The mix of international banks' foreign claims : determinants and implications / Alicia Garcia Herrero, Maria Soledad Martinez Peria.

Format:

Book

Government document

Author/Creator:

García-Herrero, Alicia.

Contributor:

World Bank.

Martinez Peria, Maria Soledad.

Series:

Policy research working papers ; 3755.

World Bank e-Library.

Policy research working paper ; 3755

Language:

English

Subjects (All):

Banks and banking, International.

Other Title:

mix of international banks' foreign claims

Policy research working paper vol. 3755

Mix Of International Banks ' Foreign Claims

Place of Publication:

[Washington, D.C. : World Bank, 2005]

System Details:

data file

Summary:

"The authors analyze the determinants and implications for financial stability of the mix of international banks' claims countries receive. In particular, they distinguish between local claims, extended by international banks through their affiliates in a host (or claim recipient) country, and cross-border claims, booked from outside the host country, typically from banks' headquarters in their home countries. Using data on U.S., Spanish, and Italian banks' foreign claims across countries, the authors find that the share of local foreign claims is primarily driven by the degree of "freedom" in the host banking sector and by business opportunities in the local market. Entry requirements, startup and informational costs associated with international banking also play a role, but their influence is less robust. Finally, they find that the mix of international bank claims has implications for financial stability, since foreign claim volatility is lower in countries that receive a larger share of local claims. "--World Bank web site.

Notes:

Title from PDF file as viewed on 10/26/2005.

Includes bibliographical references.

Publisher Number:

10.1596/1813-9450-3755