ESSENCE AND ENSURING OF FINANCIAL AND ECONOMIC SECURITY OF BANKING INSTITUTIONS

Abstract

The article devoted to modern approaches to defining the nature andensuring of the banking institutions financial and economic security. Based on the research, the essence of financial security was determined as a component of the bank’s economic security. The paper focuses on issues of liquidity, profitability, financial sustainability, banking risk management in relation to external and internal threats. It has been established that financial and economic security should be understood as the ability to identify, prevent and counter external and internal threats in order to ensure a stable financial position of the bank and strengthen its financial and economic potential.The article also describes the threats, their consequences for thebanking sector and defines the main indicators for ensuring the financial and economic security of the bank. It is established that the selection ofindicators for the construction of ratios, models and methods of assessingthe level of financial security of banks and the banking system should bemade on the following principles: dimensionality, predictability andsignificance.The basic approaches to the assessment of the level of financial andeconomic security and measures to ensure it are considered. The mainmeasures include establishing the relationship between potential potentialrisks and their level of risk; formation of a system of indicators of financial and economic security of the bank; diagnostics and monitoring of the level of financial and economic security; implementation of the system of measures for ensuring the financial and economic security of the bank; control over the implementation of planned activities; analysis of implementation of measures, their assessment, adjustment; identifying bank threats and adjusting indicators depending on changes in the environment, goals and objectives of the bank.