General Policy - Central Bank of the Russian State and Commercial - Private Banks

The Central Bank of Russia - is the central bank of the Russian state

The Central Bank of Russian Federation (Bank of Russia) is the central bank in the country. He reports to the State Duma of the Russian Federation, which appoints its Chairman by the President of Russia, and is independent of the executive and administrative organs of state power. His main problem - is:

A. sustainability of the national currency;

Two. Organization of currency, settlement and exchange relations;

Three. protect the interests of depositors and creditors by determining the rules of the 4. commercial banks and their enforcement;

Five. promote economic development, creating a single market in the country and its integration into the global economy.

Central Bank of Russia regulates the activity of commercial banks in order to create general conditions for their operation and implementation of the principles of good banking competition. In the current activities of commercial banks' central bank does not intervene. Regulatory and supervisory functions of the Central Bank aimed at maintaining the stability of the monetary system. For this purpose, it defines the order of formation of banks, funds intended to cover potential losses, as well as sets them a series of prudential standards, including: the minimum authorized capital liquidity balance, reserve requirement to be placed in the Central Bank of Russia, etc.

Russian Federation and its commercial banks

Establishment and operation of commercial banks in Russia is based on the Law "On Banks and Banking Activity in the Russian Federation." In accordance with this Act, banks in Russia are as universal credit institution, that is, make a wide range of transactions in financial markets. These operations include the provision of different types and terms of credit, purchase, sale and possession of securities, foreign exchange, to raise funds on deposit, payment, issuance of guarantees and other commitments, brokerage and trust operations, etc.

Banks are prohibited to carry out activities in the sphere of material production, trade, material goods, all types of insurance.

As in other countries, banks in the Russian Federation is not liable for the obligations of the state and the state - for the obligations of banks, except as provided by law.

Banks in Russia can be based on any form of ownership: private, collective, joint-stock, mixed state. To form the authorized capital of Russian banks are allowed to attract foreign investment. Such banks may be joint (their share capital is formed at the expense of residents and nonresidents) and foreign (authorized capital is formed exclusively by non-residents).

According to the method of forming the authorized capital stock divided into banks (open and closed), and mutual. It should be noted that the current phase is characterized by conversion into stock mutual banks and the establishment of new banks in the form of joint stock companies.

To prompt the credit and settlement services for clients, geographically remote from the location of a commercial bank, he may organize branches and representative offices. Branches of the bank - it is separate subdivisions located outside of its location and carrying out all or part of its functions. The branch is not a legal entity. He enters into contracts, and conducts other business activities on behalf of a commercial bank, it has created.

The main purpose of the bank's representative is to represent its interests, the implementation of protection, the study of the banking market in a particular area. Representative offices are not legal entities and have no right to conduct banking operations.