COURSE INFORMATION
Course Title: COMPARATIVE BANKING
Code Course Type Regular Semester Theory Practice Lab Credits ECTS
BAF 335 B 5 3 0 0 3 5
Academic staff member responsible for the design of the course syllabus (name, surname, academic title/scientific degree, email address and signature) NA
Lecturer (name, surname, academic title/scientific degree, email address and signature) and Office Hours: Chrysanthi Balomenou , Wednesday 10:30 - 13:30pm
Second Lecturer(s) (name, surname, academic title/scientific degree, email address and signature) and Office Hours: NA
Teaching Assistant(s) and Office Hours: NA
Language: English
Compulsory/Elective: Compulsory
Classroom and Meeting Time: E012 on Wednesday 14:30 - 17:15pm
Course Description: BAF 335 - Comparative Banking: Economists, financial specialist, national policy makers, businesses, and analysts in countries everywhere must deepen their understanding and sharpen their awareness of foreign financial systems. The course compares key characteristics of banks and banking systems across countries. International comparisons can reveal trends and norms that might be useful in analyzing national banking and financial policies, and an awareness of banking and financial systems in other countries can promote the realization that national financial policies are likely to have an impact across borders. The increased globalization and interconnectedness of business and finance provides one set of motives for this effort. The course deals with four fundamental aspects of international banking: the structure of banking, with emphasis on the connection between the development of the banking system and economic growth; banking industry performance; banking regulation, supervision, and corporate governance; and banking crises.
Course Objectives: Basing on the above mentioned description, the course aims, on one hand, to give an analytic comparison of different banking systems in the world by identifying the main aspects regarding financial indicators and performance, regulation and bank supervision, economic impact, path of financial and economic development and the identification of the main problems and difficulties. And on the other hand to provide new interdisciplinary and comparative answers as to why banking sectors in 'liberal' and 'coordinated' market economies operated under a shared set of rules during the Global Financial Crisis and in this way, by bringing together a good mix of academics and practitioners ideas and respective literature for a discussion that focuses on how to change financial practice and the academic field of finance in order to understand the current financial crisis and deal with future turbulent financial times. Through careful analyzes of all these aspects the course emphasizes the main advantages and disadvantages of each banking system and draws conclusions regarding the best practices to be taken in consideration during the decision making processes of banks and policy makers. In addition, the course aims at showing the improvement of the regulation of banks, as far as the establishment of new Regulatory Institutions, to prevent another crisis and providing an insightful and measured comparative analysis, by reference to the themes of financial stability, price stability, prudential regulation and the increased regulatory role of central banks. Moreover, in this course we examine how different jurisdictions have struck the balance between financial innovation and financial stability, by considering the prudential regulatory of the U.S, U.K., Europe, Japan and discuss how the institutional structures of financial regulation affect or influence the quality of the implementation of financial stability policies. While in parallel, we, critically, analyze and interprete the implemented by the central banking system in USA, E.U , United Kingdom and in a way in Japan, conventional and unconventional polices, especially, during crisis periods. Finally, in this course we investigate and analyze the impact of Brexit on the Banking System.
COURSE OUTLINE
Week Topics
1 Introduction of the syllabus, academic writing rules
2 Time evolution of International Banking and relevant regulatory framework
3 Universal Banking and Dodd-Frank Wall Street Reform Criticism
4 Classical Version of Lender of Last Resort Facility and relevant critical analysis.
5 Revised Version of Lender of Last Resort Facility and relevant critical analysis.
6 ECB, FED and BoE conventional and unconventional policies during financial crisis periods.
7 Revision
8 Midterm Exams
9 Comparison analysis and related dilemmas
10 Presentation of group projects
11 Banking Safety Net and the vicious cycle of sovereign banking nexus
12 The new regulatory framework of EBU and its strengths and drawbacks
13 Brexit and the Banking System
14 Revision
Prerequisite(s): NA
Textbook: Textbook: Wilson, J.S.G, “Banking Policy and Structure: A Comparative Analysis”, RLE Banking & Finance, March 9, 2014 Routledge Research in Finance and Banking Law, Lui, A. “Financial Stability and Prudential Regulation: A comparative approach to the UK,US, Canada, Australia and Germany,2017, Routledge Research in Finance and Banking Law, Chorafas, D, “The changing role of central banks”, 2013, Palgrave MacMillan, Ham, M, “Central Banks Regulation and the Financial Crisis: A comparative analysis”, 2015, Palgrave MacMillan Studies in banking and financial institutions, Bakir, C. “Bank Behavior and Resilience”, Palgrave MacMillan, Ayadi, R & Mouley, S, “Monetary Policies, Banking Systems, Regulatory Convergence, Efficiency and Growth in the Mediteranean, 2016, Palgrave MacMillan Studies in banking and financial institutions, Azarmi, T & Amann, W, “The Financial Crises: Implications for research and teaching”, 2016, Springer, Joens, C. “Banking Crises: Perspectives from the New Palgrave Dictionary, 2016, Springer. "The Euro Crisis",by Philip Arestis and Malcom Sawyer, 2012. "The Political Economy of European Banking Union", by Oxford University Press, 2016. "Financial Crisis, Contagion, and the lender of last resort", by Oxford University Press, 2009. Banking Policy and Structure" by J.S.G. Wilson, 2012. "Central Bank Regulation and the Financial Crisis" by Palgrave Macmillian Studies in Banking and Financial Institutions, 2016. Other References: Lectures and the materials prepared by the Lecturer
Other References: NA
Laboratory Work: NA
Computer Usage: NA
Others: No
COURSE LEARNING OUTCOMES
1 Provides a full knowledge and understanding of different banking systems and of the international financial system.
2 Outlines the main empirical and analytical tools for the comparison of banks and banking systems
3 Explains the difference, advantages and disadvantages of the main existing and functioning banking systems.
4 Enables students to draw conclusions for the way of functioning of different banking systems properly preparing them for the future decision making processes.
5 Describes different tools for problem analyzing and solution and responding to the arising respective questions, such as: Why do banks collapse? Are financial systems more fragile in recent decades and why? Can policies to fix the banking system do more harm than good? What's the history of banking crises and the relevant regulatory reforms? By using as references the extent scientific literature of the field, answering from diverse scholarly viewpoints.
6 Use comparative analyze – SWOT Analysis as tools for problem analyzing and solution.
7 Enables students to acquire all the appropriate pedagogical, empirical and theoretical background for responding, positively and effectively to issues considering crises management by the banking and especially central banking system.
8 All the above mentioned are based on high quality literature on hot topics of the field.
COURSE CONTRIBUTION TO... PROGRAM COMPETENCIES
(Blank : no contribution, 1: least contribution ... 5: highest contribution)
No Program Competencies Cont.
Bachelor in Banking and Finance (3 years) Program
1 The students are gained the ability to look at the problems of daily life from a broader perspective. They gain the needed skills not only to understand economic problems in banking and finance but also to construct a model and defend in meaningful way. 4
2 They have knowledge about the finance and banking. 5
3 They have knowledge about the money and banking. 5
4 They have knowledge about the international finance and banking. 5
5 They have ability to use mathematical and statistical methods in banking and finance. 4
6 They know how to use computer programs in both daily office usage and statistical data evaluations in banking and finance department. 2
7 They have necessary banking and finance skills that needed in private and public sector. 4
8 They are intended to be specialist in one of departmental fields that they choose from the list of general economics, finance economics, public finance, corporate finance, finance management, international finance markets and institutions, banking and central banking, international finance and banking, money and banking, international trade and banking. 3
9 They have ability to utilize fundamental economic theories and tools to solve economic problems in banking and finance. 4
10 They are aware of the fact that banking and finance is a social science and they respect the social perspectives and social values of the society’s ethics. 5
COURSE EVALUATION METHOD
Method Quantity Percentage
Midterm Exam(s)
1
30
Term Paper
1
20
Final Exam
1
40
Attendance
10
Total Percent: 100%
ECTS (ALLOCATED BASED ON STUDENT WORKLOAD)
Activities Quantity Duration(Hours) Total Workload(Hours)
Course Duration (Including the exam week: 16x Total course hours) 16 3 48
Hours for off-the-classroom study (Pre-study, practice) 16 3 48
Mid-terms 1 9 9
Assignments 1 5 5
Final examination 1 11 11
Other 1 4 4
Total Work Load:
125
Total Work Load/25(h):
5
ECTS Credit of the Course:
5