Uman NUH | today: 12/22/2024
| Author(s) |
Nepochatenko Olena O., Doctor of Economics, Professor, Rector of Uman National University of Horticulture, Head of Department, Uman National University of Horticulture Bechko P.K., Candidate of Economics, , Uman National University of Horticulture, Ukraine Huzar B.S., Candidate of Economics Sciences, , Кисельов І. А., , , Гавриленко О. А., , , |
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| Category | Economics | ||
| year | 2024 | issue | Issue number 104. Part 2 |
| pages | 141-149 | index UDK | 336. 77 | DOI | 10.32782/2415-8240-2024-104-2-141-149 (Link) |
| Abstract | Amidst the escalation of the global financial crisis, the fiscal challenges encountered by indigenous enterprises primarily stemmed from the inadequacy of credit mechanisms tailored to contemporary market exigencies. Key impediments to the progression of lending activities encompassed elevated credit outlays, paucity of creditworthy debtors and repayment assurances, deficient insurance protocols, exorbitant banking service charges, and a dearth of robust theoretical frameworks elucidating the intricacies of credit dynamics. Addressing these challenges necessitates comprehensive theoretical inquiries into the fundamental principles and characteristics of credit, meticulously aligned with the prevailing dynamics of the domestic economy and the broader global financial area. Furthermore, an in-depth examination of credit risk assessment methodologies, regulatory frameworks governing lending practices, and innovative financial instruments can augment the efficacy and resilience of credit mechanisms. Embracing collaborative efforts between financial institutions, regulatory authorities, and academic institutions can foster the development of bespoke solutions tailored to local market conditions, thereby fortifying the resilience of indigenous enterprises amidst financial turbulence. The article explores the important role of credit in the economy and its impact on entrepreneurs and citizens. Different views on the advantages and disadvantages of credit are considered, in particular, its importance for ensuring the stability of production. The authors examine various theories of credit and take into account the contributions of well-known economists to these concepts. It is noted that credit is an integral part of the modern economy, contributing to its development, and understanding its essence requires a deep theoretical analysis. The article also examines various definitions of credit in the Ukrainian economic literature and identifies their common features. The authors emphasize the need to clarify and synthesize different approaches to understanding credit, including its purpose and value redistribution functions, which contribute to a better understanding of its role in the economy. | ||
| Key words | credit, borrowed capital, loan, bank loan | ||