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Ventsislav Vechev, Diana Papradanova
RELATED PARTY DISCLOSURES –
A PRECONDITION FOR IMPROVING
THE TRANSPARENCY OF THE FINANCIAL STATEMENTS OF COMMERCIAL BANKS
IN BULGARIA
Abstract:
The specific nature of transactions between banking institutions and parties related thereto implies that such institutions have higher exposures to various types of risk (credit, interest, liquidity, market, etc.). This necessitates detailed disclosures in the financial statements of banking institutions.
The aim of this paper is to examine the practices of banks in the Republic of Bulgaria regarding their approaches to disclosing information about their relationships and transactions with related parties in their financial statements. To this aim the authors have studied the existing literature and analysed practices related to disclosure of information about related parties in the financial statements of these banks. In order to achieve an in-depth analysis, the relationship between the detailed disclosures of bank institutions and the amount of their assets was investigated. The study resulted in an assessment of the applied disclosure approaches with concrete recommendations for their improvement in order to increase the transparency of the financial statements of banking institutions.
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Ventsislav Vechev
POSSIBILITIES FOR IMPROVING THE ACCOUNTING OF CERTAIN FINANCIAL INCENTIVE SCHEMES FOR BANK STAFF
Abstract:
Regardless of the increasing role of technology, the main factor of each system are people with their qualities and experience. The fact that nowadays the majority of activities related to collecting, summarising and systematizing of information are carried out by information technologies does not diminish the role of individuals in terms of analysing the results, decision-making and developing an overall company strategy.
To stimulate the creativity of their key employees, companies use different methods of financial incentives. The aim of conducting such policy, on one hand, is to increase employees’ motivation to work and at the same time to encourage their long-term involvement in and commitment to the future of the company.
The object of study in this article is the accounting interpretation of some basic approaches (forms) to financial incentives of bank staff.
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Aglika Kaneva
THE EFFECT OF SOME BANK INDICATORS UPON THE GDP, THE UNEMPLOYMENT RATE AND FOREIGN DIRECT INVESTMENT IN BULGARIA
Abstract:
The article presents the findings of a research into the effect that loans to non-financial corporations, household deposits and interest rates on new business loans in Bulgarian currency to non-financial corporations have upon the GDP, the unemployment rate and foreign direct investment in Bulgaria. The research employs regression analysis and provides a review of related literature about the impact of bank loans, bank deposits, interest rates on bank loans and deposits, as well as other bank indicators upon economic growth, employment and investment.
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Ventsislav Vechev
ORGANIZATION OF ACCOUNTING ACTIVITIES IN BANKS
Abstract:
The financial stability of an enterprise is determined by its performance in the reporting period. Its performance (profits) depends not only on the amount of capital available, but mainly on the investment strategy developed, which will involve it in specific business operations in such a way as to generate income to its owner. A human along with the skills, competencies and experience acquired, underlies the development of any strategy.
The purpose of this article is to study the importance of accounting activities orga¬nization in banks and to highlight its significance for obtaining a quality information product.
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Bozhidar Bozhinov
CHALLENGES FOR ENSURING THE DATA SECURITY OF COMMERCIAL BANKS
Abstract:
The introduction of new information and communication technology into banking has radically altered the essence and character of banking activity. Alongside the competitive advantages and the direct economic effect of the advent of high-tech innovation in the banking sector, credit institutions are facing a number of challenges, one of them being to ensure the security of their products and related information. The main objective of this research is to elucidate the nature, instances, and methods of managing data security in commercial banks. An emphasis is put on some sources of operational risk in commercial banks which have a direct impact on the potentially growing risk in terms of data security. The research also focuses on the role of bank management in governing that process, as well as the methods and mechanisms for reducing the occurrence of the risk related to information security.
