Macro-Prudential Policies to Mitigate Financial System Vulnerabilities /

Macro-prudential policies aimed at mitigating systemic financial risks have become part of the policy toolkit in many emerging markets and some advanced countries. Their effectiveness and efficacy are not well-known, however. Using panel data regressions, we analyze how changes in balance sheets of...

पूर्ण विवरण

ग्रंथसूची विवरण
मुख्य लेखक: Claessens, Stijn
अन्य लेखक: Ghosh, Swati, Mihet, Roxana
स्वरूप: पत्रिका
भाषा:English
प्रकाशित: Washington, D.C. : International Monetary Fund, 2014.
श्रृंखला:IMF Working Papers; Working Paper ; No. 2014/155
ऑनलाइन पहुंच:Full text available on IMF
विवरण
सारांश:Macro-prudential policies aimed at mitigating systemic financial risks have become part of the policy toolkit in many emerging markets and some advanced countries. Their effectiveness and efficacy are not well-known, however. Using panel data regressions, we analyze how changes in balance sheets of some 2,800 banks in 48 countries over 2000-2010 respond to specific macro-prudential policies. Controlling for endogeneity, we find that measures aimed at borrowers--caps on debt-to-income and loan-to-value ratios--and at financial institutions--limits on credit growth and foreign currency lending--are effective in reducing asset growth. Countercyclical buffers are little effective through the cycle, and some measures are even counterproductive during downswings, serving to aggravate declines, consistent with the ex-ante nature of macro-prudential tools.
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भौतिक वर्णन:1 online resource (36 pages)
स्वरूप:Mode of access: Internet
आईएसएसएन:1018-5941
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