In the context of intensifying deglobalization processes in the world, the task of strengthening the financial sovereignty of the state comes to the fore. A key factor determining its level is budgetary sustainability, reflecting the capacity of public finances to withstand external shocks and maintain functionality over the long term. The purpose of this study is to examine the role of the budgetary system in ensuring a country’s financial sovereignty through the analysis of its vulnerabilities and resilience factors. The paper proposes an original approach to interpreting financial sovereignty as the ability of the state to shape tax, budgetary and debt policies in accordance with national interests while minimizing dependence on external constraints. The methodological framework includes a structural analysis of revenues, expenditures, and public debt, as well as the use of proxy indicators to assess the degree of autonomy of public finances. Using developed and developing G20 countries as examples, the study provides a comparative analysis of their tax, budgetary, and debt aspects of financial sovereignty, identifying channels of vulnerability and sources of budgetary sustainability. The results of the integral assessment show that developed countries demonstrate higher levels of financial sovereignty due to a diversified tax base, greater expenditure flexibility and low dependence on external debt, however their potential for further strengthening is limited. Developing countries, despite significant risks, retain opportunities to enhance financial sovereignty through revenue diversification, expanded fiscal space and the development of domestic capital markets. The findings confirm that a combination of short-term budgetary flexibility and long-term balance is a necessary condition for strengthening financial sovereignty.

Managerial overconfidence significantly influences firm performance. The main purpose of this research is how to find the impact of managerial overconfidence along with cash holding decision might be more negatively serious on firm performance. An empirical study is conducted on a sample of 648 firms listed in the Vietnam stock market. The research predicts that the higher the level of managerial overconfidence, the greater the risk and likelihood of loss in firm value, especially with inappropriate cash holding decision. Finally, the empirical results reveal a positive correlation between managerial overconfidence and firm value. However, firms characterized by both managerial overconfidence and low cash holdings tend to exhibit poorer performance compared to others. Those results are satisfied the purpose of the research.

The aim of the article is to study the factors that influence the bank short-term and long-term interest rates. The relevance: in modern conditions the interest rate policy is considered not only as a way to ensure bank efficiency and financial stability, but also as a tool to stimulate economic activity. The purpose of the study is to identify the factors that determine the short-term and long-term interest rates and, on this basis, to determine economic and/or regulatory measures to improve the bank interest rate policy for the purposes of national economy. The scientific novelty includes the identification of the factors that determine the banking interest rate policy in the short-term and longterm aspects. The research methodology is based on statistical modeling using the vector autoregressive distributed lag model. The statistical database includes the Russian banking sector financial indicators and a significant range of macroeconomic variables. Results. The authors identified the factors of bank loans interest rates. The key parameters include macroeconomic variables: the money market interest rate and the structural liquidity deficit of the banking sector. The impact of macroeconomic parameters differs with respect to long-term and short-term rates, as nominal GDP is significant only for long-term interest rates. Loan portfolio quality indicators do not affect interest rates. Based on the study's findings, the authors proposed directions to develop the current banking regulation: to set regulatory alignment between the credit risk premium and the loan loss reserve requirement; to limit the corporate floating rates lending; to introduce an additional credit instrument of the Bank of Russia —a secured loan to systemically important banks for a one year.

The paper examines the advantages and disadvantages of the third form of Russian currency that is currently being tested by the Bank of Russia — the digital ruble. The research methodology is based on the postulates of liberalism and the concepts of the Austrian school of Economics. Correlation and regression analysis were chosen as the research tools. The purpose of this article is to support the need to expand the monetary functions of the digital ruble that is being created by the Bank of Russia. According to its creators, it should become a convenient payment method. However, in order to accelerate the innovative growth of the Russian economy and overcome the currency blockade of the Russian Federation by unfriendly countries, the author proposes to strengthen the monetary functions of the Russian digital ruble as a store of value and a world currency. To achieve this goal, it is suggested to back the digital ruble with gold reserves. This proposal was made based on a statistical analysis of the profitability and risk of several potential collateral assets. It was found that gold has an average annual return of 12% from 1971 to 2023. The paper concludes that gold is the best option for collateral because it has a stable, positive return and low risk of price fluctuation, as well as constant purchasing power. Therefore, the creation of a digital ruble backed by gold seems quite realistic and economically justified. Such a third form of the Russian currency, which combines the best features of cryptocurrencies, paper money, and commodity money, could potentially create real competition for the US dollar in the Eurasian region.

The urgency of ensuring technological sovereignty is determined by the transformation of the global geopolitical and economic order, where technological superiority has become an integral factor in the stability, well-being and development of all sectors of the economy of the Russian Federation. The purpose of the study is to identify and systematize financial and legal instruments that contribute to ensuring the technological sovereignty of the priority sectors of the Russian economy in the context of sanctions pressure and global technological competition. To achieve the goal, the following tasks are set: to reveal the essence of the concept of “technological sovereignty” as a legal category, to identify and analyze obstacles to ensuring technological sovereignty. The research is based on a comprehensive methodological approach that combines general scientific and private scientific methods of cognition: analysis and synthesis, induction and deduction, theoretical modeling, a systematic method, formal law, comparative law and the method of legal forecasting. This paper identifies shortcomings and suggests ways to improve existing financial and legal instruments. It is concluded that financial and legal instruments are the basis for building a system of technical sovereignty in Russia. The proposed changes in the legislative framework of the Russian Federation are aimed at improving the legal mechanisms ensuring technological sovereignty. The comprehensive use of financial and legal instruments such as subsidies, tax incentives, public-private partnerships and support through development institutions creates the conditions for technological independence of the country. Optimization of their application requires further systematization of legal regulation and strategic planning, which will effectively respond to the challenges of global competition. The legal work on the implementation of the proposed changes should be comprehensive and systematic.

In the context of global competition for technological leadership, it is important to identify the factors of technological transformation is important for solving the problems of economic restructuring. This includes determining the optimal balance between public spending and private investment in research and development, as well as choosing effective fiscal instruments. Patent activity serves as an indicator of the effectiveness of scientific and technical policy. The purpose of the work is to evaluate the effectiveness of investments in research and development based on the criterion of patent activity in order to determine strategic guidelines for achieving technological sovereignty. The research focuses on financial and economic indicators from 77 foreign countries between 2019 and 2023. The subject of this research is the factors that influence the increase in the efficiency of investments in research and development. Research methods — in particular, the logarithmic transformation of data for linear approximation, correlation and regression analysis to determine the return on investment in R&D, classification of countries based on the level of efficiency of return on investment in R&D. The scientific novelty of our approach lies in the use of logarithmic data transformation and regression modeling to quantify the elasticity of patent applications from R&D costs. Additionally, we will group countries based on their level of return from research and development efforts. By conducting this study, we aim to demonstrate the impact of R&D investment on technological sovereignty, considering the indicator of patent activity. We also intend to incorporate foreign experience in government support, private investment, and the integration of science and production.. The study revealed a strong correlation between patent activity and R&D expenses. A 1% increase in R&D spending leads to a 1.21% increase in the number of patent applications. This confirms the importance of investing in R&D in order to maintain technological sovereignty. Russia demonstrates relatively high patent activity compared to its R&D investments, indicating a risk of depleting its innovation potential. To address this issue, it is crucial to increase R&D funding and remove barriers to technology commercialization.

Special economic zones (SEZs) are an important tool for government regulation aimed at attracting investment, promoting innovation, developing high-tech industries, and stimulating economic growth in regions. The purpose of this study is to identify trends and patterns in the formation of fiscal regimes for SEZs in different countries. The methodological basis for the research is an object-subject approach to describing entities, as well as methods of theoretical, retrospective, and structural analysis, and a systematic approach to modeling objects. The analysis includes an examination of different types of SEZs, mechanisms for supporting SEZ residents, and the results of these efforts. Based on the comparative analysis of the fiscal stimulation mechanisms and instruments used in SEZs in Russia and other countries, trends in the further development of these zones are identified, including multi-format interactions between the participants. The evaluation of tax incentives, infrastructure subsidies, and administrative support mechanisms is carried out, as well as the identification of the main obstacles and limitations in the Russian practice. Recommendations are developed to optimize fiscal policy measures to increase the attractiveness of SEZs for investment, taking into account successful foreign experience. The results of a comprehensive study on the budgetary and tax regulations of SEZs are presented in a comparative analysis, and a GWR (Geographic Weighted Regression) model is used to assess the effectiveness of SEZs on the territory of the Russian Federation. Based on a systematic analysis of regulatory legal acts, statistical data, and scientific publications, we conclude that the optimal model for fiscal incentives in SEZs should combine clear strategic guidelines with the flexibility to adapt to changing economic conditions. This will ensure the sustainable development of these zones as growth points for the national economy. When choosing tax incentives for SEZ entities, it is important to consider both the industry-specific needs of residents and the socio-economic characteristics of the territory. Monitoring the effectiveness of these incentives is essential, with reference to established indicators of economic growth and technological development. The use of the GWR (Geographic Weighted Regression) model will allow us to develop a regional tax policy that takes into account the specific needs and circumstances of each SEZ. This approach will help ensure that tax preferences are effective and contribute to the overall success of the zone.

The purpose of the study is to develop and apply a model for predicting potential losses under a CTP policy using machine learning techniques. The relevance of the topic is due to the importance of the role played by the insurance market, and, in particular, transport insurance in the development of the Russian economy. This relevance is supported by the high loss ratio for this type of insurance, as well as the need to optimize market conditions. The object of this research is the Russian insurance sector. The subject of the study is machine learning techniques that allow predicting CTP losses based on input parameters characterizing data about the insured and their vehicle. The paper compares the effectiveness of ensemble machine learning methods with the traditional generalized linear method of predicting compulsory motor insurance losses. The study divides CTP losses into traditional and direct categories. It has been shown that the effectiveness of applying boosting machine learning models for forecasting is higher than using Random Forest and GLM. Factors that significantly affect the frequency and severity of insured events include: the number of minor accidents on a vehicle, the number of drivers, and the CBM coefficient. Other factors include the minimum length of service for a driver in a policy, the power of a vehicle, and the type of location where the vehicle is used. It has been concluded that the growth of the projected loss is positively influenced by the number of accidents, the number of drivers in the policy, low seniority and low age of drivers. The influence of the gender composition of drivers is highlighted: an increase in the number of female drivers leads to a decrease in insurance risks under the CTP policy.

The purpose of the study is to examine the association between earnings management and audit quality of Two hundred sixty-eight (268) business group firms from 2016 to 2021. The study has taken both accrual-based earnings management and a composite proxy for real earnings management to estimate the earnings management practices of the Indian business group firm. BIG_4 is used as a dummy variable for measuring the audit quality of firms. To examine the association between earnings management and audit quality, Panel fixed effect model is used. The results signify that audit quality is negatively associated with earnings management. This finding indicates that business group firms are quite concerned about earnings quality and less likely to be involved in earnings management practices for India. The result would draw the attention of law makers, policy makers and government regarding the loopholes of principles-based accounting. Especially, the result would help the accounting standard setter to change and rectify the present system of accounting principles.

The subject of this article is to assess the impact of globalization in the markets of tradable goods on the dynamics and manageability of inflationary processes. The main purpose of the article is to develop a methodology for identifying the causes and consequences of inflationary processes in the context of globalization and deglobalization of the economy. The relevance of this study is due to the low sensitivity of inflationary processes in the world to the impacts of monetary policy tools, including non-conventional measures, on them. Given the impossibility of effective application of monetary rules to coordinate inflationary processes, it is advisable to systematize modern approaches to determining the causes of inflation. At the same time, it is advisable to pay special attention to global factors in the development of inflationary processes, since it is the destruction of established value chains that is often associated with the increase in inflationary pressure on the global economy. The novelty of the study is to choose and justify a new classification of factors that affect the development of inflationary processes, as well as to identify the role and place of the situation in global markets in the system of these factors. The most important applied result of the work done is to identify the links between the liquidity of the global commodity market segment and the possibility of applying exchange rate management policies to affect the inflation rate. In terms of the effectiveness of conventional anti-inflation policies, this means that a country’s export structure can lead to the inability of anti-inflation policies.

Modern macroeconomic policy is based on the correspondence between goals and instruments, linking specific policy measures with established goals. However, in practice, one instrument can influence multiple goals simultaneously, and in different ways, as well as the structure of economic factors and individual elements. These effects are not considered by the neoclassical theories of economic policy. Therefore, the aim of this study is to provide a picture of how the main instruments of monetary and fiscal policy influence the goals of macroeconomic growth, including the growth rates, inflation, productivity factors and technology. The methodology is the theory of economic policy and growth, the principle of “distributed control”, regression model apparatus. The information base for the study is the data from Rosstat and the Central Bank of Russia. Applying the specified methodology allows us to obtain a general result — a picture of the distributed influence of monetary and fiscal policy instruments in Russia over the period 2000–2023 on target parameters of economic development. The use of the “distributed control” principle allows us to identify a stronger influence of monetary policy than budget policy on the growth rate, in a restraining sense, as well as its weakness in suppressing inflation in the long term, and its restricting nature in influencing total factor productivity. The absence of a significant influence of the two main instruments of macroeconomic policy (monetary and budgetary) on the growth of technological efficiency has been confirmed. While the resources of the national welfare fund, on the contrary, reveal an influence on technological efficiency and no influence on other target parameters considered in the study. The prospect is to assess various lags for different instruments and consider the problem of the joint influence of various instruments, not only on the structure of goals as in this study, but also on the framework of factors and elements of the economy.

There is abundant literature on the nexus between finance and economic growth while the impact of financial openness and financial development on economic growth is scarce, especially for transition economies. Hence this study aims to investigate this linkage to examine whether financial openness and financial development improve or worsen the economic growth of transition countries. We utilize financial development by broad indicators of both financial institutions and financial market development to present its multifaceted concept. Econometrically, the authors used several estimation techniques for panel data of 27 transition countries over the period 1995–2022. Our empirical findings documented the robust positive impacts of financial openness and financial development on economic growth. Remarkably, this linkage exhibits a stronger effect when we observe financial openness and financial development in combination. Also, while three indicators of financial institutions, including access, depth, and efficiency exert beneficial effects on economic growth, only the financial market depth has a positive impact, and the aggregate financial market index does not. This ambiguous finding exploits the dark sides of financial market development that require further investigations. Our research makes a valuable contribution to the scant extant literature and offers significant implications for transition economies when formulating economic development policies.

The relevance of the study is determined by the need to transform financial mechanisms to ensure the transition to a circular economy in the context of the instability of the current technogenic development model. The existing gap between the financial sector and the real economy, as well as short-term market benchmarks and difficulties in monetizing externalities, which limits the financing available for sustainable development projects. The aim of the study is to develop theoretical, methodological, and practical recommendations for transforming of financial mechanisms to ensure an effective transition to a circular economy. The research methods used include the systems approach, scientific abstraction, comparative analysis, the classification method, the analysis of statistical data, and the analysis of practical cases. Research results: theoretical approaches to sustainable finance have been systematized. The author’s classification of financial instruments for the circular economy has been developed. The compliance of the partner financial system with the open-book principle necessary for the formation of effective circular ecosystems has been substantiated. The potential of digital currencies for the formation of a two-circuit monetary system that provides targeted financing for sustainable projects has been identified. A mechanism for monetizing externalities through quasi-financial instruments has been proposed. The connection between the proposed financial mechanisms and the goals of creating a naturelike economy that focuses on the regeneration of natural capital has been demonstrated. Conclusions and practical significance: The need to combine market and administrative mechanisms for regulating sustainable finance has been substantiated. Recommendations have been formulated for developing an experiment in partner financing, introducing a “colored” digital ruble, creating a unified platform for the circulation of quasi-financial instruments, and integrating nature-like criteria into the Russian taxonomy of sustainable projects.

The world economy in the 21st century faces increased uncertainty and emerging crises. The most significant of these, known as the Great Recession, has led to significant changes in the global financial system since the post-Bretton Woods era. The author aims to trace these changes through the activities of international financial institutions, and to demonstrate the need for a political and economic approach to evaluating their activities, including the strengthening of their social orientation. The aim of the study is to explore the potential for global financial regulation, while also enhancing the humanitarian and economic focus of international financial institutions, and transforming the global financial system in response to the challenges of the 21st century’s crises. The main methods used in this study were system and logical methods, induction and deduction, as well as statistical analysis. These methods helped to reveal trends in the expansion of financial models proposed by the IMF and the World Bank, as well as the main changes in the global bond market and its differences from the equity market. Data from the World Bank and IMF, as well as international statistics and fundamental research databases, were used to conduct a political and economic analysis of the activities of international financial institutions and their impact on individual countries. Particular attention was paid to the least developed countries and their social development. As a result of the study, the conclusions regarding the increase in poverty caused by financial and credit assistance from the IMF to developing countries were refuted. The study also highlighted the role of international financial institutions in supporting poor countries in achieving the UN Sustainable Development Goals. The concept of “socialization of the activities of global financial organizations” was introduced. It has been shown that the focus of financial institutions, in addition to their core functions, on humanitarian issues in the modern world largely determines the financial architecture in which the global economy operates.

This paper examines the effect of replacing Russia’s traditional investment partners with APEC economies on the income growth of Russian regions. The relevance of the study is explained by the fact that the restructuring of Russia’s foreign economic relations has increased the importance of alternative sources of investment and their contribution to regional development. The purpose of the study is to assess how inward and outward foreign direct investment linked to APEC countries influence regional income and wage dynamics, with particular attention to the differences between developed and developing APEC economies. The analysis is based on panel data from Russian regions for the period 2014–2021 and uses econometric methodology, including Fixed Effects models, and One- and Two-step GMM models to estimate the relationship between changes in the structure of foreign direct investment and regional economic performance. The results show that a higher share of inward FDI from APEC countries in total inward FDI to Russia is associated with increased regional income and wages. This positive effect is becomes stronger for inward FDI from developing APEC economies. Outward FDI coming from Russia to APEC countries has no statistically significant effect on regional growth. The study concludes that expanding investment cooperation with developing APEC countries is a more effective strategy to support Russian regional economies during sanctions than relying on developed APEC or non-APEC partners. Its practical significance lies in supporting policies aimed at attracting FDI int o priority sectors, especially manufacturing.

This research uses bibliometric analysis to explore the relationships between retirement and financial behavior. A comprehensive search yielded 5202 documents spanning from 1946 to 2024. Utilizing bibliometric techniques, including co-citation analysis, keyword co-occurrence analysis, and citation network analysis, this study examines the evolution of research trends, key themes, and intellectual structures within the field. Findings reveal a growing interest in the intersection of retirement and financial behavior, with an increasing emphasis on topics such as retirement planning, financial literacy, savings behavior, and investment strategies. Co-citation analysis identifies seminal works and influential authors, while keyword co-occurrence analysis highlights prominent themes and concepts. Citation network analysis elucidates the interconnectedness of research topics and the dissemination of knowledge within the field. Limitations, including scope constraints and publication biases, are acknowledged, and future research directions are proposed to further advance our understanding of retirement and financial behavior dynamics. This study contributes to the existing literature by providing a comprehensive overview of research trends and thematic patterns, informing future research agendas and policy initiatives aimed at promoting financial wellbeing in retirement.

The purpose of the study is to assess the efficacy of diverse hedge ratios computed using three econometric models: OLS, VECM, and BEKK-GARCH model. This investigation centres on minimizing variance for the USD/INR currency pair within the Indian currency market, specifically during two distinct periods: the pre-COVID era and the COVID-19 era. Out-of-sample comparisons are conducted using the last 10 days of observations for both phases. The results of in- and out-of-sample evaluations demonstrate that the hedge approach established on OLS model outperforms alternative models in both periods. These findings offer valuable insights for investors, aiding in the enhancement of risk management strategies and informed decision-making with the objective of minimizing portfolio volatility and maximizing long-term returns.

This study examines the effects of firm-specific factors on the short-run and long-run returns of Indian initial public offerings (IPOs). This research adopts the robust least-squares method to investigate the relationship between shortand long-term returns of IPOs and firm characteristics. This study examines hand-collected data for 328 IPOs over a period of 10 years to identify factors that influence the long-term and short-term performance of IPOs. The findings confirm that the issue price, age, and size have a significant and positive influence on the short-term performance of IPOs. Furthermore, the timing of IPOs has a negative impact on short-term performance. We also find evidence that short-term, market-adjusted excess returns have a positive effect on long-term returns. The findings of this study help to build an understanding of firm-specific factors that may be used to forecast IPO performance in the Indian context.