Activation of banking lending of the real sector of economy as a precondition of restoration of economic growth

Abstract

Introduction. The article deals with the main problems of bank lending. The proposals on the activation of bank lending in the real sector of the economy are substantiated.

Purpose. The article aims to study the factors that restrain bank lending to the real sector, and to determine the directions of lending activating of the real sector of the economy by domestic banks.

Method (methodology). The research has been conducted with the help of general scientific methods of analysis, namely, method of induction, method of deduction, method of systematization and generalization.

Results. Economic growth in modern conditions cannot be ensured without attracting bank capital into the real economy. The main factors hindering the development of investment banking lending have been analysed. The basic mechanisms of further reformation of the banking sector in order to increase lending activity have been substantiated.

A set of recommendations for improving the system of lending to the real sector of the economy by commercial banks at the present stage has been offered.