02317cas a2200325 a 4500 AALejournalIMF023132 230101c9999 xx r poo 0 0eng d 20.00 USD 9798400215421 1018-5941 BD-DhAAL BD-DhAAL Belkhir, Mohamed. Macroprudential Regulation and Sector-Specific Default Risk / Mohamed Belkhir, Sami Ben Naceur, Bertrand Candelon, Jean-Charles Wijnandts. Washington, D.C. : International Monetary Fund, 2022. 1 online resource (36 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 This paper studies the transmission of macroprudential policies across both financial and non financial sectors of the economy. It first documents that tighter macroprudential regulations implemented in Europe over the period 2008-2017 lowered default risk not only in the financial, but also in non-financial sectors. Second, the paper analyzes the impact of two reforms in the macroprudential framework. Higher capital requirements improve the long-run resilience of the financial sector but at the cost of raising long-term default risk in non-financial sectors. Strengthening the resolution framework for failing banks has beneficial long-run effects on the default risks of the financial and non-financial sectors. Our results concur with the literature documenting how banks adjust their balance sheet composition and credit supply in reaction to changes in their regulatory environment. Mode of access: Internet Financial Crises imf Financial Institutions and Services imf Macroprudential Regulation imf Multiple or Simultaneous Equation Models imf Ben Naceur, Sami. Candelon, Bertrand. Wijnandts, Jean-Charles. IMF Working Papers; Working Paper ; No. 2022/141 Full text available on IMF https://elibrary.imf.org/openurl?genre=journal&issn=1018-5941&volume=2022&issue=141 IMF e-Library