A meeting on “systemic risk and designing a model for early crisis in the country’s banking and insurance industry” was held by the banking committee.
A meeting with the topic of “systemic risk and designing a model for early crisis in the country’s banking and insurance industry” with a speech by Mr. Dr. Hassan Hakimian, “Head of the Economic and Risk Analysis Group of the Securities and Exchange Organization Research Center” on 02/29/1400 by The banking committee was held as a webinar.
The following matters were discussed in the said meeting.
Systemic risk means the possibility of a sudden collapse in the entire financial system. This risk can lead to instability or chaos in the financial markets. An important issue in the discussion of systemic risk is the issue of contagion, which means the possibility of the spread of important economic changes in a unit. or financial sector or industry to other sectors.
In this research, the calculation of systemic risk for all banks and stock exchange insurances of the country has been done based on the SRISK scale. In the following, based on the modeling and the estimated coefficients, an early warning system for systemic risk has been presented using the partial regression method and by defining the stress in the banking system based on the money market stress index.
Based on the results of this research, the model presented with the aim of early warning of crisis in the country’s banking and insurance system correctly identifies the occurrence of tension (crisis) in the country’s banking system in out-of-sample data.
Considering the needs of the young and growing financial industry of our country, Iran Finance Association officially emerged as the most specialized financial scientific association in the country with the slogan of creating a connection between profession and finance.