Eesti Pank Annual Report 1996

INTERNATIONAL ECONOMIC AND FINANCIAL ENVIRONMENT

MAJOR INDUSTRIAL COUNTRIES
USA
Japan
European Countries
Germany
Sweden
Finland
TRANSITION ECONOMIES OF CENTRAL AND EASTERN EUROPE
Poland, Slovakia, the Czech Republic and Hungary
Latvia and Lithuania
Russia

ESTONIAN ECONOMY

ECONOMIC ENVIRONMENT
Reforms
DEVELOPMENT OF THE REAL ECONOMY
Economic Growth
Domestic Demand
Foreign Demand: Exports
Domestic Supply
Foreign Supply: Imports
Main Peculiarities of Consumer Price Changes in 1996
Role of Foreign Financing
Direct Investments
Portfolio Investments
UNEMPLOYMENT, INCOME AND CONSUMPTION
Labour Market
Average Wage
Income, Consumption and Savings of the Population
PUBLIC SECTOR
Revenue
Expenditures
Budget Balance
Budget Financing and Loan Burden
INTERNATIONAL INVESTMENT POSITION
International Investment Position as of 31 December 1996
External Assets
External Liabilities
Net Foreign Debt of Estonian Residents

DEVELOPMENT OF THE FINANCIAL SECTOR

BANKING SYSTEM
General Trends
Bank Assets
External and Own Funds of the Banks
Profitability and Profits
OTHER FINANCIAL INTERMEDIARIES
Institutional Development of Financial Intermediaries
Capital Market
Development of the Market
Financial Deepening and the Capital Market

ESTONIAN MONETARY POLICY

MONETARY POLICY ARRANGEMENT AND EXPERIENCE
General Tendencies
Structure of the Monetary System
Peculiarities of the Currency Board
MONETARY POLICY INDICATORS IN 1996
Interest Rate Level
Monetary and Credit Aggregates
Exchange Rate
ACTIVITY OF EESTI PANK IN DESIGNING THE OPERATIONAL FRAMEWORK OF MONETARY POLICY

BANKING SUPERVISION

GENERAL DEVELOPMENT OF SUPERVISION IN ESTONIA
DEVELOPMENT OF BANKING AND PRIORITIES OF SUPERVISION

Management and Internal Audit Unit
Security and Reliability of Information Systems
Risk Management Systems
REVISION OF BANKING-RELATED LEGISLATION
Law on Guaranteeing Deposits
New Version of the Law on Credit Institutions
Money Laundering
PRUDENTIAL RATIOS
RESTRUCTURING OF BANKS
INTERNATIONAL COOPERATION IN THE FIELD OF SUPERVISION

CASH

Issue of Banknotes and Coins and Their Structure
Cash Circulation
Withdrawal of Worn-out Banknotes
Activities of the Money Laboratory

ESTONIAN PAYMENT AND SETTLEMENT SYSTEM

Changes in the Settlement System in 1996
Non-cash Payment Instruments

INTERNATIONAL COOPERATION

International Monetary Fund
Other International Organisations
European Union
Co-operation with Central Banks of Other Countries

ORGANISATIONAL CHART OF EESTI PANK (as of 31 December 1996)

DEVELOPMENT OF EESTI PANK ORGANISATION AND PERSONNEL

Governing Bodies of the Bank
Development of Organisation
Development of Personnel

ANNUAL ACCOUNTS OF EESTI PANK for the Financial Year Ended 31 December 1996

BALANCE SHEET OF EESTI PANK as of 31 December 1996
PROFIT AND LOSS ACCOUNT OF EESTI PANK for the Year Ended 31 December 1996
Notes to the Financial Statements of Eesti Pank
Comments on the Profit and Loss Account
REPORT OF THE AUDITORS TO RIIGIKOGU AND TO THE BOARD OF EESTI PANK

STATISTICAL APPENDIX