Foreign bank lending during the Crisis: Evidence on branches vs subsidiaries

John Hooley, Glenn Hoggarth, Yevgeniya Korniyenko 14 February 2014

a

A

Foreign banks contribute potentially large longer-term benefits to their host economies (see, for example, Claessens and van Horen 2012). But the experience of the recent crisis has revealed that their lending can be more cyclical than that of domestic banks (Cetorelli and Goldberg 2011, Claessens and van Horen 2012, De Haas and Lelyveld 2011). The financial stability impact of retrenchment by foreign banks has been a major concern for some economies.

a

A

Topics:  Global crisis International finance

Tags:  global crisis, foreign banks, lending, foreign subsidiaries

Events