The objective of this study is to present the evolution of the financing of Greek enterprises during the years of crisis, and in particular analyze the impact of the crisis on companies' access to external financing. The deep economic crisis that hit Greece is reflected, inter alia, in the main macroeconomic ratios, like Gross Domestic Product and unemployment and some indicators of the banking sector, like deposits, total loans and non-performing loans. Greece is characterizes today by borrowing problems, high public debt, serious lack of competitiveness, unsustainable social security system, particularly poor public administration and a large and wasteful public sector. Economic crisis decreased firms' profitability and increased their needs for external sources of financing. In the situation when internal sources are limited external capital is the main source allowing to finance firm's investment projects. Insufficient availability of external capital can restrict future firm's growth opportunities and its competitiveness. In this paper we analyze two main sides of the problem of business financing: the supply and demand of external capital. The extreme reluctance of banks to lend Greek companies because of the strict financing constrains due to the national debt crisis exacerbates the cycle of economic recession and seriously undermines the efforts of Greek companies to continue their activities. In new circumstances banks try to limit risk. But in the current environment they have trouble finding creditworthy borrowers. As a result the credit market is very constrained. On the other side economic crisis decreased firms' profitability and increased needs in finding ways to gain funds. The analysis shows that small and medium enterprises have been particularly affected by tighter credit conditions and financial instability. Debt financing has become more expensive and difficult to obtain.(original abstract)
December 2010 proved to be a crucial period for the retail credit market. Implemented at this time the T Recommendation of Financial Supervision Commission determined the drastic limitation of crediting of individuals by standard banking institutions. It was (and actually still is) the result of the need for the banks in the credit assessment using the algorithm minimum levels of household spending, designated primarily through the prism of the so-called minimum of poverty, which is published by the Institute of Labour and Social Affairs. Unfortunately, as indicated the observations and experience, the adoption of this type of solutions contributed to the exclusion of a large part of society, which under the new regulations may not use the services of banks' loan. The reason for this state of affairs is very prosaic - their incomes are too low and basically inadequate to coverage in the context of the "new" household expenditure, not to mention the loan installments. So we must ask the question, therefore, is certainly new regulatory solutions are adapted to the conditions prevailing in the domestic labor market?
Głównym celem artykułu było pokazanie wpływu programu "Rodzina 500+" na wzrost wielkości dochodów, zdolności kredytowej i strukturę zadłużenia gospodarstw domowych na terenach słabo rozwiniętych gospodarczo. Jako przykład ubogiego regionu wybrano województwo podkarpackie, a w badaniach wykorzystano dane statystyczne dotyczące dochodów, wydatków oraz zadłużenia gospodarstw domowych dla tego województwa oraz dla całego kraju. Praca zwiera propozycję sposobu kalkulacji wpływu programu "Rodzina 500+" na wzrost zdolności kredytowej, która może zostać zaadaptowana przez instytucje finansowe, jednocześnie stanowi głos w dyskusji na temat konsekwencji wprowadzenia tego programu.
EN
The main objective of the article was to show the impact of the "Family 500+" programme on increase of income level, credit rating and a debt structure of households in economically underdeveloped regions. As the example of the underdeveloped region Podkarpackie voivodeship was used, while in the research statistical data concerning income, expenditures and debt of households for this voivodeship and whole country were used. The article contains a proposition of a calculation method of the "Family 500+" programme impact on the increase of credit rating, that could be adapted by financial institutions, simultaneously being a voice in a discussion about consequences of the programme's introduction.
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