DETERMINANTS THE EXPANSION OF TRANSNATIONAL BANK CAPITAL IN TERMS OF TRANSFORMATION THE WORLD ECONOMY AND INTERNATIONAL ECONOMIC RELATIONS IN 21ST CENTURY

Abstract

Abstract. In terms of intensification and internationalization of world economic relations
strengthens the role of transnational banking capital as a leading agent of financial globalization.
However, the processes of transnationalization banking accompanied by increasing systemic
risk of financial market instability host countries, in particular due to the spread of the

national market of the negative trends of the global financial situation and risk of monopolization
of the financial markets banking institutions with foreign capital.
Positive communication expansion of transnational banks in international financial markets
is conditioned by the increase of foreign investments, the ability of local banks to attract external
funding, adopt modern management practices and banking innovation is closely connected
with the negative effects of the presence of international banking groups that connected with
the withdrawal of financial assets abroad offshorization of international business, loss of skilled
workers and the general decline of the competitive situation in the markets due to the inability
of transitive referral external financial resources in long-term assets of the real sector of the
national economy, which will use the competitive advantages of the country and enter the path
of self-sustaining development.
At the present stage of post-crisis development of the world economy the key determinants of
economic progress are the tough government measures to insolvent banking groups as a modern
market economy should be based on principles of profitability and loss, and the national economic
system, which provided conditions as the aggregate balance and financial instruments,
technologies and services, protection from external negative factors.
Key words: transnational banks, financial system, the competitive environment, the mechanism
of regulation of bank activity, the state policy stimulation of direct investments, penetration
of the foreign banking capital, Emerging Market Systems.