The global financial crisis has reignited the debate about the risks of financial globalization, in particular the international transmission of financial shocks. We use data on individual loans by the largest international banks to their various countries of operation to examine whether banks'...

The global financial crisis and the related sharp reduction in cross-border credit have reignited the debate about the risks of financial globalization. We use loan-level data on lending by the largest international banks to their various countries of operation to examine how banks reduced...

Cross-border bank lending to emerging markets dropped sharply in the second half of 2011 as the euro area crisis intensified. We use the BIS international banking statistics to identify the key drivers of this decline. Our results indicate that the latest contraction in cross-border bank lending...

As banking has become more globalized, so too have the consequences of shocks originating in home and host markets. Global banks can provide liquidity and risk-sharing opportunities to the host market in the event of adverse host-country shocks, but they can also have profound effects across...

This study empirically investigates the impact of country-level determinants and banking sectorspecific characteristics on the volatility of cross-border bank lending in the face of financial crises. Employing data on international bank lending between 13 industrialized countries and 51 emerging...

This paper considers the question of whether international banks learn from their previous crisis experiences and reduce their lending to developing countries in the event of a financial crisis. The analysis combines a bank-level dataset of bank activity and ownership with country-level data on...

This paper studies how global banks transmit liquidity shocks via their internal capital markets. The unexpected access of German banks' affiliates located in the United States (US) to the Federal Reserve's Term Auction Facility (TAF) serves as our liquidity shock. Using microdata on all...

This study investigates the determinants of adjustments in the provision of cross-border loans by internationally active banks. For the period from 2002 to 2010, we look at quarterly transaction data (excluding valuation effects) on long-term loans issued by the largest 69 German banking groups...