h1In the United States, only commercial banks are shareholders of the central bank (federal reserve banks)./h1In most countries, the main legal act that regulates the activities of central banks is an act of supreme legal force – the law!– Ref 300×250 –pThe emergence of central issuing banks and general characteristics of their status. The world system of central banks in their modern form was created relatively recently./ppBy the middle of the XVIII century. commercial and central banks did not differ. With the development of the credit system there is a process of centralization of banknote issuance in some large commercial banks.!–more– In this case, the monopoly right to issue banknotes (banknotes) is gradually assigned to only one bank. Such a bank was called differently at different times. First – the issuance or national, and later – the central, which corresponded to its leading role in the credit system of a country./p pFor the first time in world practice, the central bank was established in Sweden (Riksbank) in 1668. Somewhat later, in 1694, the Bank of England was founded. However, at that time central banks did not yet have the exclusive right to issue banknotes. Their functions differed from those of modern central banks. Thus, the purpose of the Bank of England was initially to finance trade and industry, the Bank of the Netherlands – domestic and foreign trade./p pCentral banks of the modern type emerged only in the XIX century. Today, almost all countries in the world have central banks. However, there are significant differences between them, which are explained by the peculiarities of political and financial and economic development of individual countries./p pNote that during the 40-50 years of the XIX century. there was a lively discussion about the advantages of a centralized monopoly banking system compared to the system of competitive and equal banks in the market./p pDuring the discussion, not only the essence of the concepts of quot;free banking systemquot; and quot;centralized banking systemquot;, but also the advantages and disadvantages of each of them were clarified. In this discussion, of course, the most rational banking system, ie centralized, won. This is largely due to the need for a monopoly on issuance, which has given modern central banks the appropriate functions and special status./p pIn the XX century. The allocation of a separate central link in the banking system in most developed countries is not only a natural phenomenon, but also a prerequisite for achieving higher economic development./p pThe legal status of central banks, their status in developed countries are determined by relevant legislation. In most countries of the world, the main legal act that regulates the activities of central banks is an act of higher legal force – the law./p!–/noindex–pThe laws on banks define their structure, main tasks, functions and competence, the order of relations with the legislative and executive authorities, state administration bodies, as well as the powers of the state in relation to the subjects of the banking system, etc. The law establishes the powers of the central bank as a state emission center. The legal acts that determine the status of central banks also enshrine their powers in the areas of money circulation regulation, foreign exchange transactions, the functioning of the credit system, and so on./p pCentral banks can be state-owned or joint-stock. Thus, in France, Great Britain, Germany, the Netherlands, and Spain, the capital of central banks belongs entirely to the state. In some countries, the state owns only part of the capital (Belgium, Japan). In the United States, only commercial banks are shareholders of the central bank (federal reserve banks). However, in any case, the state plays a major role in the formation of the central bank’s governing bodies./p pThe content and forms of relationships and interrelations between central banks and existing branches of government differ significantly in individual countries. In the economic literature there are two models of such relationships. The first – the central bank acts as an agent of the government (Ministry of Finance) and the leader of its monetary policy. Second, the central bank is independent of the government, which gives it independence in conducting monetary policy without any influence from government agencies./p pIn practice, these models in their quot;pure formquot; do not work. In most countries, there are intermediate models that provide for certain principles of interaction between the executive and the central bank and a degree of independence./p pThe laws of only five countries – the United States, Germany, Switzerland, Sweden and the Netherlands – provide for the subordination of central banks to parliaments. In most countries of the world, central banks are subordinated to the Treasury or the Ministry of Finance./p pLegislation in the United Kingdom, France, Italy, Japan and some other countries provides that the Ministry of Finance has the right to issue instructions to central banks. However, such cases are extremely rare./p pIn countries where legislation provides for the subordination of central banks directly to parliaments, appropriate procedures may be used to make decisions by which the executive undertakes to assist central banks in resolving certain problems and in implementing monetary policy. In addition, the legislation of some countries provides for the reporting of central banks to parliaments. For example, the US Federal Reserve reports twice a year to the US Congress. The central banks of Germany and Japan report to their parliaments annually./p pThe issue of central bank independence is debatable, especially in market economies. It has not only theoretical but also practical interest for the central banking institutions of Ukraine. The definition of the legal status, tasks, functions, powers and principles of the NBU organization in the future law on the National Bank of Ukraine depends on the answer to this question./p pCentral banks in most countries of the world constantly enjoy the support of the state, which makes it possible to provide the payment system with powerful means of telecommunications needed for settlements between market participants. Central banks are able to register all payment transactions, qualitatively offset mutual liabilities of banks, and so on./p pThe central bank supervises the macroeconomic supervision of the functioning of the entire banking system, as well as the activities of each bank separately. Due to this, it can promptly take preventive measures aimed at stabilizing the financial condition of payment service market participants and rehabilitate a market in order to prevent disruption of the settlement system due to bankruptcy or illiquidity of its participants./p pOnly the central bank, according to its status, is endowed with the necessary liquidity and absolute solvency. This reduces the risk of non-payment in settlements with the central bank to a minimum./p pHowever, in different countries the role of the central bank in the calculations and their regulation is different. The reasons for this are different. In particular, the level of qualification of the participants of payment relations who carry out settlement operations is of considerable importance. There are also differences in the legal framework and approaches of individual states to the implementation of financial activities by market participants./p pEstablishment of the National Bank of Ukraine and its status. The central bank of our country is the National Bank of Ukraine (NBU)./p pThe banking system of independent Ukraine and, accordingly, the a href=”https://123helpme.me/write-my-lab-report/”write a lab report for me/a National Bank of Ukraine were established in 1991 in connection with the disintegration of the Soviet banking system. The legal basis of the banking system of our state was the Law of Ukraine quot;On Banks and Bankingquot;, adopted by the Verkhovna Rada of Ukraine on March 20, 1991. In accordance with the Resolution of the Verkhovna Rada of Ukraine quot;On the Procedure for Enactment of the Law of Ukraine quot;On Banks and Banking Activityquot; quot;, this legislative act was enacted on May 1, 1991./p pAccording to the above-mentioned resolution of the Verkhovna Rada, the Law of Ukraine “On Banks and Banking Activity” extended to all banks available in our country. It was also declared the property of Ukraine by the Ukrainian Republican Bank of the USSR State Bank, the Ukrainian Republican Bank of the State Commercial Industrial and Construction Bank (Ukrprombank), the Ukrainian Republican Bank of the Savings Bank of the USSR, the Ukrainian Republican Bank of the USSR Foreign Economic Bank with their network, computing and computing Ukrainian Republican Collection Department of the USSR State Bank with a network of institutions and organizations subordinated to it./p pIt was especially important that separately, in paragraph 3 of the resolution of the Verkhovna Rada of Ukraine quot;On the procedure for enacting the Law of Ukrainequot; On Banks and Banking quot;quot; provided quot;to create on the basis of the Ukrainian Republican Bank of the USSR State Bank National Bank of Ukraine. quot; In fact, this paragraph of the resolution of the Verkhovna Rada of Ukraine organizationally resolved the issue of establishing the central bank of an independent state – Ukraine./p pBy the same resolution, the National Bank of Ukraine was obliged to draft its Statute by May 1, 1991, determine the structure and number of the central office subordinated to the network of institutions and submit it to the Presidium of the Verkhovna Rada of Ukraine for approval. At the same time, the Council of Ministers of Ukraine and the National Bank of Ukraine were instructed to submit to the Verkhovna Rada of Ukraine proposals on the size and sources of formation of the statutory fund of the National Bank of Ukraine./p pThus, on the basis of the above-mentioned legislative acts, the state monopoly in the banking system was abolished and a new two-tier financial system was created. The first level is the National Bank of Ukraine, the second is commercial banks. The activities of these banks are closely interconnected. In fact, they form a mutually agreed and managed by a single body structure. At the same time, each of the components of this system operates in accordance with the laws of the market./p pThe status and principles of the National Bank of Ukraine are defined by the Basic Law of the state. Articles concerning the functioning of the National Bank are contained in two sections devoted to the legislative and executive branches. This is no accident, as it is the central bank of the state, which heads its national financial and credit system./p pThe National Bank by its legal status is one of the most important institutions of the state./p