-level data for central and eastern Europe and controlling for the feedback effect of credit growth on bank soundness. No evidence … credit booms supervisors need to carefully monitor the soundness of rapidly expanding banks and stand ready to take action to …

. The tendency to underprice systemic liquidity risk and currency-induced credit risk creates vulnerabilities that need …, but few have addressed those arising from currency-induced credit risks. …

credit growth experienced by these countries. We find that, on average, both bank capitalization and lending activities in … Latin America increased after Basel. Consequently, Basel did not seem to lead to an overall credit decline. However, we do … Basel II might cause greater procyclicality of credit. …