02014cas a2200277 a 4500 AALejournalIMF016040 230101c9999 xx r poo 0 0eng d 5.00 USD 9781513519319 1018-5941 BD-DhAAL BD-DhAAL Adedeji, Olumuyiwa. How Do Changing U.S. Interest Rates Affect Banks in the Gulf Cooperation Council (GCC) Countries? / Olumuyiwa Adedeji, Yacoub Alatrash, Divya Kirti. Washington, D.C. : International Monetary Fund, 2019. 1 online resource (18 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 Given their pegged exchange rate regimes, Gulf Cooperation Council (GCC) countries usually adjust their policy rates to match shifting U.S. monetary policy. This raises the important question of how changes in U.S. monetary policy affect banks in the GCC. We use bank-level panel data, exploiting variation across banks within countries, to isolate the impact of changing U.S. interest rates on GCC banks funding costs, asset rates, and profitability. We find stronger pass-through from U.S. monetary policy to liability rates than to asset rates and bank profitability, largely reflecting funding structures. In addition, we explore the role of shifts in the quantity of bank liabilities as policy rates change and the role of large banks with relatively stable funding costs to explain these findings. Mode of access: Internet United States imf Alatrash, Yacoub. Kirti, Divya. IMF Working Papers; Working Paper ; No. 2019/268 Full text available on IMF http://elibrary.imf.org/view/journals/001/2019/268/001.2019.issue-268-en.xml IMF e-Library