ИСТИНА

The paper discusses options for development of the economy in general and the financial system, particularly in the context of economic slowdown. The author analyzes the changing conditions of Russian banks. There are the problems of formation of the capital base of Russian banks and how to maintain and increase it. The author proposes the use of subordinated debt as an effective tool for capitalization under unstable growth. Solving problems at the micro level is considered in two ways: 1) strengthening institutions for the protection of the rights of the creditor and mortgagee, 2) establishing a system of adequate regulation of the financial system, corresponding to the real situation in the economy (the principle of economic realism). There is proposed to introduce the concept of security deposit in legislation and to change the conditions of its use as a means of collateral. Also there is discussed the registered pledge, its terms and taking into account the discount with provisions on credit risks. Finally, it discusses measures to improve and preserve the regional banking system.