bonds at the expense of lending to the real sector. To quantify the effect of this distortion, we build a standard RBC model … policy makes the steady state lending spread on loans to firms decline, stimulating investment and output. Also, it … stabilises the lending spread, leading to a lower volatility of investment and output. …

interest margin (NIM) and its components, retail lending and retail deposit rates. Using two proprietary bank-level data sets … market rates. As low profitability could hamper the ability of banks to expand lending, I also investigate the impact of the … NIM on new lending to the non-financial private sector. In general, the NIM is positively related to lending: When lending …

instruments to study international spillovers of prudential policy changes for bank lending growth. The collective analysis has … three main findings. First, prudential instrument effects sometimes spill over across borders through bank lending. Second … sheet conditions and business models drive the amplitude and direction of spillovers to lending growth rates. Third …

macroeconomic fluctuations. Second, a higher share of domestic credit to GDP coincides with higher volatility in the short run …

strategies to become compliant. All strategies are growth strategies and none of them cuts lending. On average, banks would see … minimum standard is unlikely to exhibit adverse consequences for credit supply and bank profitability. …

Using a unique data set on German banks' loans to the German real economy, we investigate banks' credit risk. This data … the period 2003-2011 yields the following results: (i) Beyond the nationwide credit loss rate, industry composition, and … regional factors, the loans' maturity structure is found to drive the bank-wide loss rates in the credit portfolio. (ii) The …

The US credit boom has been identified as one of the causes of the global financial crisis and the resulting debt … overhang is seen as the primary reason for the weak economic recovery. Most of the existing literature links the credit boom to … non-financial private sector had been originated by shadow banks. Consequently, dampening credit creation by the …

Recent regulatory efforts aim at lowering the cyclicality of bank lending because of its potential detrimental effects … on financial stability and the real economy. We investigate the cyclicality of SME lending by local banks with vs … credit demand-side factors. The public mandate is set by local governments and stipulates a deviation from strict profit …