The Determinants of Banking Profitability in Russia: Macroeconomic and Institutional Perspectives

On December 20, at the research workshop of the Institute for the Study of Transition Economies of the Bank of Finland (BOFIT) in Helsinki (Finland), Veronika Belousova presented the paper 'The Determinants of Banking Profitability in Russia: Macroeconomic and Institutional Perspectives' prepared jointly with Alexander Karminsky and Ilya Kozyr.

The paper devoted to the valuation of the profit function of Russian banks for the period from 2004 to 2015, taking into account the influence of macroeconomic and institutional factors on the efficiency margin. Examples of macroeconomic factors in the study include the exchange rate, the level of financial intermediation and the freight traffic index.