The role of transnational banks in the transmission of global systemic risk

Oleksandr MOMOT


Introduction. One of the manifestations of financial globalization is the formation and development of cross-border links of transnational banks. This expands opportunities for investment and contributes to the economic development of many countries. At the same time, the increasing complexity of financial ties strengthens the cross-border interdependence of transnational banks, leading to the transfer of financial shocks that arise in some countries to others.

The purpose. The article aims to explore the role of multinational banks in the transmission of global systemic risk, identify existing problems supervision of multinational banks as globally systemically important financial institutions and identify solutions.

Results. The article deals with the processes of transmission by transnational banks of global systemic risk in the framework of the “theory of infection of financial markets”. The influence of the “general creditor effect” on the spread of crisis phenomena between the economies of different countries is analyzed. The direction of influence of cross-border links of transnational banks on financial stability of the banking system of the country is clarified. Approaches to the identification of globally systemically important banks have been highlighted in accordance with international practice, and tasks have been identified to strengthen regulation and supervision of the activities of transnational banks.

Conclusion. Today, regulators have limited ability to prevent the transmission of global systemic risk multinational banks. Many institutional mechanisms exist at national level and aimed at maintaining the financial stability of banking systems and crisis management of banks, there are no globally. However, only coordinated decisions on measures of overcoming the crisis can ensure effective implementation of anti-crisis programs globally

Ключові слова

financial globalization; transnational banks; global systemic risk; financial contagion

Повний текст:



Bielova, I. V. (2015). Teoretychni ta metodychni aspekty vyznachennia systemno vazhlyvykh bankiv [Theoretical and methodological aspects of the definition of systemically important banks]. Efektyvna ekonomika – Efficient economy, 6. – Available at :

Kyiak, A. T. (2016). Kontseptualni zasady rehulyuvannia systemno vazhlyvykh bankiv [The conceptual basis for regulating systemically important banks]. Rynok tsinnykh paperiv – Securities market, 6–7, 78–86 [in Ukrainian].

Lavrenyuk, V. V., Prymostka, L. O., Dyba, M. I., Krasnova, I. V. & et al. (2015). Systemno vazhlyvi banky v instytutsiyniy arkhitektonitsi bankivskoi systemy [Systemically important banks in the banking system of institutional architectonics]. Bankivska systema Ukrainy : instytutsiyni zminy ta innovatsii – The banking system of Ukraine : institutional change and innovation. Kyiv : KNEU [in Ukrainian].

Mishchenko, V. I. & Naumenkova, S. V. (2014). Ponyattia systemnoho ryzyku ta pidkhody do vyznachennia systemno znachushchykh bankiv [The concept of systemic risk and systemic approaches to defining important banks]. Sotsialno-ekonomichni problemy suchasnoho periodu Ukrainy. Problemy intehratsii Ukrainy u svitovyi ekonomichnyi prostir – Socio-economic problems of the modern period Ukraine. The problems of integration of Ukraine into the world economy. (Vol. 1 (105). Lviv [in Ukrainian].

Nabok, R. V. (2014). Systemno vazhlyvi banky : pidkhody do pobudovy nahliadu [Systemically important banks: approaches to construction supervision]. Visnyk NBU – Bulletin of NBU, 7, 39– 43 [in Ukrainian].

Prymostka, O. O. (2014). Metodolohia vyznachennia systemno vazhlyvykh finansovykh orhanizatsiy [Methodology to indentify systemically important financial institutions]. Visnyk ZhDTU – Bulletin of ZSTU, 4(70), 175-181 [in Ukrainian].

Adam, T., Benecka, S. (2013). Financial stress spillover & financial linkages between the Euro Area & the Czech Republic. Czech Journal of Economics and Finance, 1, 46–64 (Vol. 63).

Glasserman, P. & Young, H. (2013). How likely is contagion in financial networks? Office of Financial Research. Working Paper, 0009, 1–28. 9. Suchkova, E. O. & Zdorova, N. V. (2014). Sistemno znachimye banki : vyjavlenie kriteriev i ocenka riskov dlja bankovskoj sistemy [Systemically important banks: identifying criteria and assessing risks for the banking system]. Bankovskoe delo – Banking, 33(609), 17–24 [in Russian].

Stiglitz, J. E. (2010). Contagion, liberalization and the optimal structure of globalization. Journal of Globalization and Development. (Vol. 1), (Issue 2), (Article 2), (pp. 1–39).

OECD. (2012). Financial contagion in the era of globalized banking? Economics Department Policy Notes, 14, 3–8.

Markwat, T, Kole, E. & Dijk, D. (2009). Contagion as a domino effect in global stock markets. Journal Of Banking & Finance, 33 (11), 1996–2012.

International Monetary Fund. (2011). Consolidated Spillover Report. Available at : [in English].

Guidance to assess the systemic importance of financial institutions, markets and instruments : initial considerations. Available at : https://

Basel Committee on Banking Supervision. (2011). Global systemically important banks : Assessment methodology and the additional loss absorbency requirement. Consultative Document. Bank for International Settlements. Available at :

Global systemically important banks: updated assessment methodology and the higher loss absorbency requiremen. Available at : t

update of list of global systemically important banks (G-SIBs) Financial Stability Board. Available at : uploads/2016-list-of-global-systemically-importantbanks-G-SIBs.pdf.



  • Поки немає зовнішніх посилань.

ISSN 1818-5754 (print), ISSN 2415-3672 (online)
Ternopil National Economic University
© "WOF", 2004-2019