01813cas a2200253 a 4500 AALejournalIMF016983 230101c9999 xx r poo 0 0eng d 5.00 USD 9781498381833 1018-5941 BD-DhAAL BD-DhAAL Grigorian, David. Sovereign Risk and Deposit Dynamics : Evidence from Europe / David Grigorian, Vlad Manole. Washington, D.C. : International Monetary Fund, 2016. 1 online resource (24 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 unprecedented expansion of sovereign balance sheets since the global financial crisis has given a new meaning to the term sovereign risk. Developments in Europe since early 2010 presented new challenges for the functioning of private banks in an environment of heightened sovereign risk. This paper uses an innovative way of measuring the perception of sovereign risk and its impact on deposit dynamics during 2006-11. Using an extension of a common market discipline framework, it shows that exposure to sovereign risk may have limited the ability of banks in Europe to attract deposits. The results are robust to inclusion of conventional measures of bank performance and the sector-wide holdings of foreign sovereign debt. Mode of access: Internet Manole, Vlad. IMF Working Papers; Working Paper ; No. 2016/145 Full text available on IMF http://elibrary.imf.org/view/journals/001/2016/145/001.2016.issue-145-en.xml IMF e-Library