Interest paid by U.S. state and local bonds is tax-exempt, making these bonds attractive to investors - though a tax rule limits arbitrage opportunities by restricting associated interest expense deductions. Prior to 1986, U.S. banks were not subject to the interest deduction limitation, making...

Studies of intermediated arbitrage argue that bank balance sheets are an important consideration, yet little evidence exists on banks' positioning in this context. Using confidential supervisory data (covering $25 trillion in daily notional exposures) we examine banks' positions in connection...

We use the term structure of bank CD rates to examine whether maturity-transformation risk is priced into the rates banks offer customers. We find that depositors pay a significant cost for the liquidity provided by bank deposits. This cost is strongly related to the amount of...

Peer to peer (P2P) lending in Indonesia has been growing rapidly, therefore there is the potential for disruptive innovation processes in the financial sector. The aim of this study is to examine the impact of the growth of P2P lending on the growth of bank lending for micro, small and medium...

This study aims to examine the impact of the growth of peer-to-peer (P2P) lending on the growth of rural bank lending. Further, this study investigates the outcome of the partnership agreement between the Rural Bank Association and Financial Technology (FinTech) Association in the last quarter...

The purpose of this study is to examine the effect of P2P lending on bank credit in each type/segment of banking credit consisting of working capital credit, investment credit, and consumer credit in the period before and during the occurrence of the Covid-19 exogenous shock. Examining the...

We investigate whether lenders employ sustainability pricing provisions to manage borrowers’ environmental risk. Using unexpected negative environmental incidents of borrowers as exogenous shocks that reveal information on environmental risk, we find that lenders manage borrowers’...

Offering health coverage to informal workers and their families is an ongoing and major challenge in most Sub-Saharan countries. As anchoring insurance to employment contracts is not possible and the demand for insurance is too low to deploy voluntarily sustainable schemes, alternative...

Private firms establish relationships with banks in local markets to obtain adequate financing for their operations through credit and loans. As major banks reduced their branch networks in recent years, many firms have lost access to their local bank. We evaluate the impact of a large number of...

Offering health coverage to informal workers and their families is an ongoing and major challenge in most Sub-Saharan countries. As anchoring insurance to employment contracts is not possible and the demand for insurance is too low to deploy voluntarily sustainable schemes, alternative...