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C/F/42. Dissertation. Russia's Accession to the WTO and Likely Effects on the Russian Banking Sector

WORDS:

12000

DATE:

2004

PRICE:

129.99 GBP

The accession process of Russia to the World Trade Organisation (WTO) leads to different issues in almost all area of Russian economic, political and business life. The participants of the Russian financial sector, particularly of the banking sector probably are concerned the most. The following study attempts to identify the main effects on the Russian Banking Sector that can be caused by the Russia's accession to the WTO. The experiences of other countries that have already joined the WTO show that there are different positive and negative effects on banking sector. The current research was based on the exploratory study research strategy using the telephone interviews with experts and specialist in Russian Banking Industry. The study based both on the literature review and interviews has revealed that indeed there will be some positive and negative effects, although in their majority the bankers see more negative effects on of which is high competition with foreign banks, which will be impossible for Russian banks to surpass. It is not a secret that the national sector of financial services (especially bank) in the development lags even more behind the foreign financial institutions than real sector of the Russian economy. Foreign banks' capabilities are much bigger than Russian banks have, so it is impossible to recognise such competition as a fair one. At the same time, such high competition can cause positive impacts on Russian banks, because of the foreign organisations introduce not only new technologies but also provide motivating influence on the Russian banks. Such positive effects can be benefited only if the accession strategy provides a combination of protection of interests of the Russian economic participants with a goal of their development under influence of economic and the international competition.

KEYWORDS: f, dissertation, russia, accession, wto, effects, russian, banking, sector,