Effects of bank capital requirements on lending by banks and non-bank financial institutions

Arbeitspapier

What is the impact of a sudden and sizeable increase in bank capital requirements on the lending activity by directly affected banks and by non-affected non-bank financial institutions (NBFIs)? To answer this question, we apply a difference-in-differences methodology around the capital exercise by the European Banking Authority (EBA) in 2011 with German credit register data. We find that insurance companies, financial enterprises, and factoring companies - but not leasing companies - and Non-EBA banks expand their corporate lending relative to EBA banks. In particular, NBFIs use the opportunity to expand their credit activities, in riskier and more competitive borrower segments, but NBFIs do not seem to rely on increased bank funding to finance this expansion.

Angaben zum Objekt

• ISBN: 978-3-95729-957-4
• Sprache: Englisch

Verweise und Beziehungen

• Erschienen in: Series: Deutsche Bundesbank Discussion Paper ; No. 26/2023

Klassifikation und Themen

• Klassifikation: Wirtschaft ; Monetary Policy, Central Banking, and the Supply of Money and Credit: General ; Banks; Depository Institutions; Micro Finance Institutions; Mortgages ; Pension Funds; Non-bank Financial Institutions; Financial Instruments; Institutional Investors ; Financial Institutions and Services: Government Policy and Regulation ; Multiple or Simultaneous Equation Models: Panel Data Models; Spatio-temporal Models
• Thema: non-bank financial intermediation ; bank capital requirements ; EBA capital exercise

Beteiligte, Orts- und Zeitangaben

• Ereignis: Geistige Schöpfung
• (wer): Bednarek, Peter ; Briukhova, Olga ; Ongena, Steven ; von Westernhagen, Natalja
• Ereignis: Veröffentlichung
• (wer): Deutsche Bundesbank
• (wo): Frankfurt a. M.
• (wann): 2023

Weitere Informationen

• Handle: http://hdl.handle.net/10419/279547
• Letzte Aktualisierung: 10.03.2025, 11:42 MEZ