Abstract
Socially responsible banking operations, i.e. considering their influence on society, interdependence and holistic approach, have become vitally important in the recent decade for long-term business operations, not only for banks themselves, but the entire economy. It is reflected in many ways, from employee relations to their willingness to finance social projects; but in the context of banking, one essentially needs to address the ethics of the comprehensive/holistic banking operations, i.e. the way how the bank achieves its profit targets. Specifically, the bank should achieve its profitability recognizing social interests, which in the long run leads to a stable banking system relying on a healthy real economy. Unfortunately, banks in the Republic of Croatia focused on short-term profit targets and did not contribute to an increased economic wealth of the country.
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Notes
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Prohaska, Z., Peša, A., & Lukavac, M. (2017). Importance of internal and external corporate governance mechanisms for socially responsible and sustainable banking operations, Anthology of Inter Cathedra Assembly in Rijeka. Faculty of Economics, University of Rijeka.
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Op. cit. Kraft, E., Hofler, R., & Payne, J. (2004) [Page10].
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Op. cit. Prga, I. (2006) [Page7].
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Lukavac, M. (2016). Issues of banks’ social responsibility in the Republic of Croatia, Oeconomicus num. 3.
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CBA Analysis. (2007). Stability of the banking system in Croatia: Where is the risk hidden? Number 8 [Page 11].
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Madura, J. (2002). Financial markets and institutions (6th ed.). Mason, OH, USA: Thomson South-Western [Pages 534–544].
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Memmel, C. (2010). Banks’ exposure to interest rate risk, their earnings from term transformation, and the dynamics of the term structure. Journal of Banking and Finance (07), available at: https://www.bundesbank.de/Redaktion/EN/Downloads/Publications/Discussion_Paper_2/2010/2010_09_20_dkp_07.pdf?__blob=publicationFile [accessed 10 February 2016] [Page 22].
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Lukavac, M. (2016). Issues of banks’ social responsibility in the Republic of Croatia, Oeconomicus No. 3.
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Papaioannou, M. G. (2006). Exchange rate risk measurement and management: Issues and approaches for firms. South-Eastern Europe Journal of Economics, 2, 129–146, available at: https://www.imf.org/external/pubs/ft/wp/2006/wp06255.pdf [accessed 7 February 2016] [Page 6].
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CNB Banks Bulletin, number 18 (2009) [Pages 13–18].
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LIDER Press. (2007). Rohatinski-interview: CNB will not desist from credit growth restriction measures.
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Official Gazette No. 36/201. (2003). Decision on compulsory entry of the Croatian National Bank treasury bills.
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Kukavčić, J. (2009). Monetary policy measures to limit the growth of placements and external borrowing, Zagreb Economy Faculty, available at: http://www.unizg.hr/rektorova/upload_2009/jasena_kukavcic_rektor_nag.pdf [accessed: 29 April 2016] [Page 10].
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CBA Analysis. (2014). Credit crunch identification issue: Do banks recognize healthy loan demand? Number 49 [Page 3].
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Čeh, A. M., Dumičić, M., & Krznar, I. (2011). Loan market imbalance model and the credit crunch period, CNB Research, http://www.hnb.hr/publikac/istrazivanja/i-030.pdf [accessed: 07 Feb. 2016] [Page 22].
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Vidaković, N., & Vlahović, D. (2012). The rise and fall of lending to the population, A Collection of the Business School Libertas, Year 5 [Pages 7–22].
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Bokan, N., Grgurić, L., Krznar, I., & Lang, M. (2010). Influence of the financial crisis and reaction of monetary policy in Croatia, CNB Research, available at: https://www.hnb.hr/documents/20182/121339/i-025.pdf/0cedb8e9-c523-4d60-8a1a-9a80daa56a2f [accessed 2 May 2016] [Page 15].
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Official Gazette No. 75/09. (2012). Act on Amendments to the Consumer Credit Act, available at: http://narodne-novine.nn.hr/clanci/sluzbeni/2012_10_112_2428.html [accessed 15 May 2016].
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Official Gazette No. 75/09. (2013). Act on Amendments to the Consumer Credit Act, available at: http://narodne-novine.nn.hr/clanci/sluzbeni/2013_12_143_3066.html [accessed 15 May 2016].
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Op.cit. Prohaska, Z., Peša, A., & Lukavac, M. (2017).
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Kukavcic, J. (2009). Measures of monetary policy to limit the growth of placements and external borrowing. Zagreb: Faculty of Economics.
Lazibat, T., Samardžija, J., & Sutić, I. (2010). ISO 26000 SR—Social responsibility. Anthology of 10th Croatian conference of quality. Zagreb [Pages 3–5].
LIDER Press. (2007). Rohatinski-interview. The CNB will not desist from credit growth restriction measures.
Lukavac, M. (2016a). Banking risks in the context of banking operations in the Republic of Croatia. M. Sc. thesis. University of Zadar, Department of Economics.
Lukavac, M. (2016b). Issues of banks’ social responsibility in the Republic of Croatia. Oeconomicus num 3.
Madura, J. (2002). Financial markets and institutions (6th ed.). Mason, OH, USA: Thomson South-Western [Pages 534–544].
Memmel, C. (2010). Banks’ exposure to interest rate risk, their earnings from term transformation, and the dynamics of the term structure. Journal of Banking and Finance (07). Available at: https://www.bundesbank.de/Redaktion/EN/Downloads/Publications/Discussion_Paper_2/2010/2010_09_20_dkp_07.pdf?__blob=publicationFile. Accessed 10 February 2016 [Page 22].
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Prga, I. (2006). The Croatian banking system stability—Are the banking crisis history? Rifin, 141–156. Available at: http://staro.rifin.com/root/tekstovi/casopis_pdf/ek_ec_508.pdf. Accessed 7 February 2016] [Page 4].
Prohaska, Z., Peša, A., & Lukavac, M. (2017). Importance of internal and external corporate governance mechanisms for socially responsible and sustainable banking operations. Collection of Inter Cathedra Assembly in Rijeka. Faculty of Economy, University of Rijeka.
Schaede, U. (2006). The strategic logic of Japanese Keiretsu, main banks and cross-shareholdings revisited (Working Paper No. 247). New York: Center on Japanese Economy and Business, Columbia Business School.
Tipurić, D. (2008). Corporate governance. Synergy Publishing.
Vidaković, N., & Vlahović, D. (2012). The rise and fall of lending to the population. The Collection of the Business School Libertas, Year 5 [Pages 7–22].
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Peša, A., Bolfek, B., Lukavac, M. (2021). The Unsustainability of Banking Operations in the Republic of Croatia vis-à-vis Social (Ir-)Responsibility. In: Mulej, M., O’Sullivan, G., Štrukelj, T. (eds) Social Responsibility and Corporate Governance. Palgrave Studies in Governance, Leadership and Responsibility. Palgrave Macmillan, Cham. https://doi.org/10.1007/978-3-030-46095-2_5
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