Large increases in TARGET2 balances in the euro area since 2008 have led to concern and debate about the appropriate interpretation and policy reaction - in particular in TARGET2 creditor countries such as Germany. Against this background, we examine the main drivers of the increases and...

A detailed assessment of Israel’s compliance with the Basel Core Principles for effective banking supervision is presented. The Bachar reform that has been started in mid-2005 forced banks to divest most noncommercial banking activities, such as mutual funds, insurance, pension, and provident...