Financial Journal

p. 8-26

Authors: Liudmila S. Kabir

The purpose of the study is to systematize the main directions of the discussion that unfolded at the COP28 UN Climate Change Conference in Dubai in November-December 2023 on the need to reform the financial mechanism of the UN climate convention. The relevance of this study is based on the fact that today the conditions have been formed to intensify Russia’s participation in the discussion at the international level on the goals and objectives of climate and sustainable finance, as there is growing dissatisfaction with the aggressive policy of developed countries trying to solve their development problems, including by distorting and replacing the global agenda previously agreed by the majority of the world's countries on the UN platform. The main conclusion of the study is as follows. When considering the problems of organization of both the climate finance mechanism and the sustainable finance mechanism in the context of the organization and functioning of the Technology Mechanism (UNFCCC) and the Technology Facilitation Mechanism (UN 2030 Agenda), embedded in the current discussion on the need to reform the financial mechanism of the UN climate convention, many issues related to the incorrectness, inconsistency and divergence of these concepts at the level of different countries can be effectively addressed by the UNFCCC. Returning the consideration of both climate and sustainable finance to the context of technological modernization tasks solved by society (as originally defined in the UN documents) will make it possible to return the process of transition of countries to a new sustainable development model to the original direction; to get rid of manipulations and substitution of concepts used by a group of developed countries; to reach consensus among all Parties to the Convention.

p. 43-58

Authors: Anton V. Navoy

Fragmentation of the global financial and economic space and difficulties in the organization of international settlements cause the restructuring of the international settlement system of the Russian Federation. Russia’s need for a reliable system of international settlements is due to its rapid involvement in the system of international trade, the need for high-tech imports, sales of raw materials and high-grade goods. One of the most promising options for a new design of payment infrastructure protected from sanctions pressure is the creation of an international payment system based on the peer-to-peer model using central bank digital currencies (CBDC). The Committee on Payment Infrastructures is actively theorizing this model. To date, the Russian Federation (digital ruble) and the People's Republic of China (digital yuan) demonstrate a high level of readiness to make settlements in the CBDC. The creation of a payment system based on CBDC fundamentally changes the entire landscape of international settlements, not only reducing the cost of transactions, but also ensuring their reliability, transparency and protection from the negative influence of other countries. Of particular interest is the model of clearing using CBDC in BRICS countries, which will allow for centralized netting of mutual positions of the countries in national currencies and gradual displacement of currencies of developed countries from mutual settlements.

p. 72-87

Authors: Natalya A. Khutorova

The spread of the sustainable development concept has given rise to sustainable finance, as well as the infrastructure of the financial and consulting industry of valuations, verifications and various databases in the field of ESG. This research is devoted to theoretical and practical study of the accumulated experience of ESG securitization transactions in order to systematize ESG financing instruments and directions of development of this sphere in modern conditions. The study showes that ESG securitization practices are being integrated into capital management processes in line with sustainable development goals, with the most developed centers in the USA, Europe and China. The study systematizes the main types of ESG securitized assets, gives their characteristics and identifies current trends. In Russia, despite its isolation from the world financial markets, the practice of ESG securitization is developing, covering new directions. The study notes the potential for the development of green mortgages, which will contribute to the activation of securitization transactions in the segment of residential and commercial real estate. High potential for development of the social segment of ESG securitization is also noted due to the growing demand for financing social projects in the regions. Expansion of the practice of social mortgage securitization will contribute to the redistribution of risks between the public and private sectors, while active involvement of Russian banks in a variety of ESG lending programs (car loans, lending to small and medium-sized businesses with a green and social focus, e.g. for the construction of social infrastructure, etc.) will expand the market. There is a suggestion that the development of digital ESG securitization platforms will help expand the reach of retail investors, while cooling the junk bond market. The article notes that the expansion of multi-tranche ESG securitization will allow long-term assets of pension funds and various ESG funds to be leveraged into mortgage-backed securities. Overall, ESG securitization improves the structure of transactions, expands the range of derivatives used, improves the quality of credit and interest rate risk management, and contributes to the achievement of sustainable development goals.

p. 104-125

Authors: Mikhail V. Milchakov

The article is devoted to the changes in the fiscal and financial situation of Russian regions in 2020–2022. During this period, the regions faced a new challenge in the form of a pandemic. The author gives a quantitative assessment of the changes that have occurred, analyzes the features of support measures and the regional policy being implemented. The article examines changes in the parameters of regional budget revenues, budget deficits and debt burden. In addition, the author identifies a group of regions with maximum changes in per capita budget revenues and the factors that caused these changes. The author pays special attention to measures in the field of debt policy, methodology for equalization grant allocation, as well as demographic characteristics affecting regional expenditures. The article presents proposals for possible further improvement of the system of interbudgetary fiscal relations, including approaches to the provision of unconditional gap-filling financial support.