Financial Development of the Russian Federation: Problems of Measurement and Evaluation

Abstract

Financial development has a significant impact on the restructuring of the economy, long-term economic growth and improvement of the level and quality of life of the population. In this regard, this study aims to address the challenge of adequate measurement and assessment of the level and dynamics of financial development a relevant task for public administration. The goal of the study is to develop a system of indicators to measure the level and dynamics of financial development of countries. These indicators could improve the effectiveness of public decision-making in the sphere of finance. The research used the methods of systemic, comparative, and matrix analysis. As a result, the authors present a matrix system of financial development indicators, which characterizes the levels, dynamics, and interrelationships of financial development in the country as a whole, and in the context of financial market segments and sectors of the economy. This system reflects the real value of financial assets per capita, thereby, providing the scientific novelty of the study and increasing the objectivity of the results of analysis and evaluation. The developed indicators were tested with regard to the Russian Federation for the period of 2013–2021 using statistical data of the System of National Accounts in terms of financial balances. The results made it possible to determine the level and dynamics of financial development of the Russian Federation, to identify the sectors of the economy and financial instruments that contributed most to financial development in 2021; the sectors and instruments that impeded financial development; as well as to determine prospective directions of financial development in the near future. The use of new indicators will improve the comprehensiveness and quality of the analysis of financial development, as well as ensure the adoption of researchbased and effective decisions in the design of state strategic documents.