This paper examines the effect of economic policy uncertainty (EPU) on loan loss provisions (LLP). Using a sample of 6,384 US banks and yearly data from 2009-2019, the findings reveal that in times of higher economic policy uncertainty, banks tend to increase their loan loss provisioning....

Using data for Chinese commercial banks from 2000 to 2014, this paper examines the effects of economic policy uncertainty (EPU) on banks’ credit risks and lending decisions. The results reveal significantly positive connections among EPU and non-performing loan ratios, loan concentrations and...

This paper investigates the correlation of economic policy uncertainty (EPU) with nonperforming loans and loan loss provisions for 22 developed countries from 2008 to 2017. The findings reveal that economic policy uncertainty is negatively correlated with nonperforming loans and loan loss...

Purpose - This paper examines the correlation of economic policy uncertainty (EPU) with nonperforming loans and loan loss provisions for 22 major developed countries over the 2008-2017 period. Design/methodology/approach - The study used the Pearson correlation methodology to assess the...