01826cas a2200253 a 4500 AALejournalIMF005027 230101c9999 xx r poo 0 0eng d 5.00 USD 9781451869552 1018-5941 BD-DhAAL BD-DhAAL Koeda, Junko. Informality and Bank Credit : Evidence from Firm-Level Data / Junko Koeda, Era Dabla-Norris. Washington, D.C. : International Monetary Fund, 2008. 1 online resource (37 pages) IMF Working Papers <strong>Off-Campus Access:</strong> No User ID or Password Required <strong>On-Campus Access:</strong> No User ID or Password Required Electronic access restricted to authorized BRAC University faculty, staff and students The paper relies on a firm-level data on transition economies to examine the relationship between informality and bank credit. We find evidence that informality is robustly and significantly associated with lower access to and use of bank credit. We also find that higher tax compliance costs reduce firms' reliance on bank credit, while a stronger quality of the legal environment is associated with higher access to credit even for financially opaque informal firms. An interactive term between a country-wide measure of tax compliance costs and the level of informal activity is negative and significant, suggesting that the negative association between informality and bank credit is stronger in countries with weak tax administration. Mode of access: Internet Dabla-Norris, Era. IMF Working Papers; Working Paper ; No. 2008/094 Full text available on IMF http://elibrary.imf.org/view/journals/001/2008/094/001.2008.issue-094-en.xml IMF e-Library