The article presents the study of the specific features of the Russian economic growth in 1998–2017. The study objective is to substantiate the growth and decline mechanism in business activity in the Russian economy. This mechanism is determined by the gap in the growth rates of wages and labor productivity in the open economy. Four hypotheses have been formulated: 1) significant cause and effect relationship between exchange rate and economic growth in Russia; 2) wage growth outrunning productivity has a depressing effect on the profitability of the commercial sector; 3) significant differences between the Russian economic growth in 1998–2009 and in 2009–2017, determined by the connection between the excess of the domestic interest rate over the world rate and investments; 4) substantial connection between the domestic interest rate and investment in 1998–2009 which disappeared in 2009–2017. The theoretical analysis and the hypotheses have been based on neoclassical synthesis models. Statistical testing of the hypotheses has been carried out by means of statistical and correlation analysis and methods of econometric analysis of time series. A problem related to wage growth outrunning labor productivity has been identified. Probable significant changes in the Russian growth model in 2018–2020 have been forecasted. They will be caused by the infrastructure development and housing construction. The major conclusion of the study is that there will be a positive effect of the ruble depreciation on labor productivity in the medium term. However, it will be over by the end of 2019 and beginning of 2020. Domestic currency strengthening and outrunning wage growth with the slowing labor productivity reduce the profitability of the commercial sector and put brakes on the economic growth.

The authors have analyzed organizations of the performing arts sector, one of the classic key benefits in the economy. The empirical research has been based on the economic pattern of “cost disease”. A unique statistical database has been compiled on the basis of the information database of the Federal State Statistics Service and the Ministry of culture of the Russian Federation. The research presents the Baumol’s indices calculations updated in 2001–2015. There have been confirmed such symptoms of Baumol’s cost disease as: labor productivity in cultural organizations lagging behind the average regional rate, super-inflationary growth for ticket prices in theaters, and catch-up wage growth in the theater in relation to the average wage level in the region. The author’s approach to the analysis of the Baumol’s cost disease is a modification of the overall Baumol index as a replacement for the income deficit indicator for the share of expenses covered by budget funds. New results have been obtained for estimating the income deficit and the share of expenditures covered by public funding by using the panel data model and quantile regression. The practical value of this research is the systematization of budgetary and extra-budgetary support for cultural organizations. New institutions of financial support such as the institute of participatory budgeting and the institution of individual budget allocations have been suggested to create favorable environment for the development of cultural organizations

The objectives of the article are to study the current approaches to small businesses taxation in agro-industrial sector, to substantiate the directions for improvement of this process and to determine the impact of special tax regimes on business activity in this sector. The economic-statistical and economic-mathematical methods have been used to analyze the results of functioning and development of small agricultural enterprises with regard to the existing forms
and tools of fiscal stimulation. Also, the methods of content empirical analysis of international sources on this topic have been used. The authors have concluded that the existing special tax regimes for small agricultural businesses are not effective enough. In this regard, the level of entrepreneurial activity in the agro-industrial sector remains relatively low. This means that small agricultural businesses are currently unable to contribute in full to the goals of import substitution and adequate food security. Possible solutions have been outlined: selective, regarding improving taxation, and system, regarding optimising the institutional environment. Their implementation will not only increase the efficiency of fiscal incentives for small agricultural businesses, but also ensure the growth of entrepreneurial activity in this industry.

The growth of holding business structures predetermined the need to transform existing financial management tools. Among other results, a special financial control has appeared to achieve the long-term strategic company goals. Financial control of the development strategy with specific implementation is now one of the key management tools ensuring the prospective implementation of the company corporate strategy. The research objective is to determine the methodological basis for a controlled indicators system, considering non-financial factors of the company value formation. The methodological basis of the research consists of a systematic approach, use of statistical methods of data analysis and evaluation, content analysis. The results have been substanted due to the information published on the Moscow Exchange website, the Forbes rating of the largest Russian companies, the official websites of Russian companies. The research relevance is determined by need to clarify the content of financial control of holding development strategy and its implementation. The examples of building financial control systems in Russian companies have been provided. A universal scheme of financial control system has been created. Key methods of strategic financial control have been defined: strategic modelling; building value chains; factor and scenario analysis; in-depth study of financial status using mathematical and econometric methods and modern computer software. Regarding the specifics of financial control, its implementation scheme has been defined, and the main differences from the traditional implementation have been outlined. Company value maximizing is the main goal of financial control of the development strategy. It has substanted the control of non-financial cost factors. They include: company management model; the degree of social responsibility of the company; intellectual capital; the degree of innovation; customer loyalty and brand awareness; quality and novelty of products; company’s contribution to the socio-economic development of the country and regions where it is presented. Control of non-financial factors requires developing a system of controlled indicators. This is an advanced research direction of the topic.

The article is concerned with the impact of external labor migration on the financial and economic sphere of countries hosting foreign labor. The authors have developed a methodological approach to assessing labor migration impact on the development of the financial and budgetary sphere of the host countries. The method lies in using a quantitative analysis algorithm consisting of three stages. The first stage is to identify specific positive and negative effects of labor
immigration on the financial and budgetary sphere of the host country. The second stage is to develop a system of analytical indicators and its implementation methodology to assess the impact of these effects on the financial and budgetary sphere. The third stage is to define the methods for collecting statistical information, necessary to design the system of analytical indicators. This methodological approach allows assessing the impact of labor migration on the financial and budgetary sphere of the host country on such key aspects as migrant worker remittances and the government revenues from foreign workers. The dynamics analysis of the proposed indicators will allow to make prompt decisions in preventing negative trends and maximizing positive effects of external labor migration.

Strengthening cooperation of the Eurasian Economic Union member-countries is the best solution to mitigate trade wars, unfair competition and worsening of international economic relations. The article reveals the significant correlation of the stock indices based on the analysis of the Eurasian Economic Union (EAEU) stock markets. The objective of the article is to introduce recommendations aimed at optimising cooperation of EAEU member-states and expanding their interaction in the financial sphere. Bloomberg data for 2000-2017 together with Excel tools have been used which allowed to prove the hypothesis of interdependence between the most developed stock markets: Moscow and Kazakhstan. The graphical analysis of the research has showed that a correlation between the indicators of these stock trading floors appeared in 2008, when the effects of the global financial and economic crisis were being overcome. There was no interdependence between the indices of the Moscow and Kazakhstan marketplaces until 2007. The research has showed that the EAEU stock market indices depend significantly on the production of raw materials and commodity prices. In the conditions of the financial relations development, the EAEU has proposed to use the world experience of strengthening the economic cooperation of European countries and their methods to overcome the crisis phenomena of the 1950s. The EAEU has to harmonize financial policies and financial relations, simplify entrepreneur access to lending, improve tax breaks for exporters of manufactured goods and grant subsidies to new sectors of the economy. The European experience can help the EAEU to overcome difficulties and solve cooperation problems.

Flourishing of the East Asian Tigers has led to unparalleled growth in trade in the Asia-Pacific region (APR). The crises of the multilateral trading system and the need to move to a polycentric model of the world order have become the pivotal motives to enhance cooperation in the Asia-Pacific region. Expected to be signed by the end of 2018, a Regional Comprehensive Economic Partnership (RCEP) agreement can be the institutional framework for integration processes in the Asia Pacific region. The Asia-Pacific region is one of the most prospective regions in the world in terms of consuming natural gas and oil. Successful integration processes in Asia depend significantly on the foreign policy priorities of Russia, the key geopolitical player and energy producer. The objective of the article is to reveal the nature of China’s participation in building a new global economy model on the example of the RCEP as well as the position of Russia regarding the integration processes in the Asia-Pacific region. The methods of scientific abstraction, comparative analysis and logical generalization have been used. The main theoretical approaches have been systematized and summarized the analysis of the role of China in the integration processes in the Asia-Pacific region in the context of the polycyclic transformations of the global economy dominant paradigm. China regards the uSA as its main competitor and the usurper of global resources. In recent decades, China has demonstrated undeniable economic achievements based on the success of the industrial policy. China is leading the creation of the world largest trade bloc to be able to determine independently the future agenda of the global economy. However, with no political support, intellectual and raw materials resources of Russia, it will be difficult for China to achieve parity with the West in the world economic arena. It has been concluded that in order to take advantage of the integration processes in the APR, Russia should take an active position in a constructive dialogue with China and other Asia-Pacific countries on numerous unresolved issues of bilateral and multilateral cooperation. Asian investors and consumers should be admitted to Russian oil and gas resources simultaneously with the introduction of Russia in the regional value chain in the Asia-Pacific region on mutually beneficial terms.

The research is devoted to the economic mechanism of reverse mortgage —  a credit product aimed at improving the standard of living of senior citizens, owners of real estate. The idea of the reverse mortgage has been given, as well as the mechanisms of use of real estate owned by senior citizens in order to provide them with additional income. The examples of reverse mortgage in the uS, the uK, Spain and Australia have been given. The authors have also described the methods of reverse mortgage lending in Russia. Based on the analysis of international experience, the economic expediency of investing in this credit tool has been assessed. Considering consumer demand factor, it is possible to calculate the equilibrium rate and, therefore, to find the coordinates of the market equilibrium point. The authors have developed a mathematical model of reverse mortgage for the case of lifetime annuity payments. This model allows to calculate the expected benefits of borrowers and lenders. There have been done (and implemented) two notes that significantly distinguish reverse mortgage modeling from other loan products: 1) a lifetime reverse mortgage does not have a fixed expiration date; 2) when taking a loan of this type, borrowers consider not only consumption, but also accumulation of inheritance. The model allows to calculate the position of break-even points and market equilibrium (relative to the interest rate). This will help economically interested agents to assess the potential of the reverse mortgage market in Russia.

The article presents the main aspects of organisation, formation and management of a syndicate of banks in the syndicated lending market. A syndicated loan is provided to a borrower by two or more creditor banks on equal terms within one loan documentation package. This market has the following main characteristics: significant amounts of financing; transactions are organised and syndicated by the largest investment and commercial banks; standard legal documentation; centralisation of agency function. The syndication process is a key factor in a successful transaction in the syndicated lending market. The research objective is a structured description of the syndication business process in the credit market. The following tasks have been set and solved: 1) determining the optimal syndication schedule; 2) transactional and legal documents classification; 3) development of methods of risk management of the syndication process. The methodological basis is the process approach to the formation of a syndicate and the role distribution among the bank transaction participants (organisers, underwriters, bookrunners, agents). Based on the regulatory specifics of syndicated lending, legal documents of the process (mandate letter, confidentiality agreement, syndication letters) have been described. The optimal schedule has been proposed to implement a syndicated loan transaction. It includes five stages: 1) planning; 2) formation of a “senior” syndicate; 3) formation of a “common” syndicate; 4) management of the final structure of the syndicate; 5) legal closing of the transaction. Marketing materials (investment presentation, information memorandum) and key transaction activities (press releases publication and bank meeting) have been examined. Key risks of syndicated lending have been defined and described; they include market risk underwriting and funding. From a practical point of view, the article is of interest for representatives of the Russian commercial and investment banks and corporate borrowers who plan to attract corporate financing in the international syndicated lending market.

The objective of the article is to offer a proprietary technology for assessment and forecasting of social development of Russian regions. The methodological basis of the study is neural network technology (a Bayesian ensemble of dynamic neural networks of different configurations is formed) that ensure high accuracy of the forecast. The authors developed a methodology for assessing the social potential of the Russian regions. They have also designed a system of private indicators characterising the level of social development of Russian regions. The indicators have been divided into five groups: 1) population (life expectancy); 2) standard of living of the population; 3) education; 4) health care (morbidity); 5) research and innovation. The private indicators have been made comparable by normalizing their values by means of “Pattern” method. This method allows the objective assessment of the interregional “gaps” in the country across the entire system of social indicators. The social development index of the subjects of the Russian Federation has been calculated. Based on neural network technologies (Kohonen self-organizing maps) clustering of regions of Russia regarding social development has been conducted. The forecast of the social development of the Russian regions has been made. Due to the forecast, it has been established that in the leading region of the Russian Federation (Moscow) in 2017-2019 the decrease is expected in the index of social development in comparison with 2014-2016. In another leading region of the Russian Federation (St. Petersburg) the decline in comparison with 2016 is expected in the medium term. At the same time, for the Republic of Bashkortostan in 2017-2019, just a slight decrease in the level of social development is forecasted. However, it is expected that the Republic will still lag significantly behind the leading regions of Russia by social development. The example of the Republic of Bashkortostan helped to discover that the lag in social development can be explained by the “gap” in research and innovations. The authors have concluded that it is necessary to improve the effectiveness of social policy at the regional level. Thus, it is necessary not only to increase financing of the social sphere of the subjects of the Russian Federation, but also to ensure proper control of budget spending. The developed methodology can be an effective tool for forecasting and managing social development of the Russian regions by the relevant ministries and departments.

This paper presents the conclusion of the Financial university expert group on the socio-economic development forecast for the Russian Federation in 2019–2024 (developed by the Ministry of Economic Development of Russia). The forecast has been evaluated according to the task set in the Decree of the President of the Russian Federation on May 7, 2018 No. 204 “On National Goals and Strategic Objectives of the Russian Federation through to 2024”, regarding achievement breakthroughs in science and technology and socioeconomic development in the Russian Federation. Special attention has been paid to the analysis of forecasted rates and projected sources of economic growth and prospects for social development. According to the analysis, it has been concluded that the proposed forecast indicators are not adequate to the task of “achievement breakthroughs in science and technology and socioeconomic development in the Russian Federation”, provided by the Decree of the President of Russia of May 7, 2018, No. 204.

The article presents the results of the United Nations Economic Commission for Europe project in Kyrgyzstan: “Reinforcement of national capacity of the trade-support institutions”. Based on these results, the further actions on international trade promotion have been proposed. One of them is a capacity building of state bodies and business in the area of international standards and best practices. It is important to increase the availability of information on the rules and requirements of the government regulation of external economic activity, both within the country and in the partner countries. It is required to provide systematic work with state bodies and businesses in all regions of the Kyrgyz Republic. For this, a permanent Regional Training Centre must be created. The Ryskulbekov Kyrgyz Economic University will become the base for this centre. In close cooperation with the leading universities of the Eurasian Economic Union member states and the countries of Central Asia, it is advisable to expand the region the training centre activity. It is also necessary to envisage the possibility to organise a network model of training programs of the training centre in all countries of the region.