Chinese oil companies. The largest corporations in the world

Bokova I.V., Dyadichko S.P., Krymova I.P., Musina L.A., Reznik I.A.
Finance and credit: Short course lectures. - Orenburg: GOU OGU, 2004 - 185 p.

Issue of non-cash money

Emission is the release of money into circulation, which leads to an increase in the money supply in circulation.

The amount of money in circulation is defined as the sum of cash and bank deposits.
By providing loans, commercial banks increase the money supply. The Central Bank limits or expands, with the help of monetary policy, the ability of a commercial bank to issue credit money, depending on how much of the money supply is considered necessary at the moment.

Under the reserves of a commercial bank, is understood the amount of money available to immediately meet the requirements of depositors.

The ratio of the amount of reserves to the amount of deposits is called the reserve ratio (reserve rate).

The ability of banks to influence the size of the money supply circulating in the economy is regulated by the Central Bank through the system of required reserves , and provide for the deposit by credit institutions with the Central Bank of a certain part of the funds raised. The Central Bank obliges banks to deposit part of the funds attracted by it, the Central Bank thereby limits the bank's credit capabilities, regulates the overall liquidity of the banking system. By changing the reserve ratio, the Central Bank is able to maintain at a certain level the amount of money in circulation in the country.

Under the free (excess) reserves of a commercial bank is understood the totality of resources that at a given time can be used for active operations.

Example: The amount of funds raised is 1000 rubles;
Required reserve ratio 10%;
Free reserves of KB -900 rubles.

The value of the free reserve of an individual CB is the sum of the capital of the CB; borrowed funds: centralized loan provided by the Bank of Russia to CB; interbank loan minus deductions to the Central Bank, and the resources of the bank itself. The ability of a bank to "create money" depends on the amount of required reserves established by the law of the country. The lower the amount of required reserves, the large quantity money can be created by the banking system. The system of CBs using the mechanism of bank deposits can increase the money supply. To assess the ability of banks to increase the money supply within certain limits, the concept of a money (banking) multiplier is introduced.

money multiplier - this is the coefficient of increase (multiplication) of money in the deposit accounts of the CB during the period of their movement from one bank to another.

Km = 1/N vol. res. ,(2)
where Km - multiplication factor;
N about. res. - the required reserve ratio.

The multiplication factor can also be expressed as the ratio of the money supply formed in deposit accounts to the value of the initial deposit.

Rice. How the money multiplier works

For the sake of simplicity, the presented model has the following assumptions:
- each bank has only two clients;
- banks use their resources only for credit operations;
- the required reserve ratio set by the central bank is 20%.

Let's assume that enterprise 1 needs a loan to pay for the supplies of enterprise 2. Commercial bank 1, which serves enterprise 1, applies to the central bank, and receives from it a centralized loan in the amount of 100 million rubles. As a result, bank 1 forms a reserve, at the expense of which a loan is issued to enterprise 1.
Enterprise 1 from its account pays for the supply of goods to enterprise 2, which has a current account in commercial bank 2. The attracted resources of bank 2 increase, and in accordance with the conditions of our example, they become equal to 100 million rubles.
A part of the amount of 100 million rubles that ended up in a commercial bank, namely 20 million rubles, in accordance with the required reserve ratio of 20%, is transferred to the centralized reserve, the rest (80 million rubles) is free reserve, and is used by the bank to provide a loan, for example, to enterprise 3 in the amount of 80 million rubles.
Enterprise 3 pays for the goods and services provided to it with enterprise 4, which is serviced by commercial bank 3. Now this bank has a reserve, and it disappears from commercial bank 2.
Commercial bank 3rd part of the received reserve in the amount of 16 million rubles. (20% of 80 million rubles) deducts to the centralized reserve, and the rest - 64 million rubles. bank 3 uses to issue a loan to the next enterprise.
This process can continue until the free reserves of commercial banks and enterprises are completely exhausted. Required reserves are accumulated in the central bank and reach the size of the initial free reserve of 100 million rubles, i.e. the amount of credit to a commercial bank 1.
However, the money in the settlement accounts of enterprises 2, 4, etc. (of all even enterprises) remain intact, so the amount of money in settlement (deposit) accounts will be many times greater than the initial loan issued to enterprise 1. In our example, money in deposit accounts can increase by a maximum of 5 times. This is due to the fact that the multiplication factor is inversely proportional to the rate of deductions to the centralized reserve. In the example above, the reserve requirement is 20%, so the multiplier is 5:
Km = (1/20) * I00 = 5. (http://works.doklad.ru/view/RlnUeY7ljBU/2.html)

The essence of the multiplier is that in the first commercial bank, which received the money issued by the Central Bank, a free reserve is formed. It is reflected as a balance on the main correspondent account. This reserve can be called "primary deposit", used to issue loans. At the expense of loans, money is transferred to another commercial bank, where a free reserve (“secondary deposit”) is also formed, within this reserve loans are issued, from the money of which a free reserve is formed in a third bank (“third deposit”), then in the fourth, etc. .d. In the process of lending carried out by commercial banks, increases, i.e. multiplied, the amount of money originally issued by the central bank in non-cash form by the system of commercial banks .

However, the multiplication factor will never reach its maximum value, because always a part of the free reserve is used for other non-credit transactions (in accordance with the established cash limit of any enterprise and the bank must have cash for cash transactions.)
The animation process is continuous , so the multiplication factor is calculated for a certain period of time (for example: a year). The Central Bank performs the function of monetary regulation, management of the multiplier mechanism, thereby expanding and narrowing the issuing capabilities of banks

Issue of cash

The issue of cash is a release into circulation, in which the total amount of cash increases. (Figure 5)

The monopoly of cash issuance belongs to the Central Bank. Based on the cash turnover of the CB and the analytical reporting, the Central Bank predicts the size of the proposed issue. It is necessary not only to determine the size of the proposed issue, but also in which regions it should be carried out. The need for money is constantly changing. The issue of cash is always decentralized. The need for money is constantly changing. The issue of cash is carried out by the Central Bank and its regional RCC (settlement and cash centers), which contain reserve funds and revolving cash desks.

In the reserve funds of the RCC, a stock of banknotes is kept, intended for their release into circulation in case of an increase in the needs of the economy of this region in cash. These banknotes are not considered money in circulation. They do not move, do not accumulate in the form of a treasure, do not serve as a means of payment, therefore they are reserve.

The cash desk constantly receives money and cash from the CB is issued from it. The money in the circulating cash desk is in constant motion, they are considered money in circulation.
If the amount of cash receipts to the account exceeds the established limit for this RCC, then the money is withdrawn to the reserve fund. When the CB needs cash, the reverse process occurs. From the CB's account, within the limit of its free reserve, the RCC is obliged to service the CB free of charge.

For example, CBs have a need for cash, and the receipt of money in their operating cash desks is equivalently not increasing. In this case, the RCC is forced to increase the issuance of cash into circulation. To do this, the RCC requests permission from the Central Bank of the Russian Federation, and upon receipt of it, transfers cash from reserve fund to the cash register. For the RCC, this will be an issuing transaction. But in one RCC there may be an increase in the amount of cash, and in the other, on the contrary, there will be a withdrawal from the circulation cash desk. Therefore, the Board of the Central Bank draws up a daily balance based on information from the RCC network, where the issue of cash took place, where the withdrawal.

Figure 5 - Cash flow

NOTE 1.

The most common is the opinion that both the central bank and commercial banks take part in the process of non-cash emission: if the central bank does not provide additional cash to commercial banks to maintain the circulation of cash and increase reserves, non-cash issuance of commercial banks will be severely limited or completely stopped. Thus, the basis of the non-cash issue of the banking system is the increase in the monetary base of the central bank of the country. The central bank can increase the volume of the monetary base by providing loans to commercial banks and the government (purchasing various kinds of valuable papers), as well as acquiring foreign currency or gold (i.e.active bank operations changing the balance sheet asset).

By carrying out these operations, the central bank increases its assets. Accordingly, its liabilities increase - cash in circulation and reserves of commercial banks. .
When in the process of carrying out these operations there is an increase in the liabilities of the central bank, its resources, which it can use for active operations, increase accordingly.

Similarly, the main sources of cash flow into the economy are:
. central bank lending to commercial banks;
. the purchase by the central bank of government securities;
. purchase of foreign currency and gold by the central bank.

It can be seen from the simplified balance sheet of the central bank (see Table 2.1) that, in addition to the volume of active operations of the central bank, the value of the item "Cash in circulation" is also influenced by the structure of the monetary base. The larger the reserves of commercial banks, the smaller, with other equal conditions issue of banknotes.

Ensuring the issue of banknotes. So, the active operations of the central bank serve as channels for issuing cash. The issue directly occurs as a result of an increase in the liabilities of the central bank's balance sheet, therefore, the assets of the central bank are the security for the issue of banknotes. Thus, in modern conditions the issue of banknotes is fiduciary (that is, not backed by gold), their circulation is based on the trust of the country's population in their issuer.

The mechanism of modern money emission determines credit nature of the security of banknotes . When the issue is carried out as a result of lending to commercial banks, it is secured by the obligations of commercial banks; when the issue occurs as a result of lending to the government, it is secured by government obligations (government securities); when the issue is carried out in the course of foreign exchange transactions, it is secured by foreign currency, which can be considered as obligations of foreign central banks (states).

Money, credit, banks: Proc. / G.I. Kravtsova, G.S. Kuzmenko, E.I. Kravtsov and others; Under the editorship of G.I. Kravtsova. - Minsk: BSEU, 2003.

NOTE 2

There are two ways to manage the money supply:

1. Direct impact on the value of the monetary base. Recall that the monetary base includes the cash supply, required reserves, balances on the accounts of the banking system in the central bank system and placed bonds of the central bank.

There are three channels for issuing money , leading to the expansion of the monetary base as the basis of the money supply in the country: credit, stock and currency.

Issuance credit channel - issuance of loans by the central bank to commercial banks and the government.

The issuance of loans to the economy is reflected in the assets of the central bank, their distribution - in liabilities. The monetary base increases by the corresponding amount. Lending by the central bank to the government is considered a bad practice, since any government must independently balance its income and expenses, and finance the deficit through market borrowing by placing its obligations on the stock market.

In addition, history shows that central bank loans to the government are usually not repaid on time, but are restructured.

Such lending leads directly to inflation.

On the contrary, the process of lending by the central bank to commercial banks is considered normal market practice and is called refinancing. Thus, the need of the real sector of the economy for Money Oh. So when some economists write that modern money is credit-based, they're right: that's what good money is. For commercial banks, the central bank acts as a "lender of last resort". They turn to him when other opportunities for raising funds (deposits and loans, including in the interbank market) have been exhausted.

Stock issuance channel - the central bank practices the so-called operations on open market, that is, transactions related to the purchase and sale of government securities.

By purchasing government bonds, the central bank increases the money supply in circulation, while both the assets of the central bank (under the item "Securities") and its liabilities (under the items "Cash in circulation", "Required reserves" and "Account balances"). When selling government securities, the central bank, on the contrary, withdraws money from circulation, while its liabilities, assets and monetary base are reduced.

In Russia, the stock issue channel was the main one from 1995 to 1998.
This system led to the accumulation of public debt, which was one of the reasons for the government to declare default on its obligations.

Currently, the stock issue channel is actively used in some countries, for example, in the USA and Japan.

Open market operations are also an ideal way to regulate the liquidity of the banking system. At the same time, the purchase of government bonds by the central bank can cause side, not always desirable, macroeconomic effects in the financial market:
1) increase in interest on government bonds;
2) reduction of interest on deposits due to the growth of the money supply.

Currency emission channel - the central bank practices transactions for the sale and purchase of foreign currency on the open market, or the so-called foreign exchange and ruble interventions. The Bank of Russia carries out such interventions on the Moscow Interbank Currency Exchange (MICEX).

If the central bank buys foreign currency, it automatically increases the money supply in circulation. At the same time, its assets (in terms of the article “Gold and foreign exchange reserves of the state”), liabilities and the monetary base grow by an adequate amount. If the central bank sells foreign currency, it withdraws money from circulation, the monetary base shrinks. The Central Bank may also establish a requirement for the mandatory sale of exporters' foreign exchange earnings.

Mandatory sale of foreign exchange earnings by exporters was introduced in Russia during the 1998 crisis. Initially, the standard was 50%, from January 1999 it was increased to 75%. In connection with the rise in oil prices, from August 2001 the standard was reduced to 50%, in July 2006 - to 25%, in December 2004 - to 10%, and from 07.05.2007 the mandatory sale of foreign exchange earnings by exporters was completely canceled .

However, the purpose of the central bank's foreign exchange operations is often not to regulate the money supply, but to manage the exchange rate of the national currency and maintain the state's foreign exchange reserves. The managed exchange rate policy has its own logic: too low a national currency rate causes inflation, and too high a rate reduces the competitiveness of domestic products by domestic market increases the attractiveness of imports and suppresses economic growth.

Being independent instruments of monetary policy, foreign exchange interventions at the same time can lead to an undesirable change in the money supply and cause either inflation (rising prices) or deflation (decreasing prices). To eliminate this negative effect, central banks implement a special policy called sterilization.

Sterilization — neutralization of the negative consequences of operations in the open foreign exchange market with the help of reverse operations in the securities market.

The money supply thrown into circulation when buying foreign currency can be withdrawn from circulation again by the central bank by selling its bonds or government bonds for the corresponding amount. In this case, there is an exchange of some assets of the central bank for others without changing the monetary base and the money supply in circulation.

The currency emission channel poorly reflects the needs of the economy in money and is less capable of performing the function of an active regulator of the money supply. Rather, it acts as a kind of passive mechanism for adjusting to the movement of capital between countries or is a side effect of an active policy of managing the exchange rate.

2. Impact on the value of the money multiplier. To do this, the central bank uses two tools:
1) change in the discount rate (refinancing rate);
2) change in the norm of required reserves.

Malkina M.Yu., "Monetary Economics: Tutorial." - Nizhny Novgorod: Nizhny Novgorod State University, 2010.

NOTE 3:

"There are three classic models for issuing money. The colonial model is the one we have in Russia, the currency board, or the currency exchanger. The second option is the American model, when the Central Bank, in this case the Federal Reserve, throws away dollars in exchange for treasury bonds. And the third option is called the German model. Although in many countries after the war this mechanism was used. Money entered the economy as a result of refinancing commercial banks. Commercial banks give loans and, as it were, refinance their claims with money from the Central Bank.

That is, the Central Bank gives money against the security of those loans that commercial banks have issued for the implementation of projects in the real sector of the economy. This model is normal, healthy. There are also "buts" there, however, of the three models, this is the most normal, because it directs the Central Bank towards the development of its own economy and the money supply approximately corresponds to the mass of commodities, that is, at least there should not be high inflation here. "

Valentin Katasonov: "THE WAR IS GOING ON AND THE RUSSIAN ECONOMY IS UNARMED"

The issue of money is an important and complex economic process. The procedure is carried out at the state level with the participation of commercial banks. Each country has its own emission procedure, regulated by domestic legislation. Consider how money is issued in Russia.

Concept definition

The issue of money is the production and introduction of cash or non-cash funds into circulation, in which the total financial mass increases. The only authorized body responsible for organizing and regulating the issuance and withdrawal of money is Central Bank of the Russian Federation. At the same time, the issuance of banknotes (treasury notes), securities and coins is controlled by the Treasury, and the “non-cash” issue is carried out by commercial banking institutions, but under the supervision of the Central Bank.

Do not confuse the term with the exchange of old or worn banknotes for new ones. In this case, the total amount of funds remains at the same level and the concept of "emission" is not applicable.

Today, the issue of funds is carried out according to several principles:

No obligation to fully or partially back the issued funds with gold reserves.
Banknotes and coins issued on the territory of Russia are secured by the assets of the Central Bank of the Russian Federation and are its obligations.
The exclusive monopoly in the Russian Federation is the Central Bank. Only he is responsible for organizing the issue, withdrawal and exchange of money.
The Russian ruble is the only legal means of payment in Russia. The use of other currencies or alternative values is illegal. At the same time, the use of certain securities as a means of payment is permissible, but within the framework of legislative acts. For example, it is permissible to pay by bills, but they can only be in rubles.
Unlimited exchange. There are no restrictions on amounts or subjects, if new money is put into circulation, then the exchange of obsolete coins or paper banknotes varies within a strict time frame: from 1 to 5 years.
The only authorized body that decides on the issue is the Board of Directors of the Central Bank of the Russian Federation.

Putting into circulation non-cash money

Unlike cash banknotes, non-cash money can be issued commercial banks privately. As a rule, this happens when a loan is issued, but the transfer of non-cash money between banking institutions is always carried out under the supervision of the Central Bank. The volumes of interbank transfers are limited by money reserves placed on correspondent accounts. In cases where funds are insufficient, financial institutions use short-term loans from the Central Bank of the Russian Federation or resort to refinancing.

Since the issue is understood as the release along with the increase in the money supply, the very fact of issuing a loan is not such. Consider a simple diagram:

Company A, having free funds in the amount of 1 million rubles, transfers them to a deposit account.
The bank uses this money and lends it to company B, which in turn pays the supplier (company C) for the goods.
Company B, having 1 million free funds, deposits them on a deposit in its servicing bank.

As a result, the amount of 1 million appears in two banks - on the account of companies A and B, although initially, in cash, there was only one million. And there is company B, which will return 1 million to the first banking institution, along with interest, since a loan was issued. Then the chain can be repeated.

This is a simple example. Ultimately, A and B at some point decide to withdraw money from banks by cashing it out or using it to conduct transactions, thus there is an increase in the money supply - first in non-cash, then in cash.

AT Russian Federation this process is regulated by the Central Bank. If financial institutions are not limited in the "production of non-cash money", the mass will continuously increase, which will negatively affect the economy and lead to inflation. Therefore, the Central Bank obliges banks to create a "reserve" - this is a restriction and security for the issue at the same time. If we return to the above example:

Reserve by decree of the Central Bank = 20%.
The bank, having received a deposit of 1 million rubles from company A, is obliged to reserve 20% of the amount when issuing a new loan. The maximum loan amount given to company B cannot exceed 800 thousand rubles.
If this money goes to pay for the goods of company B, which in turn makes a deposit of 800 thousand, the bank can issue a new loan in the amount of not more than 640 thousand (20% of 800 thousand is transferred to the reserve).

Thus, the volume of emission is restrained, controlled, and gradually “fades to naught”. While the increase in the money supply is ensured by the active operations of banks, the Central Bank exercises monopoly control and regulation of the entire process, imposing restrictions.

Non-cash funds during the issue are issued to banking institutions from the Central Bank as loans at the refinancing rate. Most often, the procedure is carried out in the form of a REPO transaction. The issued money goes to the recipient's correspondent account with the Central Bank of the Russian Federation.

There are other ways to issue non-cash funds. Thus, the money supply increases due to the purchase of foreign currency, as well as the use of bills as means of payment.

Issuance of cash

The printing of paper banknotes and the minting of physical coins can only be carried out in special printing houses and mints. These are separate enterprises, the activities of which are controlled and clearly regulated by the Central Bank.

The minting of coins is carried out by Goznak at the mints of St. Petersburg and Moscow, and these companies are also responsible for the manufacture of medals and badges. The printing of banknotes is carried out by specialized printing houses that have technological capabilities protect products from counterfeits. The range of their activities includes the printing of securities, civil passports and other important documents and papers.

Not all states have the capacity to produce paper money and coins on their own. In this case, they place orders in other countries that have the necessary technology and equipment. Russia manufactures and issues money without the participation of intermediaries.

The issue is carried out in cases where cash is not enough to cover the needs of economic agents. talking plain language– when the volume of issuance of banknotes and coins exceeds their receipt. For example, it is common for the Central Bank to purchase foreign currency through issuance. New money as a result will be backed by currency. In other situations, when the Central Bank issues loans to the government or commercial banks, the money is secured by state securities or credit obligations of banking institutions.

Considering a simple example:

Company A made a deposit in the amount of 1 million rubles to the bank account, the bank issued this money on credit to company B, minus the reserve, which transferred it to the account of company C as payment for goods.
Company A and B have 1 million and 800 thousand rubles in the account, respectively, but initially only 1 million rubles were deposited. If both businesses decide to cash out, there will be an increase in the money supply. Initially, this is observed in a non-cash form.
When banks need to withdraw money from the cash desk in cash, they will turn to the Central Bank of the Russian Federation, which will make up for the lack of banknotes and coins from the circulating cash desk.

This example is as simple as possible, but reflects the main theses of the issue:

Non-cash emission is primary, cash is secondary.
Both forms of emission are closely related.
The overall growth of money is controlled by the Central Bank, despite the fact that banks are also vested with rights.

The mechanism for introducing money into circulation

The mechanism of this process in Russia includes three participants:

Central Bank of the Russian Federation. Its functions include the production of cash banknotes and coins by placing orders with authorized companies (mint, specialized printing house), accounting and rediscounting of securities issued by commercial financial institutions, purchasing treasury bills and foreign currency.
Treasury - organizes the issuance of treasury notes, change coins.
Commercial banking institutions - have the right to independently issue money in non-cash form, issuing loans.

Initially, the Central Bank conducts monitoring and analysis, identifying the needs of banks. In each region, there are special settlement and cash centers or RCC, where cash is located - in the process of storage, money is not considered put into circulation and formally has no value. Such a financial reserve is called a "reserve", it does not move around the accounts, but is located exclusively in the reserve fund.

Also at the RCC there are cash desks of the Central Bank of the Russian Federation, where banks hand over cash, getting rid of an unprofitable asset, or from where they receive cash banknotes and coins. Funds in them are funds "in circulation", they are regularly received and issued, that is, there is a constant movement.

The monopoly right to receive income from the issue of funds belongs to the Central Bank of the Russian Federation.

Briefly about excess emission

If to speak in simple words- excess emission generates development. A large amount of money supply does not stimulate the development of production areas, purchasing power is growing unevenly, prices for goods and services are steadily increasing. Social stratification is also observed here - for example, state employees receive a fixed salary, sellers of "hot" goods are rapidly increasing their capital, and there is a budget deficit - expenses are made at new prices, and tax deductions are formed for past periods.

The volume of exports is also decreasing, which means a decrease in production volumes, bringing enterprises to bankruptcy, and unemployment is growing. Inflationary moods, the stratification of society generates a lot of negative factors. The end result is a complete collapse of the economy.

But all this only applies unjustifiably excessive emission caused by inflation or the decision of the government of the country. When the process is under control, an optimal balance is maintained, emission, on the contrary, has a positive effect on the economy.

The issue of banknotes into circulation, along with the growth of the money supply, is a complex, multi-stage and strictly regulated process. The key body in decision-making and organization of the issue is, it also makes a profit. The cost of cash is an order of magnitude lower than the face value, which forms the issuer's income. Also, banking institutions have become integral participants in the mechanism, they provide the issue of non-cash funds, through them money is transferred into cash or non-cash form.

Issue of cash

The following principles of issuing cash are in force in Russia:

the principle of optional security (there is no official ratio between the ruble and gold or other precious metals);
the principle of monopoly and uniqueness (the issue of cash, the organization of their circulation and withdrawal on the territory of Russia are carried out exclusively by the Central Bank of Russia);
the principle of unconditional obligation (the ruble is the only legal tender in Russia);
the principle of unlimited exchangeability (no restrictions on amounts or subjects of exchange are allowed; when exchanging banknotes and coins for new banknotes, the period for their withdrawal from circulation cannot be less than one year and more than five years);
principle legal regulation(the decision to issue money into circulation and withdraw it from circulation is made by the Board of Directors of the Bank of Russia).

Issue of non-cash money

If only the Central Bank issues cash, then non-cash money can be created privately. This is usually associated with the issuance of loans.

The bank multiplier is widely known, which increases the money supply due to loans issued. But this is not the only option for non-cash money emission. If a bill begins to be used in settlements for goods or services, then such a bill begins to play the role of additionally issued money.

When loans are returned (bills are redeemed), additional credit emission is eliminated (credit contraction).

Links

Wikimedia Foundation. 2010 .

See what "Emission of money" is in other dictionaries:

One-time release into the market circulation of sufficiently large batches of unified debt obligations: treasury bills, commercial paper, mortgages, banknotes, etc. In English: Issue of money See also: Monetary policy ... ... Financial vocabulary

Issue of money is a one-time release into market circulation of sufficiently large batches of unified debt obligations: treasury bills, commercial paper, mortgages, banknotes, etc. Dictionary of business terms. Akademik.ru. 2001 ... Glossary of business terms

issue of money- Issuance of banknotes in circulation in all forms leads to an increase in the money supply in circulation. Accounting topics... Technical Translator's Handbook

EMISSION OF MONEY- in accordance with Art. 136 of the Constitution of the Republic of Belarus, the National Bank of the Republic of Belarus has the exclusive right to issue money. According to Art. 28 BC The National Bank has the exclusive right to issue money. Issuance of money... Legal Dictionary of Modern Civil Law

Money- an integral part of economic turnover. The issuance of money, in cash or non-cash form, occurs constantly to meet the needs of the market. Emission is the release of money into circulation. The bank provides the client with a loan - non-cash money is issued into circulation. The client of the bank withdraws money from the account and receives it at the cash desk of the bank - the turnover is replenished in cash. And vice versa, when borrowers repay loans, or depositors deposit funds into the account, the cash turnover decreases.

The concept of emission

The word "emission" came to us from the Latin language, translated emissio - release, emitto - release. An issue is the issuance of money and/or securities into circulation. In developed countries, central banks and treasuries have the exclusive right to issue money. Issuing banks issue credit money, and the treasury is engaged in the issue of treasury notes and change coins. Each country has its own issuing system, which determines the rules for issuing banknotes, as well as the size of the issue of cash, its norms and forms of security. Issue forms.

The main forms of emission include the following:

Emission bank cards- production of bank cards.
Issue of money - issuance of cash or non-cash money into circulation.
Emission of securities - issuance of emissive securities into circulation.
The issue of postage stamps is the introduction of postage stamps into circulation.

Issue of bank cards

Issue of bank cards is the activity of the bank in issuing cards into circulation. The issue of cards is an important level of organization of the business of plastic cards in a commercial bank and requires a professional approach and highly qualified work of specialists.

The activities of the bank in issuing cards into circulation can be divided into several stages:

Registration contractual relations with clients, opening card accounts;
Production of plastic cards, issuance to the client, maintenance of plastic cards;
Conducting operations on the card account;
Closing of a card account, withdrawal and destruction of a plastic card.

The first stage is the verification of submitted applications for issuing cards and the execution of contractual relations with customers. The basis regulating the relationship between the institutions of the bank and the client is the card account agreement.

The following conditions must be reflected in the card account agreement:

name of the bank institution and client
payment system name
type of card
the procedure for using the card, including the procedure for granting an overdraft (if provided)
card expiration date (if applicable)
conditions for conducting a currency exchange operation
contract time
procedure for replacing and withdrawing a card
rights and obligations of the parties
responsibility of the parties
dispute resolution procedure
placement conditions and the procedure for writing off the amounts of the security deposit (if established)
rewards for card transactions
the amount and procedure for depositing funds by individuals
conditions for terminating the contract
grounds for terminating the contract before the deadline
return procedure individuals cash in case of non-fulfillment of obligations or termination of the contract earlier than the deadline
other conditions in accordance with the law

Issue of bank cards in Russia

According to the Bank of Russia, over 65% of banks issue and/or acquire payment cards (661 credit institutions out of 965), the number of bank cards issued by them (data as of 07/01/2012) amounted to 220 million, which is 24% more than last year.

More than 80% of issued bank cards were issued by international payment systems VISA and Mastercard. Russian payment systems (Sberkart, Zolotaya Korona, STB Card, Union Card) control from 6% to 12% of the market.

The leader in issuing debit bank cards in Russia is Sberbank (about 45% of the issue of all cards). As of April 1, 2007, the volume of issue of Sberbank cards reached 18.77 million cards, having increased by 7% in the first quarter of 2007. At the same time, the number of cards of international payment systems VISA and MasterCard amounted to 15.63 million cards (83% of the total issue volume), including: MasterCard and Maestro - 9.21 million cards; VISA and VISA Electron - 6.42 million cards. The number of Sbercard microprocessor cards amounted to 3.14 million cards.

According to Visa International, at the end of the 2nd quarter of 2007, Russian banks issued 39.4 million VISA cards, which is 47% more than last year.

Money issue

Monetary, or fiduciary issue, is the issue of banknotes (in Russia - rubles). At the moment, the money issue does not have a gold backing. Although earlier the release of banknotes into circulation was carried out only when it was covered with a gold reserve. The issue of cash in Russia is subject to the following principles: Non-mandatory security (the ratio between gold and the ruble has not been officially established). Monopoly and uniqueness (only the Central Bank of Russia can issue funds into circulation). Unconditional obligation (the ruble is the only means of payment in Russia established by law). Unlimited exchangeability (there are no restrictions on the amount of exchange). Legal

regulation, both the issuance and withdrawal of money from circulation, is the responsibility of the Board of Directors of the Central Bank.

Issue of non-cash money

Deposit-check emission can be carried out both by the Central Bank and privately. This form of issue is the basis of non-cash payments. The deposit-check issue exceeds the issue of monetary funds in terms of volume. Usually the emission of non-cash money occurs during the issuance of loans. Due to the issued loans, the so-called bank multiplier increases, which increases the money supply.

The issue of non-cash money also occurs at the moment when the bill is used as a means of payment for goods or services. And if the bill is redeemed, the additional issue is liquidated, that is, there is a credit contraction.

The following principles of issuing cash are in force in Russia:

the principle of optional backing with gold (no official ratio is established between the ruble and gold or other precious metals);
banknotes and coins of the Bank of Russia are unconditional obligations of the Bank of Russia and are secured by all its assets;
the principle of monopoly and uniqueness (the issue of cash, the organization of their circulation and withdrawal on the territory of Russia are carried out exclusively by the Central Bank of Russia);
the principle of unconditional obligation (the ruble is the only legal tender in Russia);
the principle of unlimited exchangeability (no restrictions on amounts or subjects of exchange are allowed; when exchanging banknotes and coins for new banknotes, the period for their withdrawal from circulation cannot be less than one year and more than five years);
the principle of legal regulation (the decision to issue money into circulation and withdraw it from circulation is made by the Board of Directors of the Bank of Russia).

Current situation

According to the Bank of England, in December 2013, approximately 97% of the money supply in the economy was bank deposits, mostly created by private banks themselves as a result of lending.

Also significant is the fact that an increase in the money supply in the interests of economic development, as a rule, is possible only by increasing the debts of economic entities to banks. At the same time, the growth of the money supply (and debts) in modern economy outpaces GDP growth (see Turner, 2014). At the same time, the outstripping growth of debts in relation to GDP is pushing for a financial crisis.

In this regard, some economists propose to increase the current account reserve ratio to 100%. This idea was first proposed by Frederick Soddy in the 1920s, and later similar proposals were made by Irving Fisher and Henry Simons. Various versions of this kind of reform have also been proposed by Milton Friedman (1960), James Tobin (1987), John Kay (2009) and Lawrence Kotlikoff (2010). In their opinion, this will deprive banks of the opportunity to create new money in the form of loans, and will transfer money emission exclusively to the state. IMF economists in 2012 modeled Fisher's proposals and came to the conclusion that there was "a strong confirmation" of the declared

advantages of the proposed system. Further development of Fisher's proposals (mainly related to the specifics of money circulation in electronic form) is the work of Joseph Huber and James Roberts "Creating New Money" (2000). The NGO Positive Money has been created in the UK and is campaigning to deprive banks of the right to issue and create “sovereign money”.

Issue of securities and its features

The issue of securities is the issuance of shares, bonds and other varieties of important securities. Moreover, all procedures must be carried out in strict accordance with the law. An issuer of securities is a company that issues securities.

The main purpose of the issue of government securities is to attract additional financial resources. If shares are used for this, then increases authorized capital enterprises, in the case of bonds, the terms of the loan apply. At the same time, all stages are controlled government bodies that regulate the securities market.

Issues can be resorted to in order to issue papers with new rights, change the face value of shares that are already in circulation, and also establish a joint-stock company.

Securities Issuance Standards

On the territory of the Russian Federation there are certain rules for issuing shares, additional shares and bonds. A procedure for their preparation has also been established. Standards for issuing securities is a document that regulates all the described actions. They allow you to regulate the issue of shares of a joint-stock company during its registration, additional securities that are distributed among shareholders, as well as additional shares.

Also, the standards for the issue of securities determine the rules for issuing bonds, which are placed by subscription, and securities, for the placement of which conversion is used. Shares are placed at the establishment of a joint-stock company among its owners. For this, subscription and conversion are used.

The main stages of the issue of securities

If we consider the usual procedure for issuing securities, then it includes the following stages of registration of the prospectus for the issue of securities:

A decision is made to issue securities.
The decision on the issue or additional issue of securities is approved.
State registration of the securities issue prospectus.
Placement of securities.
State registration of the report on the results of the issue.

The procedure for issuing securities is best carried out in the sequence described above. If it is violated, then conditions are created for recognizing the issue as unfair. As a result, a decision to refuse state registration of securities may be made.

When registering the issue of shares, it is necessary to carry out a lot of operations, as well as draw up various documentation. It must be filled out legally correctly and without errors. It is best at this stage to turn to specialists who will provide qualified assistance.

The prospectus for the issue of securities by banks and other organizations is intended to disclose reliable and complete information that will serve as the basis for an objective decision by investors to purchase them.

How is the issue organized?

As a rule, professional participants of the stock market or underwriters are involved in the issue. They sign an agreement with the issuer, after which a number of obligations fall on their shoulders, affecting the issue of securities and their placement. The underwriter receives a fee for his services.

The underwriter services the entire procedure for issuing securities: substantiates the issue, determines the parameters, prepares the required documents, registers them with government agencies, and makes placement among investors (in this case, third-party organizations may be involved).

Often, underwriters assume certain obligations that are associated with the placement of the issue.

They can be of the following types:

Purchase of all securities at a fixed price, after which they are placed at market value. The intermediary assumes all risks if shares or other securities are not sold.
Obligations to purchase only the under-placed part (it can be actual and fixed), risks are associated only with these securities.
The underwriter assumes all the duties of an intermediary: he helps with the placement of the issue, but he is not responsible for the under-placement of securities. This risk lies entirely with the issuer of securities.

Issue types

Emission processes can be characterized from different angles. From the point of view of priority, emission is usually divided into primary and secondary.

Primary emission takes place either when commercial organization issues its securities for the first time, or when the issue of a security by this organization occurs for the first time. For example, a company decides to issue its bonds for the first time, or an emerging joint-stock company issues its first shares. This also includes a situation where a company that previously issued only ordinary shares or bonds has decided to issue for the first time, for example, its convertible bonds or preferred shares.
A subsequent issue is a repeated placement of certain securities of a given commercial organization. According to the method of placement, the issue can be carried out by distribution, subscription and conversion.
The distribution of securities is their placement among a predetermined circle of persons without concluding a contract of sale. Issuance by distribution is possible only for shares, not for bonds. The distribution of shares takes place either at the establishment joint-stock company, or when they are placed among its shareholders (bonus issue).
Subscription is the placement of securities by concluding a sale and purchase agreement (that is, on a reimbursable basis). Subscription can be carried out in two forms: by closed or open subscription.
A closed subscription is the placement of a security among a previously known, limited circle of investors.
An open subscription is the placement of a security among a potentially unlimited number of investors on the basis of wide publicity.
Conversion is the placement of one type of security by exchanging it for another under predetermined conditions.

In general, the placement of shares can be carried out by distributing them among the founders of the joint-stock company, additional shares among shareholders, subscription and conversion (exchange) of other types of securities of the company for shares.

Bonds are placed only by subscription or conversion.

In the process of issue, both registered and bearer securities can be issued; both in documentary and non-documentary forms.

The placement of a security, understood as a set of all possible relations between the issuer of a security and other participants in the securities market, is its primary market.

Issue of postage stamps

Issue, or emission (from lat. emissio - issue), in philately - the putting into circulation of a particular postage stamp as a sign of postage, as well as the totality of all copies of the circulation of this stamp printed for this within a single printing order.

As a rule, postage stamps or their series are issued (issued) at the same time, however, there are also cases of stage-by-stage introduction of circulations into postal circulation - both already published and also published stage-by-stage (with a difference of several days, months, annually or even less often). The set of copies of the stamp (stamps) put into circulation during each stage is considered their separate issue, issue - regardless of whether these issues differ from each other in their own way. appearance, properties.

Mark publishing policy

Here it is important not only to determine the theme, plots and denominations of the planned issues, but also the circulation. To do this, it is necessary, if possible, to take into account the needs of the post office in postage stamps (approximately 10 percent of the circulation), the number of stamps sold by subscription and in free sale to philatelists, the foreign trade association "International Book" - abroad, the stock pledged by DIEZPO for long-term storage for implementation in the future, the popularity of motives and plots and other factors.

Large stocks, the excess of supply over demand reduce the popularity of the issue. Large circulations, high denominations that are not related to postal rates, a large annual number of issues, low artistic and printing performance negatively affect the popularity of stamps of a particular country, lead to a decrease in demand and, consequently, income of the postal administration. However, the artificial limitation of circulation, the abuse of issuing small-circulation stamps, overprints, numbered blocks that are not available for free sale or

sold on special conditions, promote speculation and, in turn, lead to a drop in the popularity of brands in a given country.

Thus, not only philatelists, but also the postal administration of each country are interested in a moderate, thoughtful, economically justified stamp publishing activity, or, as it is commonly called, an emission policy. In fact, in the post-war decades, the post of a number of countries, in the pursuit of high incomes, brought down torrential streams of stamps on philatelists - bright pictures with far-fetched plots, high denominations. Their circulations are not related to the needs of the post office, but are intended only for "deep drainage" of philatelists' pockets. The philatelist must learn to distinguish between stamps issued by postal administrations with a moderate issuance policy and stamps issued for speculative purposes.

Harmful Releases

According to the definition of the International Federation of Philately (FIP), harmful issues (issues) are the appearance of postage marks, the real purpose of which is to abuse the trust of philatelists and profit from them, and not postal necessity. Such issues are qualified by the FIP as "harmful to philately" and are considered speculative.

Such harmful releases are initiated not only by legitimate postal administrations (for example, the Arabian principalities in 1963–1973), but also by private individuals and commercial structures, and they can mimic legitimate issues, as well as be published on behalf of fictitious or not having full power on any or territories of issuers - marks of virtual states, "governments in exile", rebel groups, etc. Such products are called speculative-fiction and/or fraudulent releases.

At its congresses, the FIP improves the criteria for identifying harmful emissions; on this basis, the FIP "black list" is formed. All stamps included in this list are not allowed to be exhibited at philatelic exhibitions under the auspices of the FIP. Similar measures are being taken for their part by the International Bureau of the Universal Postal Union (UPU), the World Association for the Development of Philately (WARF), and other organizations.

In addition, the vast majority of illegal issues are ignored by reputable postage stamp catalogues, and in the case of legitimately issued stamps that are blacklisted by the FIP, the catalogs usually do not provide illustrations, do not assign catalog numbers, and are limited to a general brief informational note about the nature of such stamps. emissions.