 2 times higher than the cost of products produced in the country. From 2000 to the present, there has been a trend towards a slight decrease in the monetization of the economy. In general, the indicator is kept at the level of 170-180% of GDP.

Figure 2.7 - The level of monetization of the economy by М2

Let's imagine in Figure 2.8 the level of monetization of the economy in terms of the monetary aggregate M3.

Figure 2.8 - The level of monetization of the economy by M3 (in % of GDP)

The level of monetization of the economy according to M3 increases until 2003, after which it decreases.

In Figure 2.9, consider the velocity of money in the Singapore economy.

Until 2003, the speed of money movement had a downward trend, after - to increase. The dynamics is relatively stable, the value fluctuates within 50-60% of GDP to M2. This suggests that the liquidity of the money supply is relatively stable. Since 2006 and during the years of the crisis, the share of cash has been increasing, while the speed of money movement has been falling. This can be called a monetary manifestation of the crisis.

Figure 2.9 - Velocity of money movement (GDP market to M2 in %)

Let's compare in Figure 2.10 the GDP growth rates and M2 growth rates.

Figure 2.10 - Comparison of GDP growth rates and M2 growth rates

The growth rate of M2 has the same sharp fluctuations as the GDP growth rate, however, it can be observed that these two indicators have the opposite direction. Most big gap between them is observed in 1998 - the crisis in Asian markets. The growth rate of the money supply jumped to a maximum level of 30%. Sharp fluctuations in the growth rate of the money supply are characteristic of developing economies.

3. Analysis of the impact of monetary policy on the economic development of Singapore

3.1 Macroeconomic overview

In order to analyze the impact of monetary policy on the economic development of the country, first of all, it is necessary to review the main macroeconomic indicators. In this paragraph, the following indicators will be considered: market GDP, GDP at PPP, GDP growth rate, GDP growth rate, GDP per capita, inflation rate, GDP deflator and consumer price index.

Imagine Singapore's market GDP in Figure 3.1.

Figure 3.1 - GDP (market, billion US dollars)

Singapore is one of the world's leading financial centers and a major distribution hub finance in Southeast Asia. No wonder, then, that the country has developed one of the most advanced banking systems in the world, with some 700 local and foreign banking and financial institutions providing services ranging from consumer banking and asset management to stock exchange, investment banking and specialized insurance services. At the end of 2004, Singapore's domestic banking sector had assets/liabilities of around US$230 billion. Singapore's leading banks are ABN AMRO, Citibank, DBS, HSBC, OSCBC, Standard Chartered and LSO. The country's central bank is the Monetary Authority of Singapore (MAS), which determines monetary policy, regulates banking and financial institutions, and issues currency. While there is currently no government-supported deposit insurance program, MAS plans to establish such a system in the near future. The activities of commercial banks in Singapore are licensed and subject to the Banking Act. Commercial banks can engage in all possible types of banking activities. In addition to providing commercial banking services, including deposit taking, check settlement and lending, banks may also engage in any other type of banking business that is regulated or permitted by the MAS, including financial advisory services, insurance brokerage services and capital placement services. On the market. (Section 30 of the Banking Law establishes all possible types of banking). Commercial banks and their representatives do not have to be separately licensed to carry out such activities, but are required to comply with the requirements of the code of conduct in the conduct of business activities prescribed in the Financial Advisers Act (IA) and the Securities and Futures Act (SFA), respectively. In July 2001, the Banking Law was amended to prohibit banks from engaging in non-financial activities. The banks were given three years, until July 2004, to complete their non-financial activities. In August 2003, this grace period was extended by another 2 years until July 2006 for those banks that applied to MAS for an extension. There are currently 113 commercial banks in Singapore. Five of them are locally registered and belong to three domestic banking groups. Commercial banks operate as full service banks, wholesale banks or offshore banks.
Banks providing a full range of services

Full-service banks may provide all services provided for by the Banking Law. There are currently 28 such banks in Singapore. Five of them are locally registered and belong to 3 domestic banking groups, while the remaining 23 banks are branches of banks registered abroad. Six of these 23 branches of foreign banks have received the privilege to provide a full range of banking services. Foreign banks that provide a full range of services and enjoy this privilege may have only 15 branches and / or ATMs separate from their offices, of which a maximum of 10 can be branch offices. These banks can share ATMs with each other and freely change the location of their branches. Since July 1, 2002, eligible banks have been authorized to provide debit services through the EFTPOS network (electronic transfer of funds), offer the Supplementary Pension Package, use investment accounts (CPF Investment Scheme accounts) and accept time deposits under the investment scheme and the scheme with a minimum deposit amount.

wholesale banks

Wholesale banks may engage in the same banking activities as full-service banks, except that they are not authorized to provide retail banking services in the Singapore dollar. They operate in accordance with the MAS-issued Wholesale Banking Guidelines. There are 37 wholesale banks in Singapore, all of which are branches of foreign banks.

offshore banks

Offshore banks are eligible to engage in the same activities as full service banks and wholesale banks when dealing with Asian currencies denominated in Asian Currency Units (ACUs). Asian currency units is the accounting unit used by banks to record all their foreign currency transactions in the Asian dollar market. Bank transactions in Singapore dollars are accounted for separately in domestic banking units (DBU). The volume of transactions carried out in domestic banking units by offshore banks is somewhat more limited in terms of transactions with residents compared to wholesale banks. Offshore banks operate in accordance with the Guidelines for Offshore Banks issued by the MAS.

As part of the banking liberalization programme, offshore banks have been given greater leeway in their wholesale dealings in the Singapore dollar. The Singapore dollar lending limit for offshore banks has been increased to 500 million. These banks can now swap in Singapore dollars against proceeds from issuance of Singapore dollar bonds managed or issued by such banks.

In total, 48 offshore banks operate in Singapore, and all of them are branches of foreign banks.

merchant banks

In addition to the three categories of commercial banks described, there are financial institutions that can operate as merchant banks. Merchant banks are approved by the Monetary Administration in accordance with the law and their activities are subject to the Merchant Bank Directives. Operations of such banks in terms of Asian currencies are also carried out in accordance with the Banking Law. As a rule, merchant banks are engaged in corporate financing, subscription to issued shares and bonds, mergers and acquisitions of companies, investment portfolio management, management consulting and other paid activities. Most merchant banks, with the permission of the MAS, operate with the unit of Asian currencies, through which they compete with commercial banks in the Asian dollar market. As far as DBUs are concerned, merchant banks are not allowed to accept demand deposits, savings deposits, or borrow funds from the public. However, they are allowed to take deposits or borrow from banks, financial companies, shareholders and companies controlled by their shareholders. There are currently 52 merchant banks in Singapore.
Financial companies

Financial companies are focusing on small-scale finance, including installment loans for car purchases, consumer durables, and home loans. Financial companies are licensed and operate in accordance with the Financial Companies Act. Financial companies are not allowed to open deposit accounts that can be withdrawn on demand by checks, bills of exchange or demand for payment. They are also not permitted to extend an unsecured loan of more than S$5,000 to any person or to transact in any foreign currency, gold or other precious metals, or to purchase foreign currency denominated shares, shares or debt securities. However, financial companies holding capital in excess of SGD 10 million may apply for permission to transact in foreign currencies, precious metals and shares denominated in foreign currencies. Such a permit is issued on the condition that at any time the total amount of the loan granted in foreign currency does not exceed 10% of the capital of the financial company. There are 3 financial companies operating in Singapore.

Some of the main financial institutions operating in Singapore under a full service license are:

ABN AMRO BANK NV (ABN AMRO BANK NV)
AMERICAN EXPRESS BANK LTD. (AMERICAN EXPRESS BANK LTD)
BANGKOK BANK PUBLIC COMPANY LIMITED (BANGKOK BANK PUBLIC COMPANY LIMITED)
BANK OF AMERICA, NATIONAL ASSOCIATION (BANK OF AMERICA, NATIONAL ASSOCIATION)
BANK OF CHINA LIMITED (BANK OF CHINA LIMITED)
BANK OV EAST ASHA LTD. (BANK OF EAST ASIA LTD)
BANKS OF INDIA (THE BANK OF INDIA)
BANK OV TOKYO-MITSUBISHI, LTD. (BANK OF TOKYO-MITSUBISHI, LTD)
BNP PARIBAS (THE BNP PARIBAS)
CALYON (CALYON)
CITIBANK NA
CITIBANK SINGAPORE LIMITED
ACHEL BANK (HL BANK)
HONG KONG AND SHANGHAI BANKING CORPORATION LIMITED
INDIAN BANK (THE INDIAN BANK)
INDIAN OVERSEAS BANK (INDIAN OVERSEAS BANK)
J.P. MORGAN CHASE BANK N.A. (JPMORGAN CHASE BANK, N.A.)
MALAYAN BANKING BHD (MALAYAN BANKING BHD)
PT BANK NEGARA INDONESIA (PERSERO) TBK (PT BANK NEGARA INDONESIA (PERSERO) TBK)
RHB BANK BERHAD
SOUTHERN BANK BERHAD
STANDARD CHARTERED BANK
SUMITOMO MITSUI BANKING CORPORATION (SUMITOMO MITSUI BANKING CORPORATION)
Yuko Bank (UCO BANK)