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About the Consequences of Foreign Capital Penetration into the Banking Sector of Tajikistan Republic

Author (s)

Davlatov Iskandar Hasanovich

Abstract

The article dwells on the issues in regard to penetration of foreign capital into the banking sector of Tajikistan Republic. The author analyzed the activity of banks with a participation of foreign capital in comparison with those of a national one. He noted both negative and positive sides of the penetration of a foreign capital into the banking sector of Tajikistan Republic. A number of arrangements in reference to elimination of factors‚ barring a penetration of foreign capital into the country are recommended‚ they are the following ones: implementation of foreign banks licensing by means of comprehensive analysis of the structures of property; business reputation and financial state of shareholders; assessment of strategic and operational plan of the bank; rigid surveillance not only over the branches of foreign and filial banks‚ but over their maternal bank on сonsolidated basis either‚ balancing the aims of foreign banks and the banking sector of Tajikistan for a development of our country`s economy; combination of national banking system with potentialities of attracting foreign capital.

Keywords

foreign capital‚ national capital‚ banking sector‚ financial crisis‚ risk

References

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Publication date

Friday, 03 July 2015