ROLE OF FINANCIAL-CREDIT MARKET HOUSEHOLD SAVINGS TRANSFORMATION IN INVESTMENT RESOURSES OF ECONOMY

Abstract

РArticle illustrates the key approaches of determining the nature and role of household savings in the economy, ranging from fundamental ideas J.M. Keynes to the modern views of Ukrainian scientists on this issue. the financial mechanism of transformation of household savings into investment resources of the economy and the role of private companies and financial intermediaries in the process of investment studied. The author paid attention to the international situation in household savings accumulation around the world by examining the level of household saving propensity in developed countries comparing with Ukraine (according to the World Bank). Features of motivational aspects of household of income and savings formation have been reviewed. The distribution of household income and savings in Ukraine has been analyzed. Investment potential of household savings has been determined. The level of public confidence in a variety of financial and credit institutions in Ukraine and the highest level of confidence in the population of the State Pension Fund and State banks have been identified. Interdependence volume of savings and investments has been considered. The role of financial and credit markets in transforming savings into investment resources economy has been analyzed. Ways of improving the mechanism of household savings activation to stimulate investment into economy have been offered, including stimulate direct investments, lowering the tax burden, improve financial stability of banking system and financial market and increase public confidence in financial intermediaries.