Macroeconomic Uncertainty and Bank Lending: The Case of Ukraine
Анотація
Our study investigates the link between bank lending behavior and macroeconomic uncertainty. We develop a dynamic model of a bank's value maximization that results in a negative relationship between loan to capital ratio and macroeconomic uncertainty. This proposition is tested using a panel of Ukrainian banks collected from NBU and covering the period 2003q1-2005q3. The results indicate that banks increase their lending ratios when macroeconomic uncertainty decreases. We demonstrate that our results are robust with respect to the measurement of macroeconomic uncertainty. The reaction of banks to changes in uncertainty is not uniform and depends on bank-specific characteristics.
Класифікація
Рецензії (0)
Написати рецензіюРецензій ще немає. Будьте першим!
Схожі роботи
The role of the banking system in supporting the financial equilibrium of the enterprises: the case of Ukraine
Схоже за: Banking stability, regulation, efficiency
Ontology of financial and banking crises
Схоже за: Banking stability, regulation, efficiency
Banking system stability in crisis periods: The impact of the banking regulator independence
Схоже за: Banking stability, regulation, efficiency
BANK BUSINESS MODEL: ESSENCE AND INTERRELATION WITH THE STRATEGY FOR DEVELOPMENT
Схоже за: Banking stability, regulation, efficiency
The European Integration Imperatives for Bank Resolution in Ukraine
Схоже за: Banking stability, regulation, efficiency
1D Piecewise Smooth Map: Exploring a Model of Investment Dynamics under Financial Frictions with Three Types of Investment Projects
Схоже за: Banking stability, regulation, efficiency