A novel algorithm for clearing financial obligations between companies – an application within the Romanian Ministry of Economy

12/10/2020
by   Lucian-Ionut Gavrila, et al.
0

The concept of clearing or netting, as defined in the glossaries of European Central Bank, has a great impact on the economy of a country influencing the exchanges and the interactions between companies. On short, netting refers to an alternative to the usual way in which the companies make the payments to each other: it is an agreement in which each party sets off amounts it owes against amounts owed to it. Based on the amounts two or more parties owe between them, the payment is substituted by a direct settlement. In this paper we introduce a set of graph algorithms which provide optimal netting solutions for the scale of a country economy. The set of algorithms computes results in an efficient time and is tested on invoice data provided by the Romanian Ministry of Economy. Our results show that classical graph algorithms are still capable of solving very important modern problems.

READ FULL TEXT

page 1

page 2

page 3

page 4

research
01/23/2018

Whose Hands Are in the Finnish Cookie Jar?

Web cookies are ubiquitously used to track and profile the behavior of u...
research
11/21/2018

The Unwanted Sharing Economy: An Analysis of Cookie Syncing and User Transparency under GDPR

The European General Data Protection Regulation (GDPR), which went into ...
research
05/22/2022

rgpdOS: GDPR Enforcement By The Operating System

The General Data Protection Regulation (GDPR) forces IT companies to com...
research
09/24/2019

Information collection for fraud detection in P2P financial market

Fintech companies have been facing challenges from fraudulent behavior f...
research
02/28/2018

A Frequent Itemset Hiding Toolbox

Advances in data collection and data storage technologies have given way...
research
09/15/2021

α-Indirect Control in Onion-like Networks

Tens of thousands of parent companies control millions of subsidiaries t...
research
11/06/2021

Centralization is about Control, not Protocols (Position Paper)

Many common “consumer” applications, i.e., applications widely used by n...

Please sign up or login with your details

Forgot password? Click here to reset