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Paul Zogala, born in 1988, is a Canadian who works as a Trader at Murchinson, a global investment firm with a multi-strategic investment approach, founded in 2012. In 2014, he received a Bachelor of Arts (with honors) in Economics from McMaster University. Murchinson employed him until 2016. He assists investors by structuring and negotiating investments, convertible securities, debt instruments, and warrants. Murchinson is a multinational investment firm that employs a multi-strategy investment strategy. Because of the importance of all parts of the capital structure, experienced Chartered Market Technician and CFA Charterholder Paul Zogala, orchestrates and manages investments using stocks, convertible securities, debt instruments, and warrants. In addition to fundamental and technical analysis, he uses both practical and quantitative analysis to construct and monitor portfolio holdings. He manages the portfolio and implements corporate action plans.

Тема выпускной квалификационной работы: «Ковенанты облигаций как инструмент повышения экономической безопасности компаний-инвесторов». Данная работа посвящена изучению ковенантов как способа защиты от рисков инвестирования в облигации и повышения экономической безопасности.Задачи работы:- изучение сущности облигаций; - изучение рисков инвестирования в облигации; - сравнение мировой практики использования ковенантов с российской;- исследование ПАО «М.Видео» и анализ уровня экономической безопасности; - разработка проекта эмиссии облигаций, а также разработка проекта ковенант для повышения уровня экономической безопасности компании инвестора;Исследования в работе проведены на примере ПАО «М.Видео». В процессе работы была изучена финансовая отчетность компании, представленная на официальном сайте. Были проведен финансовый анализ компании и проанализирован уровень финансовой устойчивости организации. В результате было изучена система экономической безопасности компании, определены основные риски компании. В процессе выполнения работы был разработан проект эмиссии облигаций и рассмотрена возможность установления ковенант для повышения экономической безопасности компаний-инвесторов., Topic of the graduate qualification paper: Bond covenants as a tool for increasing the economic security of investor companies. This work is devoted to the study of covenants as a way to protect against the risks of investing in bonds and the way to increase the economic security of the investing companies. To achieve the goals of the work the research set the following tasks:- study the concept of bonds;- study the risks of investing in bonds;- compare the global and the russian practice of using covenants; - conduct the level of the economic security of the M.Video company; - develop the  bond issue project, and develop  a covenant project to increase the level of economic security of the investing companies.Research in the work was carried out on the example of «M.Video» company. In the process of work, the financial statements of the company presented on the official website were studied. A financial analysis of the company was carried out and the level of financial stability of the organization was analyzed.As a result, the system of economic security of the company was studied, the main risks of the company were identified. In the course of the work, a draft bond issue was developed and the possibility of establishing covenants to increase the economic security of investor companies was considered.

This thesis evaluates and constructs a general, product-neutral legal concept and model of financial instruments, as opposed to the product-dependent definitions currently employed in contemporary capital markets law. Through a combination of law and economics perspectives, legal history, and comparative analysis, the study examines the various types of financial instruments currently and previously in use. The legal characteristics and features of these instruments are evaluated and compared, leading to the identification of commonalities that can be used to define a product-neutral concept. The thesis argues that such a concept is more beneficial to the function of the capital markets by removing obstacles for financial innovation while also providing a consistent way to ensure that new financial products are governed by the same regulatory framework as comparable instruments.The thesis also examines the historical evolution of financial instruments and how it has been driven by the evolution of international trade and the demand and surplus of available capital. The proposed concept is applied to current financial instruments, including equity and debt, as well as pre-modern markets, and evaluated in terms of regulation, practical use, and legal characteristics such as transferability and negotiability.The research of this thesis encountered several challenges and limitations. Firstly, the historical and comparative analysis proved difficult to carry out, due to limitation in available source material and language related restrictions, respectively. These limitations were overcome by limiting the scope and by employing contacts with law firms in the respective jurisdictions. Secondly, several key issues proved to require further research to be able to provide definitive conclusions. Such research would have been out of scope and as such, simplified explanations and models were employed. The thesis concludes with a discussion of the practical implications of the proposed concept, including its application to cryptocurrencies and similar assets, and identifies potential areas for future research.

The article examines the current status of foreign investment development in the Ukrainian economy, highlighting the main positive changes in enhancing the efficiency of investment policy at the State level. Tendencies of direct investment (in forms of equity and debt instruments) in Ukrainian economy for the time period of 2010–2018 are analyzed. The reasons for the small amount of foreign investments invested in Ukrainian economy are provided. With the help of econometric models, a forecast concerning the attraction of direct investment (equity capital and debt instruments) in Ukraine and direction of investments in other world countries from Ukraine has been formed. The share of foreign direct investment in Ukraine’s GDP is calculated. The dynamics of direct investments from the European Union and the Russian Federation are analyzed. The structure of direct investment (equity) revenues in Ukraine on the part of the investor countries (the largest volumes) in 2018 is characterized. As result, the pivotal directions of growth in the investment attractiveness of Ukraine are allocated, this in summation will increase interest on the part of foreign investors and enhance the foreign direct investments into the national economy. The authors indicate some positive changes in the direct foreign investment in Ukraine and the need to make every effort at all administration levels of «the State-region-city-enterprise» to adopt an effective and efficient system of measures to strengthening Ukraine’s investment attractiveness at the international level.

Driven by abundant liquidity and searching for better returns, many foreign investors became well acquainted with bonds denominated in the local currencies of emerging market countries. As documented by the country cases in this paper, Debt Management Offices (DMOs) in these countries happily embraced access to a "new" funding source and a more diverse investor base. The note explores how countries attracted foreign investors for local currency financing. DMOs have used several avenues to sell local currency securities to non-resident investors: from issuing Credit Linked Notes, or, Global Bonds offshore; to facilitating non-resident access to the domestic local currency bond market either by building a bridge with an International Clearing Securities Depository (ICSD), or, by fully integrating them through their participation in the local CSD. Countries, including Chile, Peru and Ukraine, frequently used Credit Linked Notes (CLNs) in the initial stages of local currency domestic bond market development. Others, such as Brazil and Colombia at times and Uruguay more frequently, relied on local currency Global Bonds. These securities save non-residents from the uncertainty of the local jurisdiction and the hurdles of the local clearing and settlement for which investors are willing to accept lower yields than the ones paid by domestic government securities. Neither of these avenues bring non-resident investors directly to the domestic bond market which is desirable if the DMO wants to reap the benefits of a more liquid and transparent market and potentially lower government's borrowing costs. The participation of non-residents in the domestic bond market would require building a bridge with an ICSD, or, relying on the local CSD. The bridge has been the solution in countries where custody and settlement processes pose unsurmountable obstacles for non-residents to jump into the domestic debt market; successful experiences of this avenue include countries like Mexico, Chile and Peru. The alternate avenue is to develop a local infrastructure robust enough so that non-residents do not miss the ICSD; this has been the path chosen by Colombia and Brazil. No alternative has emerged as a superior solution and each arrangement must be assessed under the context of the particular country.

L'estructura agrària de la comarca de Bages es pot caracteritzar pels següents trets: - Predomini d'una pagesia benestant, conseqüència d'un procés històric que tindria els seus orígens a I'edat mitjana i que tindria com a unitat d'explotació el mas, entorn del qual es concretarien una bona part de les relacions socials amb la resta de la pagesia. - Aquesta accediria a la terra de dues maneres: en el marc de la comunitat rural com a propietari d'una petita parcel·la d'hort i de cereal de seca i accedint, mitjançant contracte de conreu, a les terres dels masos. El més freqüent era la rabassa morta i, en algunes ocasions, la masoveria. Els jornalers agrícoles sense terres eren pràcticament inexistents. Només els mossos tenen una certa importància, però vivien i eren alimentats al mas, a canvi del seu jornal...

The objective of this note is to provide guidance for countries on how to organize a public debt management back office most effectively. It describes the core processes that should be performed by that unit that is ultimately responsible for recording, monitoring, and reporting on public debt. It also highlights their involvement in the execution and settlement process. These are the basic functions of a debt management office, and evidence shows that many countries could benefit from improvements in this area. Proper debt recording and monitoring are the essential first step to developing good quality data; these form the basis for quantitative analysis, provide support for debt operations and facilitate effective policy decisions. Focusing on the main debt instruments that are used by low income countries, the note describes each process individually and highlights their interdependence. The main conclusion is that debt managers should organize themselves around the processes not products, and they should gather information to create a dataset to support debt management activities. Sound reporting is important for risk assessment and monitoring of a sovereign, and for the development and execution of debt strategies.

The realization of public tasks often requires debt fundraising. Basically, bonds are the main type of debt instruments used by the public sector. However, a high level of public debt and its permanent increase over the past few years force public managers to seek new solutions, other than debt creation, to finance public tasks. The main goal of this paper is to present and discuss new, innovative solutions on the construction of bonds in the light of financing public tasks by means of this very instrument

Borçlanma aracı enstrümanları, sermaye piyasalarında kamu ve özel sektörün ihtiyacı olan fonun oluşturulması noktasında ciddi bir yer tutmakta ve tasarruf sahiplerinin tasarruflarını değerlendirebilmeleri açısından finansal sistemin önemli bir parçasını oluşturmaktadır. Türkiye'de borçlanma ürünlerini bir piyasa içerisinde değerlendirdiğimizde organize piyasalarda pay senedi piyasasından sonra en fazla işlem hacmine sahip piyasa konumundadır.Bu çalışma Borsa İstanbul içerisinde yer borçlanma aracı enstrümanı getirilerinin makroekonomik göstergelerle ilişkisinin araştırılmasına yöneliktir.Genel itibariyle 2010:1 - 2016:12 arasını kapsayan araştırmada bağımsız değişkenler olarak tüketici fiyat endeksi, üretici fiyat endeksi, çekirdek enflasyon, işsizlik oranı, mevsimsellikten arındırılmış işsizlik oranı, tüketici güven endeksi, m1 para arzı, m2 para arzı, ham petrol fiyatı, brent petrol fiyatı, usd/try paritesi, eur/try paritesi, gram altın fiyatı ve ons altın fiyatı kullanılırken, bağımlı değişken olarak 2 yıllık devlet tahvili, 10 yıllık devlet tahvili, hazine bonosu, banka bonosu, özel sektör tahvili, devlet kira sertifikası ve euro tahvil getirileri kullanılmıştır.Çalışmada öncelikle Çoklu Doğrusal Regresyon Analizi ile bağımlı ve bağımsız değişkenler arasındaki ilişkiye bakılmıştır. ADF testiyle değişkenlerin birim kök sınamaları yapılmıştır. Son olarak, değişkenler arasındaki nedensellik ilişkisini belirlemek için Granger Nedensellik Testi uygulanmıştır.Çalışmanın sonuçlarına göre, bağımlı değişkenlerin getirileri üzerinde bağımsız değişkenlerden üretici fiyat endeksi, çekirdek enflasyon, tüketici güven endeksi, eur/tr paritesi, işsizlik oranı, mevsimsellikten arındırılmış işsizlik oranı, ham petrol ve brent petrol fiyatlarının etkili olduğu neticesine varılmıştır. Ayrıca 2 yıllık devlet tahvili, 10 yıllık devlet tahvili ve hazine bonosundan tüketici güven endeksine, özel sektör tahvilinden üretici fiyat endeksine ve son olarak banka bonosundan çekirdek enflasyona doğru tek yönlü nedensellik ilişkisi bulunmuştur. Borrowing have a instruments place in the creation signifant the fund needed by the public and private sector in capital markets and constitute an important part of the financial system in terms of enabling savings owners to assess their savings. After the share of organized market in debt securities market we evaluate the product in a market in Turkey is the market position of having the highest transaction volume.This study is aimed to investigate the relationship between the instruments of borrowing instrument instruments in the Istanbul Stock Exchange and macroeconomic indicators.In general, the survey covering 2010 , 2016 consumer price index, producer price index, core inflation, unemployment rate, seasonally adjusted unemployment rate, consumer confidence index, m1 money supply, m2 money supply, crude oil price, brent oil price, usd / try parity, eur / try parity, gram gold price and ounce gold price are used as dependent variables, 2 year government bonds, 10 year government bonds, treasury bills, bank bonds, private sector bonds, euro bonds are used.Firstly the study, relation between dependent and independent variables is examined by Multiple Linear Regression Analysis. Unit root tests of the variables were made by ADF test. Finally, the Granger Causality Test was applied to determine the causality relationship between variables.According to the results of the study, it is concluded that the producer price index, core inflation, consumer confidence index, EUR / tr parity, unemployment rate, seasonally adjusted unemployment rate, crude oil and brent oil prices are influential on the returns of dependent variables. There is also a one-way causality relationship from 2-year government bonds, 10-year government bonds and treasury bonuses to consumer confidence index, private sector bonds to producer price index and finally bank bonus to core inflation. 119

Izdaja obveznic kot vir financiranja ni nič neobičajnega. Obveznica je ena izmed najstarejših pojavnih oblik dolžniškega vrednostnega papirja. V zadnjem času pa ob bok tradicinalni, t. i. plain vanilla obveznici, stopajo različne vrste strukturiranih, hibridnih in podrejenih obveznic, ki so daleč od varne naložbe in preprostega dolžniškega vrednostnega papirja, kot si ga pogosto zmotno predstavljamo pod pojmom obveznica. Nedavna finančna kriza je močna razrahljala zaupanje malih vlagateljev v evropske finančne trge, zato evropski zakonodajalec vse več pozornosti namenja varstvu malih vlagateljev. Evropska komisija je podala predlog sprememb prospektna ureditve, ki je že dalj časa predmet številnih kritik. Na eni strani z visokimi stroški izdaje prospekta pretirano obremenjuje izdajatelje, na drugi strani pa s preobsežnimi prospekti malim vladateljem ne nudi zadostne zaščite. Poleg že obstoječih zahtev prospektne ureditve pa bo nova Uredba PRIIPs za izdajatelje različnih vrst strukutriranih obveznic prinesla tudi obveznosti priprave kratkega dokumenta s ključnimi informacijami, ki bo na enostaven in standardiziran način malim vlagateljem podal informacije, ki so potrebne za sprejem informirane odločitve. Dodatne zahteve za izdajatelje prinašajo tudi nova pravila MiFID II o upravljanu s produkti. V želji okrepiti varstvo malih vlagateljev MiFID II uvaja novi institut neodvisnega investicijskega svetovanja, že omenjena nova pravila o upravljanu s produkti in nova intervencijska pooblastila nacionalnih in evropskih regulatorjev. Bonds are one of the oldest debt instruments used to raise capital. In addition to plain vanilla bond, we are nowadays familiar with several other bond structures such as subordinated bonds, hybrid bonds and structured bonds. Such bonds are no longer considered a safe investment product, as many retail investors mistakenly believe. As financial crisis seriously affected trust of retail investors in European capital markets, the recent changes in European financial legislation aim to strengthen investor protection. First, European Commission proposed changes to the prospectus regime that has often been criticized due to the expensive, complex and time-consuming drafting process of prospectus on one hand and ineffective investor protection due to the overload of information on the other hand. Second, the new PRIIPs Regulation will introduce an additional obligation for issuers of structured bonds to prepare a key information document for retail investors. The aim of this short and standardized document is to provide retail investor with all information needed to make an informed decision. Third, MiFID II will require issuers to comply with new product governance rules. To address retail investor protection concerns, MiFID II introduces independent investment advice, the already mentioned product governance rules and new intervention powers to national authorities and ESMA.

Innovative financial instruments, in the context of the funding schemes of the European Union, are different from funding by way of direct subsidies. These financial instruments can be divided in two large groups: instruments offering risk capital and equity capital and debt instruments. The instruments help to engage resources from the private sector in projects which might be considered too risky without the said instruments and the implementation of which would be impossible or related to significantly higher expenses for the promoter of the project. As seen from Estonia’s perspective, up until now the use and impact of innovative financial instruments have generally met the expectations. In view of the diversity of areas and target groups of the innovative financial instruments planned within the framework of European Union’s Financial Framework 2014-2020, it may be presumed that several new instruments will be successfully implemented in Estonia.

Effective January 1, 2018, IFRS 9 Financial Instruments will replace IAS 39 Financial Instruments: Recognition and Measurement (IAS 39). Unlike most publications on IFRS 9, this paper focuses primarily on the application of the new standard on central banks’ foreign reserve assets, which increasingly constitute a substantial part of central banks’ balance sheet. Based on IFRS 9 implementation assessment projects with several central banks, the World Bank RAMP accounting team identified six factors that can help central banks determine appropriate business model for foreign reserve assets. Empirically, the result of applying the six factors has indicated that central banks’ reserve portfolios often display elements of more than one business model; hence management judgment coupled with a well-articulated accounting policy paper will be critical when implementing IFRS 9. Under most central banks reserves management frameworks, performing the solely payments of principal and interest (SPPI) test should be a relatively straightforward exercise, and the practical expedient option under the new impairment provisions should also apply.

Dužnički financijski instrumenti su specifične zbog komponente dospijeća koju sadržavaju te stoga konvencionalni pristupi u procjeni njihovih volatilnost mogu biti neprimjereni. Rad je usmjeren na modeliranje i prognoziranje volatilnosti cijene dužničkih vrijednosnih papira uzimajući u obzir komponentu njihovog dospijeća. U radu se uzima u obzir ovisnost volatilnosti dužničkog vrijednosnog papira o njegovom dospijeću i predlaže jednostavna i primjenjiva tehnike procjene volatilnosti uz željeni interval pouzdanosti. Korištenjem predloženog pristupa u radu su provedene procjene volatilnosti dužničkih vrijednosnih papira denominiranih eurima kao i u kunama koje je izdala Republika Hrvatska., Debt-based financial instruments are specific due to the maturity component and conventional approaches in estimating their volatility may not be applicable. This paper focuses on modeling and forecasting price volatility of sovereign debt instruments while taking into account their maturity. In doing so we propose a simple and useful technique for obtaining the desired confidence of volatility estimates. The proposed approach provides price volatility estimates for debt instruments issued by Croatian government denominated in HRK and in EUR.

The focus of capital structure research has now been diverted towards understanding the discriminating features of different debt instruments and explaining why to select a specific type of debt among different options? When companies predominantly borrow from fewer debt types, it is regarded as debt specialization (DS). The existence of DS has been empirically confirmed in some of the developed countries. But, researchers are far from reaching a conclusion that DS is a global phenomenon. Therefore, this paper is aimed to extend the canvas of DS debate by proffering new evidences for the existence and relevance of DS strategy among different organizational grouping. We use panel data for 410 non-financial publically traded companies of Karachi Stock Exchange from 2009 to 2013. The results of cluster analysis, threshold and conditional debt structure has confirmed the presence of DS. Our empirical findings indicate that 67% of the organizations exclusively rely on a single type of debt. The short term debts dominate in the debt structure of Pakistani companies, followed by secured and other long term debts. Additionally, through a comparative analysis among various organizational grouping based on profitability, age, credit rating, size, leverage, growth, dividend payments, regulations and business group affiliation, we identified similar trends of DS prevailing in five of the nine selected grouping variables. The paper also suggests several implications and directions for future research.

Financial infrastructure is the underlying foundation of a country’s financial system. It comprises all institutions, the rules, and standards of all the systems which enable financial intermediation. The quality of a country’s financial infrastructure determines the efficiency of intermediation, the ability of lenders to evaluate risk and of borrowers to obtain credit, insurance, and other financial products at competitive terms. For instance, the efficient and smooth functioning of the payment, and securities settlement systems facilitates the discharge of financial obligations and the safe transfer of funds across distances and institutions; hence, it support the stability of the financial system. This technical note contains the assessment of the national payment and settlement systems (NPS) infrastructure in Montenegro. The assessment was undertaken in the context of the IMF and World Bank (WB) joint Financial Sector Assessment Program (FSAP) mission to Montenegro during September 1-15, 2015. The assessor was Gynedi Srinivas of the World Bank’s Payment Systems Development Group. The assessor will like to thank the counterparts in Montenegro for their excellent cooperation and hospitality during the mission.

Kazakhstan’s economy faces the challenge of adjusting to a large terms-of-trade shock in a context of declining domestic and external demand. The authorities responded to the collapse of global oil prices through a rapid fiscal adjustment followed by corresponding monetary and exchange-rate policy adjustments. A difficult external environment will continue to affect Kazakhstan’s medium-term outlook. In the medium term, the economy continues to face significant downside risks, including the possibility of delays in Kashagan offshore oil production or a protracted recession in Russia and a further slowdown in China. Over the longer term, diversification of the economy will be required to increase its resilience to external shocks.

The Kenya water supply and sanitation (WSS) sector has been on a long path of facilitating commercial lending to Water Service Providers (WSPs). A key component of this effort is the evolution of rating the credit risk of WSPs for local lenders. However, the trade-off in credit rating WSPs is to provide the best credit analysis to help lenders assess the creditworthiness of WSPs, yet have a system that is simple and affordable enough to replicate on an annual basis. To solve this trade-off, the Water Services Regulatory Board (WASREB) and the Water and Sanitation Program of the World Bank have created a Creditworthiness Index for the WSPs in Kenya. In lieu of performing a full shadow rating analysis, which is much more thorough yet also more time-consuming and costly, the Creditworthiness Index provides a simplified snapshot of the financial and operational performance of WSPs.

Стаття містить відомості про стан ринків України з точки зору причин та обсягу фінансових спекуляцій, їх впливу на економічну діяльність підприємств. Зазначено, що фінансові спекуляції ґрунтуються насамперед на купівлі-продажу фінансових та матеріальних активів, якими можуть виступати гроші, продукція, цінні папери тощо. Їх сутність полягає в штучному зростанні вартості активів, що створює пропорційні розриви між ринками різних країн та може призвести до їх занепаду. Таке зростання, зокрема, за рахунок корпоративних запозичень,цін на нерухомість та іпотечного кредитування сприяло перегріву вітчизняної економіки у 2006 – 2008 роках. Проведено аналіз сучасного розвитку фінансового ринку України, його мультивалютної системи та ступеню державної заборгованості. Окреслено перспективи, які чекають на державний сектор у наступних роках, та значення обсягу боргу для діяльності підприємницьких інститутів у країні. У висновках зазначено перспективи розвитку фінансового ринку України, а також необхідні до прийняття державних заходів, серед яких фігурують стимулювання попиту на внутрішні ринки, розвиток торгівельно-інвестиційної інфраструктури та підвищення рівня внутрішньої конкуренції., Статья содержит сведения о состоянии рынков Украины с точки зрения причин и объемов финансовых спекуляций, их влияния на экономическую деятельность предприятий.Указано, что финансовые спекуляции основываются в первую очередь на покупке-продаже финансовых и материальных активов, какими могут выступать деньги, продукция, ценные бумаги и т.д. Их суть лежит в штучном росте стоимости активов, что создает пропорциональные разрывы между рынками разных стран и может привести к их упадку. Такой рост, в частности, за счет корпоративных заимствований, цен на недвижимость и ипотечного кредитования содействовало перегреву отечественной экономики в 2006-2008 годах.Проведено анализ современного развития финансового рынка Украины, его мультивалютной системы и степени государственной задолженности. Очерчено перспективы, которые ждут государственный сектор в последующих годах, и значение объема долга для деятельности предпринимательских институтов в стране.В выводах названы перспективы развития финансового рынка Украины, а также необходимые действия со стороны государства, среди которых фигурируют стимулирование спроса на внутренних рынках, развитие торгово-инвестиционной инфраструктуры и повышение уровня внутренней конкуренции., This article contains information about the state of the markets of Ukraine in terms of causes and volumes of financial speculation and their impact on the economic activity of enterprises.There are indicated that financial speculation is based primarily on the purchase and sale of financial and physical assets, what is known as money, goods, securities, etc. Their essence lies in unit growth of the value of assets that generates proportional gaps between the markets of different countries and can lead to their demise. Such growth, in terms of corporate borrowing, real estate prices and mortgage lending has contributed to overheating of the domestic economy in 2006-2008.There was made an analysis of modern financial market development in Ukraine, its multicurrency system and national debt raising. In the text were outlined the prospects that await the public sector in subsequent years and the value of debt for entrepreneurial institutions in the country.In the findings there are identified prospects of development of the financial market of Ukraine, as well as necessary actions of the state, among which are mentioned stimulation of the demand in the domestic markets, the development of trade and investment infrastructure and increasing of the domestic competition.

This Technical Note was prepared in the context of a joint World Bank-IMF Financial Sector Assessment Program mission in Bosnia and Herzegovina during October-November 2014. Bosnia’s capital markets are currently small, but they have the potential to play a more important role in the country’s future.

The Sustainable Development Goals, the global development agenda for 2015 through 2030, will require unprecedented mobilization of resources to support their implementation. Their predecessor, the Millennium Development Goals, focused on a limited number of concrete, global human development targets that can be monitored by statistically robust indicators. The Millennium Development Goals set the stage for global support of ambitious development goals behind which the world must rally. The Sustainable Development Goals bring forward the unfinished business of the Millennium Development Goals and go even further. Because of the transformative and sustainable nature of the new development agenda, all possible resources must be mobilized if the world is to succeed in meeting its targets. Thus, the potential for Islamic finance to play a role in supporting the Sustainable Development Goals is explored in this paper. Given the principles of Islamic finance that support socially inclusive and development promoting activities, the Islamic financial sector has the potential to contribute to the achievement of the Sustainable Development Goals. The paper examines the role of Islamic financial institutions, capital markets, and the social sector in promoting strong growth, enhanced financial inclusion, and intermediation, reducing risks and vulnerability of the poor and more broadly contributing to financial stability and development.

The paper finds a moderate evolution in public debt ratios since debt relief among heavily indebted poor countries (HIPC) and multilateral debt relief initiative (MDRI) recipient countries in Sub-Saharan Africa, with certain exceptions. For eight countries the authors find rapid rates of debt accumulation, which can return them to pre-HIPC debt levels in only a few years. Short-term domestic debt has, despite early fears, in general not filled the borrowing space created by debt relief. However, external debt accumulation on commercial terms in some cases presages repayment spikes, which may combine with short-term domestic obligations to amplify refinancing risk and cause abrupt reductions in public spending, with damaging consequences for development. Finally, despite reduced debt, African economies continue to be commodity dependent and prone to shocks. As global interest rates and commodity prices revert to historically more customary levels, these countries should remain prudent: avoid tax-base erosion, prevent large recurrent spending hikes, and invest wisely in growth, by executing projects effectively to enhance infrastructure. These fiscal fundamentals will be as important for debt sustainability as how much is borrowed and on which terms.

The explosive growth of green bonds in the capital markets is increasingly attracting attention from investors. This surge in interest has created a demand for accessible information on the green bond market. This primer was created in response to this demand and covers the principles of this relatively new financial instrument. The following intends to serve as a guide for those interested in better understanding the nature of green bonds. The content will aim to distinguish green bonds from other traditional financial instruments. It will also provide insight into the potential of green bonds to mobilize new sources of climate finance. This paper includes the following highlights: understanding bonds (chapter one); understanding green bonds (chapter two); and benefits and potential.

Detailed principles of accounting for financial instruments have been prescribed in Financial Instruments Regulation, but some general principles in that area have also been outlined in the Accounting Act. According to article 3, paragraph 1, point 23 of the accounting act, financial instrument is defined as any contract giving rise to financial assets of one entity and a financial liability or an equity instrument of another entity, on condition that the contract concluded by two or more parties clearly results in economic effects, irrespective of whether the execution of contractual rights or obligations in unconditional or conditional. Financial assets include: monetary assets (assets in the form of domestic currency, foreign currencies and foreign exchange instruments and other financial assets, in particular accrued interest on financial assets, equity instruments issued by other entities, and contractual right to receive monetary assets or to exchange financial instruments with another entity under favorable conditions. Equity instruments are defined as contracts which give right to assets of an entity which remain after satisfying or securing all its creditors, as well as an obligation of an entity to issue or deliver its own equity instruments, in particular shares, share options or warrants.

This note discusses the stress tests that were carried out on Moldova’s banking system as part of the 2014 financial sector assessment program (FSAP) update. The objective of this exercise was to assess the resilience of the banking system to major sources of risk. The stress tests were conducted in collaboration with the National Bank of Moldova (NBM), and complement other approaches, such as the analysis of financial indicators and the assessment of the quality of supervision. The stress tests focused on the banking system and covered all 14 banks operating in the country. Four macroeconomic scenarios were considered in the financial stability assessment. The stress tests include a comprehensive assessment of risk factors. Potential credit risk losses on the loan book represent the most important risk factor for the banking system. The stress tests also assessed the liquidity in foreign currency, and yielded similar results. However, there are a couple of banks whose ability to meet the liquidity norms is based on relatively large-scale cross-border interbank placements, and there are some doubts about the genuine liquidity of these positions. This note is structured as follows: section one gives executive summary; section two presents a brief description of the banking sector in Moldova and stress test coverage; section three describes the macroeconomic scenarios used in the stress tests; section four details the different methodologies used in the solvency stress tests; section five describes the liquidity stress tests; and section six concludes.

The general principles for credit reporting were issued by the World Bank in September 2011. Since then, the World Bank and the international committee on credit reporting (ICCR) have been leading efforts towards the implementation of the general principles worldwide. This report is one of the concrete outputs of the work following the general principles. It addresses one of the most significant problems that limit the ability of most small and medium enterprises (SMEs) around the world to obtain adequate external financing to underpin their productive activities: information asymmetries. Creditors assess the creditworthiness of credit and loan applicants based on two basic criteria: ones financial capacity or ability to repay a loan, and ones willingness to repay the loan. A credit reporting system s (CRS) basic objective is to address information asymmetries, which is crucial for determining repayment capacity and repayment willingness. Credit reporting can therefore be extremely valuable to creditors for enhanced, fact-based credit risk assessments, and in this sense can also be seen as a tool to facilitate access to financing, including by SMEs. The main objective of this report is therefore to identify actions that can be undertaken by authorities and other relevant policy makers to improve the flow of data and other relevant credit information on SMEs to creditors through CRS. For this purpose, the report first analyses the overall status of credit reporting activities in connection with SMEs.

Стаття містить відомості про стан ринків України з точки зору причин та обсягу фінансових спекуляцій, їх впливу на економічну діяльність підприємств. Зазначено, що фінансові спекуляції ґрунтуються насамперед на купівлі-продажу фінансових та матеріальних активів, якими можуть виступати гроші, продукція, цінні папери тощо. Їх сутність полягає в штучному зростанні вартості активів, що створює пропорційні розриви між ринками різних країн та може призвести до їх занепаду. Таке зростання, зокрема, за рахунок корпоративних запозичень,цін на нерухомість та іпотечного кредитування сприяло перегріву вітчизняної економіки у 2006 – 2008 роках. Проведено аналіз сучасного розвитку фінансового ринку України, його мультивалютної системи та ступеню державної заборгованості. Окреслено перспективи, які чекають на державний сектор у наступних роках, та значення обсягу боргу для діяльності підприємницьких інститутів у країні. У висновках зазначено перспективи розвитку фінансового ринку України, а також необхідні до прийняття державних заходів, серед яких фігурують стимулювання попиту на внутрішні ринки, розвиток торгівельно-інвестиційної інфраструктури та підвищення рівня внутрішньої конкуренції. This article contains information about the state of the markets of Ukraine in terms of causes and volumes of financial speculation and their impact on the economic activity of enterprises. There are indicated that financial speculation is based primarily on the purchase and sale of financial and physical assets, what is known as money, goods, securities, etc. Their essence lies in unit growth of the value of assets that generates proportional gaps between the markets of different countries and can lead to their demise. Such growth, in terms of corporate borrowing, real estate prices and mortgage lending has contributed to overheating of the domestic economy in 2006-2008. There was made an analysis of modern financial market development in Ukraine, its multicurrency system and national debt raising. In the text were outlined the prospects that await the public sector in subsequent years and the value of debt for entrepreneurial institutions in the country. In the findings there are identified prospects of development of the financial market of Ukraine, as well as necessary actions of the state, among which are mentioned stimulation of the demand in the domestic markets, the development of trade and investment infrastructure and increasing of the domestic competition. Статья содержит сведения о состоянии рынков Украины с точки зрения причин и объемов финансовых спекуляций, их влияния на экономическую деятельность предприятий. Указано, что финансовые спекуляции основываются в первую очередь на покупке-продаже финансовых и материальных активов, какими могут выступать деньги, продукция, ценные бумаги и т.д. Их суть лежит в штучном росте стоимости активов, что создает пропорциональные разрывы между рынками разных стран и может привести к их упадку. Такой рост, в частности, за счет корпоративных заимствований, цен на недвижимость и ипотечного кредитования содействовало перегреву отечественной экономики в 2006-2008 годах. Проведено анализ современного развития финансового рынка Украины, его мультивалютной системы и степени государственной задолженности. Очерчено перспективы, которые ждут государственный сектор в последующих годах, и значение объема долга для деятельности предпринимательских институтов в стране. В выводах названы перспективы развития финансового рынка Украины, а также необходимые действия со стороны государства, среди которых фигурируют стимулирование спроса на внутренних рынках, развитие торгово-инвестиционной инфраструктуры и повышение уровня внутренней конкуренции.

The global financial crisis of 2008-2009 required most sovereign debt managers to adapt to rapidly changing market circumstances, by changing the mix of borrowing instruments and adopting techniques that minimize the impact of severe market dislocations and increased risk aversion. These actions, allied to prudent macroeconomic and debt management policies implemented by government in the years preceding the crises, were critical in helping countries meet their financing needs without undue strain on the financial markets. This toolkit draws on the approaches taken by a range of countries and provides sovereign debt policy makers with a rich set of potential actions to address crisis periods. A practical illustration on the use of some of these actions is conducted by analyzing the measures taken by Romania, Serbia and Turkey as a response to the recent crises. Authors draw lessons from these experiences and examine what other measures included in the toolkit could have been used to boost the crisis response impact in these economies, respecting country-specific contexts.

はじめに : 経済成長の主導部門が従来の農業部門から工業・輸出・サービス部門へ転換するにつれ, 政府・民間両部門とも投資プロジェクトが大規模化し、大量の資金を必要とするようになった。このようなとき、国内貯蓄の調達と金融資源の配分を支える仕組み(マネー市場と資本市場)を効率化し、金融システム全体のイノベーションを推進することが重要になった。……

This policy note examines Thailand's programs for preventing poverty among the elderly, and suggests options for improving the effectiveness of these programs. The number of elderly people in Thailand will increase dramatically over the next 30 years, and the elderly already have a higher poverty rate than the population as a whole. Although Thailand currently has a total of eight pension programs, the majority of the benefits go to those who are not poor. In addition, unlike most countries, Thailand lacks a pension and provident fund supervision agency or a consolidated financial institution regulator, and does not appear to have a well-articulated national pension policy. This has led to the development of two major sets of pension programs, with one group sponsored by the ministry of labor and the social security office, and the other by the ministry of finance and the securities commission. These are also supplemented by an assortment of social assistance and community programs sponsored by the ministry of social development and human security and the ministry of interior. This policy note will examine the above issues in more detail and recommend policy options to simplify and coordinate the various pension and social assistance programs aimed at preventing poverty among the elderly, target more spending at the elderly poor, and assure long-term fiscal sustainability.

As the Mongolian mortgage market grows rapidly, and the Government of Mongolia (GoM) pursues an ambitious social housing agenda, there is an urgent need for a holistic sector approach. The following three key areas require attention from policymakers: first, there is a need to better balance housing supply and demand, which requires the authorities to focus on prudent mortgage lending standards and supervision, as well as on provision of housing infrastructure and zoned land. Second, it will be important to ensure effective implementation of ongoing and planned public housing finance programs, with a focus on preventing mortgage market distortions in pricing, emphasizing robust planning and rigorous transparency and governance. Third, authorities should aim for better balance in the composition of mortgage funding, with a focus on improvement in the legal and regulatory framework for capital markets, as well as Mongolian Mortgage Corporation (MIK) governance, products and operations. The Mongolian mortgage market is exhibiting strong growth, with portfolio outstanding increasing by 190 percent to Mongolian Tughrik (MNT) 656 billion (US$482 million) between 2009 and end-2011. This represents 8 percent of 2010 gross domestic product (GDP) and 12 percent of the 2011 banking loan book. The sector is highly concentrated, with top 4 lenders accounting for 89 percent of the market, as well as spatially in and around Ulaanbaatar. Housing prices have risen sharply in the last two years, particularly in 2011, when the increase for the predominantly mortgaged market segment was over 36 percent. While mortgage lending growth rates are consistent with the overall growth of household credit, real estate prices significantly outpaced Consumer Price Index (CPI) and GDP growth in 2011. Currently non-performing loans (NPL) are very low due to the unseasoned mortgage portfolio; however, high debt-to-income (DTI) ratio levels may exacerbate future loan age-related and cyclical delinquency increases. Due in part to extreme climatic constraints, shortage of zoned and serviced land, and infrastructure bottlenecks, housing supply is severely constrained. Large-scale, publicly-funded, subsidized housing initiatives, such as the '100,000 Apartments' Program, need to be carefully planned, so that they cause minimal distortion to the broader housing finance market.