We estimate the effect of changes in microprudential regulatory capital requirements on bank capital ratios and bank … lending. We do so by running panel regressions using a rich new data set, exploiting variation in individual bank capital … mostly recovers within three years. While estimated over a different policy regime and at the individual bank level, these …

The regulation of bank capital to improve the resilience of the financial system and, related to this aim, as a means … Kingdom, regulators have imposed time-varying, bank-specific minimum capital requirements since Basel I. Over the 1998 …

We model the evolution of stylised bank loan portfolios to assess the impact of IFRS 9 and US GAAP expected loss model …

undercapitalisation, and the misallocation of credit. In our model, credit traps arise when shocks to bank equity capital tighten banks … productivity weakens bank capital generation, reinforcing tight borrowing constraints, sustaining the credit trap steady state …, restrictions on bank leverage can help to enhance the economy's resilience to the shocks that can cause credit traps. Further, a …