New dimensions of internal controls in banking after the GFC
Journal Title: Economic Annals-XXI - Year 2019, Vol 176, Issue 3
Abstract
The weakness of the control function of governments and central banks was the main regulatory cause of the global financial crisis (GFC) broke out in 2007, but the suboptimal regulatory environment «corrupted» the quality of internal control and audit of banks as well. After the crisis, corporate governance issues appeared in the focus of international organizations. In this paper, we present the relevant international recommendations aimed at improvement of the weak corporate governance practices of the banking sector. Based on the comparison of pre- and post-crisis internal control functionalities which are presented as a meta-analysis and a systematic review of the existing empirical researches, the authors conclude that the stricter guidelines could and can have a positive impact on banks’ operations stabilizing through the strengthening of internal control practices.
Authors and Affiliations
Csaba Lentner, László Vasa, Pál P. Kolozsi, Zoltán Zéman
Keywords
Related Articles
- EP ID EP644961
- DOI 10.21003/ea.V176-04
- Views 110
- Downloads 0
Risk management at Slovak enterprises: an empirical study
Risk management is a process aimed at assessing and managing risks with the goal to minimise losses and maximise benefits. The analysis and evaluation of the risks are decisive in risk assessment according to the risk ma...
Financial service markets of Eastern Europe: a compositional model
The article deals with the models of functioning of financial service markets in the countries of Eastern Europe. The authors have conducted an analysis of the development of financial institutions within separate segmen...
Analytical assessment of the jewellery market in Ukraine
The article proposes scientific and practical recommendations aimed at deepening the analysis of the jewellery market in Ukraine and establishing its actual characteristics and tasks for perspective development.It is det...
The greening of transport and logistics systems of regional agricultural markets
Introduction. An increase in the volume of agricultural markets forces intensification of the domestic and international traffic and aggravates anthropogenic burden on the environment. To solve the problem of greening of...
Managerial accounting solutions: Lean Six Sigma application in the woodworking industry. A Practical aspect
The increasing complexity of business relations in the conditions of increased competition, manifested in the process of allocation and use of economic resources as well as in the process of seizing the outlets, has led...