ANALYSIS OF THE DEVELOPMENT OF FINANCIAL MARKET OF REPUBLIC OF KAZAKHSTAN

АНАЛИЗ РАЗВИТИЯ ФИНАНСОВОГО РЫНКА РЕСПУБЛИКИ КАЗАХСТАН

Тажибекова Гаухар Искандеровна

магистрант, Казахстанско-Британский технический университет,

Республика Казахстан, г. Алматы

Keywords: economic system, financial sector, banking sector, economic stabilization, financial market.

Ключевые слова: экономическая система, финансовый сектор, банковский сектор, стабилизация экономики, финансовый рынок.

Introduction

The economic system of any state is based on objective economic laws. Modern states manage the market economy with the help of the state structure of the national economy, the financial tax system, and the monetary system.

Finance is a rather complex social phenomenon. They cover a wide range of exchange-distribution relations, which are displayed in various cash flows. With a single essence of these relations, separate elements are distinguished in them, which have their own characteristic features and features. The study of finance is based both on the understanding of their necessity, nature and role in society, and on the detailed assimilation of specific forms of financial relations. [1. p.5]

The State plays an important role in ensuring the normal functioning of any modern economic system. The state throughout the history of its existence, along with the tasks of maintaining order, law and order, and organizing national defense, has performed certain functions in the field of financial relations. These functions are performed by the State within the framework of financial policy and the form of the financial mechanism functioning in this financial system.

Thus, the role of finance in the development of the state's economy is a reflection of the forms and methods of specific use of finance in the economy and, accordingly, to the involved model of the economy, is largely indicated by it.

Analysis of the state and development of the financial market of the Republic of Kazakhstan

One of the important tasks of the state regulation of the financial market is to ensure an appropriate level of protection of the interests of consumers of financial services, as well as to create the necessary conditions for the stability and stability of the financial sector.

As you know, the financial sector of the republic is one of the most dynamically developing sectors of the economy. The mechanisms of the domestic financial system, providing technologically advanced intermediary services, directly contribute to the qualitative and quantitative growth of the economy.

As a result of the joint measures taken by the supervisory authorities to reform the banking sector, there is some progress in the development of corporate governance and the internal control system of the bank. For several years now, there has been a steady trend of growth in the main indicators of the banking sector. All three levels of lending have been received and are successfully developing, and the institution of state regulation of the banking system is being improved! As well as the system of consumer protection, more and more small and medium-sized businesses and the population are gaining access to banking services. [2. p.15]

In recent years, the state has created all the conditions for the effective operation of banks, which has significantly increased its own assets, expanded its customer base and the scope of its activities. Despite the achieved results, the domestic financial market is characterized by a high degree of sensitivity and elasticity to changes in both the external and internal environment. The rapid pace of development of the domestic financial market, the emergence of new products, the development of financial groups, as an indicator of the degree of integration of the financial market, brought not only new business development opportunities, but also increased risks. Taking this into account, in the past and current year, the Agency has taken a number of measures to minimize the risks of the banking sector related to external borrowing, mortgage and consumer lending.

The validity and timeliness of these measures were confirmed as a result of the impact of fluctuations in international capital markets on the state of the banking sector in Kazakhstan. [3. p.8]

In order to minimize the risks of the banking sector, as well as to bring the regulation of the banking sector of Kazakhstan closer to international standards, work is underway to implement the transition of the banking system of Kazakhstan to the new capital adequacy agreement of the Basel Committee on Banking Supervision International Convergence of Capital Measurement and Capital Standards (Basel II). By the end of the year, a plan for the transition to Basel II will be developed and proposed to our banks for consideration.

The steady growth of the republic's economy in recent years and the measures taken by the state to reform the national insurance industry have contributed to the accelerated development of this industry. However, there are certain problems and difficulties for the further development of the stock market of Kazakhstan. The current state of the stock market in Kazakhstan is characterized by a generally low liquidity of the secondary market. Controlling stakes are in the hands of strategic investors who are mostly not interested in selling shares to minority shareholders.

Thus, in order to enhance the development of the country's stock market, it is necessary to take a set of effective and efficient measures. The activation of issuers ' access to the stock market is one of the factors of increasing the liquidity of the domestic securities market, which is possible through certain information and explanatory work with joint-stock companies, as well as further placement of packages of securities owned by the state among a wide range of investors.

Kazakhstan has created a regulatory framework for the functioning of accumulative pension funds, organizations engaged in investment management of pension assets, including issues of regulating their activities, including through prudential regulation. [4. p.21]

Since its creation, the pension legislation has been repeatedly improved, including on the issues of citizens ' rights to pension provision, the creation and operation of accumulative pension funds and their regulation, and the management of pension assets.

Currently, the Agency, together with the Ministry of Labor and other interested state bodies, is developing a draft law that provides for the payment of pension contributions at the expense of budget funds to women who are on parental leave, the introduction of mandatory professional contributions in hazardous industries, and the possibility for the depositor to independently choose a strategy for investing pension assets.

The Agency, which attaches great importance to the protection of the rights of consumers of financial services, improving their educational level and increasing the transparency of the activities of financial organizations, launched a new version of its website in April this year. Now the Agency's website contains information on the fulfillment by second-tier banks of their obligations to implement measures to increase the transparency of their activities within the framework of Memoranda concluded with the Agency, information on the implementation of prudential standards, information on the classification of assets and contingent liabilities, equity, liabilities and assets, etc. The following sections have been created: Fundamentals of Financial Literacy; Financial Dictionary.

In addition, due to the presence of such issues as the correctness of the determination by second-tier banks of the amount of accrued remuneration under loan agreements and bank deposits, the collection by banks of inflated interest rates on loans and commissions in payment for banking services, the establishment of additional costs for customers not provided for by the credit policy of banks, for example, the payment of unforeseen expenses, the opening of card accounts, etc., as well as changes in the terms of existing contracts, The Agency has adopted a new version of the Rules for Calculating Interest Rates by second-tier Banks when distributing information about the amount of Remuneration for Financial services.

Further activities of the Agency will be aimed at solving the tasks outlined in the relevant program documents for the development of financial market sectors, ensuring the growth and maintenance of high quality financial services, as well as transparency and stability of the financial market. [5. p.25]

First of all, this will, of course, be a further tightening of measures to minimize the risks associated with external borrowing. The need for these measures, taking into account recent developments in international capital markets, is, I believe, beyond doubt on the part of the banking community.

The development of the domestic financial market in the present historical period is notable for two features that follow one from the other. Firstly, the development of the financial market is ambivalent, and secondly, the logic of the second law of diamat "the transition of quantitative changes to qualitative ones"does not apply to the domestic market.

The ambivalence of the development of the financial sector lies in the fact that from year to year, the financial sector as a whole shows faster growth rates of assets in comparison with the growth of the economy. On the other hand, in absolute terms, the obligations of financial market entities to both non-residents and residents are growing, the lending segment is growing, and consumer lending is actively developing within its framework, which, being a profitable business, carries appropriate risks. At the same time, the growth of absolute indicators is not accompanied by drastic qualitative changes. [6. p.15]

The financial policy of the state at the present stage of development and the main direction of its implementation.

The development of the market economy in the Republic of Kazakhstan is accompanied by the birth of a new financial policy in the country, aimed at financial stability in all areas of the economy.

At the present time, however, the shortcomings of the financial policy that hinder the economic and social development of our country are particularly acute. These include: the uncreative nature of financial policy, its inability to respond quickly to the changing conditions of the development of our state; the lack of strategic conceptual developments; the separation of financial policy from the actual state of affairs in the national economy, etc.

The programs of economic stabilization and transition to the market of the Republic of Kazakhstan provide for a set of measures for financial recovery of the economy and the establishment of monetary circulation, normalization of the consumer market, ensuring the stability of production, strengthening economic ties.

The main directions of the transition to market relations in Kazakhstan were identified as the denationalization of the economy, the privatization of property, the demonopolization of the economy, the development of entrepreneurship and competition, as well as the creation of market infrastructure (commodity and stock exchanges, investment funds, a network of commercial wholesale enterprises for the trade in goods, commercial banks, insurance companies, warehouse, transport, transport facilities, commercial information centers, advertising firms, a network of service, repair, consulting and legal services, etc.). The following types of markets are created: consumer goods and services, means of production, agricultural products, labor, housing, and the financial market. [7. p.10]

However, since the beginning of independent development of Kazakhstan in the economic and financial policy, inconsistency, haste in relation to property rights, the mobilization of financial resources, the financing of state social programs have been allowed. Hasty reforms in the economic, financial, and banking spheres have reduced the sources of economic growth themselves, and inflation has worsened the state of society. Tactical decisions in financial policy aimed at finding financial resources increased the national debt, reduced confidence in the ongoing reforms. Financial law, financial mechanism, and financial policy have come into conflict. Therefore, the development of strategic, sound financial policy ideas remains the main focus in Kazakhstan.

In accordance with the state program, the financial policy and activities of the financial system in the transition period to the market should be aimed at obtaining the necessary financial resources, their full and timely mobilization to the budget, uninterrupted financing of activities provided for by state programs of social and economic development, and strengthening control over the targeted and rational use of state material, labor and monetary resources. These goals follow from the need to provide financial support for the strategy of socio-economic development of the republic, the restructuring of all spheres of society.

The goal of financial policy is to achieve a balanced state budget, and to solve the problem of financial recovery of the national economy on the basis of economic stabilization.

Financial policy contributes to the strengthening and development of economic relations with all countries of the world, providing conditions for the implementation of joint activities. International cooperation is aimed at obtaining effective assistance from developed countries and financial centers. The principles of financial policy require respect for the interests of all participants in social production, including the social strata of society, ensuring the rational organization of financial relations, balancing the income and expenditure of public finances, including the state budget, creating state reserves and social funds for members of society, and most importantly - the optimal distribution of financial resources between the state and enterprises of all industries. [8. p.2]

Financial policy is implemented through the activity of the financial mechanism, the full use of all levers of influence. Here, the role of the state's fiscal policy, which can be stimulating and constraining in the sphere of centralization of financial resources, is shown to a large extent. This means that the financial policy is developed and implemented taking into account real financial opportunities. Costs can only increase with increased financial resources. At the same time, the focus is shifting from subsidizing consumption to financing production. All measures of economic and financial policy are aimed at enabling the population to increase their incomes, on the one hand, and creating favorable conditions for the development of entrepreneurial activity, on the other.

Conclusion

As it was shown, the role of finance in the effective operation of the state economy is huge. The role of the state in the full functioning of finance and the financial system is great.

The Republic of Kazakhstan is still largely a country with a so-called primary economy (extractive industry and agriculture). Taking a prominent position in the mineral resource base of the world in terms of the volume and variety of minerals, Kazakhstan is significantly inferior in terms of the quality of proven reserves and production capacity to such leading mineral producers as Australia, South Africa, Russia, some countries of the Middle East and Latin America. [9. p.11]

One of the tasks facing Kazakhstan is to increase the efficiency of foreign trade. Its solution involves, first of all, optimizing the commodity structure of exports and imports, ensuring their balance, which in turn is impossible without the organizational and technological renewal of the structure of industrial production in accordance with the requirements of the time, creating new comparative advantages that will become the basis for the specialization of real sectors of the economy and will be an important driving force for the economic growth of the country.

Here it is important to emphasize that the problems of financial recovery are of concern to literally everyone right now. After all, what is currently happening in the financial sphere is closely related to the personal well-being of everyone. The size of profits and taxes, social insurance contributions and pensions, the price of stocks and bonds, the forms of investment in production and the social sphere, etc. - such issues are discussed today not only in government circles: they deeply concern each of us. Although the data is somewhat "overdue" in nature – the main task when using them was fulfilled: to reflect the importance of optimal financial management in our country. [10. p.7]

References:

1. the Law "On currency regulation" from 24.12.1996 G., Almaty: Sayakhat, 2001.
2. the Law of the RK "On bill circulation in the Republic of Kazakhstan" dated 28.04.1997 G., Almaty: Sayakhat, 2001.
3. the Law of Kazakhstan "On pension provision in the Republic of Kazakhstan" from 20.06.1997 G., Almaty: Sayakhat, 2001.
4. the Law of Kazakhstan "On insurance activities in the Republic of Kazakhstan" from 18.01.2000 G., Almaty: Sayakhat, 2001.
5. the Law of Kazakhstan "On securities market", Almaty: Sanat, 2003.
6. the President's address to people of Kazakhstan "Kazakhstan – 2030: Prosperity, security and improvement of welfare of all Kazakhstanis.", Almaty, 2001, - // Kazakhstanskaya Pravda, 1997, 11 October, p. 8-9.
7. Мessage from the President of the Republic of Kazakhstan to people of Kazakhstan "New Kazakhstan in the new world" of February 28, 2007 // Kazakhstanskaya Pravda, 2007, 1 March, P. 13-14.
8. Address of the President of the Republic of Kazakhstan to the People of Kazakhstan "Strategy of Kazakhstan's entry into the 50 most competitive countries of the world" dated March 2, 2006, - / / Kazakhstanskaya Pravda, 2006, - March 3, - C. 3.
9. Resolution of the National Bank "On the Adoption of the Concept of Currency Regime Liberalization", - / / Transit Economy, 2002, - September
10. Resolution of the Board of the National Bank of the Republic of Kazakhstan "On approval of the Concept of Liberalization of the currency regime in the Republic of Kazakhstan for 2005-2007", - Transit Economy, dated June 25, 2004, No. 705.