The directions of improving the methodology for assessing the financial stability of a commercial bank in the conditions of economic instability of the Russian banking sector

The financial sector of the Russian Federation exists in conditions of economic and political instability. A series of financial and economic crises, restrictions that determined by the coronavirus infection and sanctions imposed on the country and separate subject of the economy have an impact on the stability of the financial sector. Due to the fact that commercial banks are an important link in the financial and economic system of the country, the main regulator of the financial sector is tightening the requirements for the stability and reliability of each banking sector participant. Therefore, the importance of regular analysis of the financial stability of a commercial bank, which is the basis of its uninterrupted functioning, increases. There are many methods for assessing the financial stability of a commercial bank, but the requirements for their quality and reliability are increasing. The methodology should adequately assess the position of the analyzed bank, taking into account the peculiarities of modern conditions of the financial sector and corresponding to it. It’s believed that the assessment methodology of the Central Bank of the Russian Federation is based on the foreign CAMEL methodology, which is the subject of this article. The study discusses the practice of applying the CAMEL methodology on the example one of the most important banks to country, namely VTB BANK (PJSC). In the process of assessing the financial stability of the commercial bank, 5 groups of indicators were computed, each of the indicators was given an expert assessment, on the basis of which the financial condition of the commercial bank was determined. As a result, conclusions were drawn about the advantages and disadvantages of the analyzed methodology and suggestions were given on possible ways to improve it.