Arbeitspapier

Monetary policy transmission to mortgages in a negative interest rate environment

Do negative policy rates hinder banks' transmission of monetary policy? To answer this question, we examine the behaviour of Italian mortgage lenders using a novel loan-level dataset. When policy rates turn negative, banks with higher ratios of retail overnight deposits to total assets charge more on new fixed rate mortgages. This suggests that the funding structure of banks may matter for the transmission of negative policy rates, especially for long-maturity illiquid assets. Nevertheless, the aggregate economic implications for households are small, suggesting that concerns about inefficient monetary policy transmission to households under modestly negative rates are likely overstated.

ISBN
978-92-899-3505-0
Sprache
Englisch

Erschienen in
Series: ECB Working Paper ; No. 2243

Klassifikation
Wirtschaft
Money and Interest Rates: General
Monetary Policy
Central Banks and Their Policies
Banks; Depository Institutions; Micro Finance Institutions; Mortgages
Thema
monetary policy
negative interest rates
bank lending
mortgages ECB

Ereignis
Geistige Schöpfung
(wer)
Amzallag, Adrien
Calza, Alessandro
Georgarakos, Dimitris
Sousa, João
Ereignis
Veröffentlichung
(wer)
European Central Bank (ECB)
(wo)
Frankfurt a. M.
(wann)
2019

DOI
doi:10.2866/91987
Handle
Letzte Aktualisierung
10.03.2025, 11:46 MEZ

Datenpartner

Dieses Objekt wird bereitgestellt von:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. Bei Fragen zum Objekt wenden Sie sich bitte an den Datenpartner.

Objekttyp

  • Arbeitspapier

Beteiligte

  • Amzallag, Adrien
  • Calza, Alessandro
  • Georgarakos, Dimitris
  • Sousa, João
  • European Central Bank (ECB)

Entstanden

  • 2019

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