We examine the international transmission of liquidity and capital shocks from multinational bank-holding companies to … their subsidiaries. Our findings are consistent with the studies that document the negative impact of parent bank fragility … on subsidiaries' lending. We further find that foreign bank lending is determined by different factors in developing …

quality of individual banks is opaque but can be inferred by creditors from aggregate signals about bank solvency. When bank …. This information contagion is more likely under clustered asset structures. In contrast, when bank debt is long …