This paper analyzes the effect of the business cycle on the regulatory capital buffer of German savings and cooperative banks in the period 19932003. The capital buffer is found to fluctuate anticyclically over the business cycle. The fluctuation is stronger for savings banks than for...

Based on a review of the analytical underpinnings of the effects of the NSFR on banks' choices, this paper attempts to relate banks' strategies to developments in the value of the ratio in the euro area. In spite of a not-so-near implementation date, the evidence is that the NSFR already matters...

The purpose of this research paper is to examine the effect of bank capital on liquidity creation. Especially, we test two competing hypotheses: the “risk absorption” hypothesis and the “financial fragility-crowding out” hypothesis that describes such association in the context of UK and...

This paper proposes a supplementary regulatory indicator “LA” by introducing the Net Stable Funding Ratio (NSFR) into DLM model, and investigates the heterogenous impacts of liquidity management behavior on the transmission of monetary policy in the two types of commercial banks classified...

We investigate the role of foreign banks and access to the regional stock market in the relationship between bank capital, competition and liquidity creation in the West African Economic and Monetary Union (WAEMU) countries using hand-collected bank-level data for 2000-2017. We uncover new...

In the present paper through an empirical analysis author will estimate some important determinant factors of banking solvency apart from the risk. Our sample refers to the western economies including the United States. The econometric analysis based on a single equation model uses OECD panel...