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The bank lending channel and monetary transmission in Central and Eastern European countries

Matousek, Roman, Sarantis, Nicholas (2009) The bank lending channel and monetary transmission in Central and Eastern European countries. Journal of Comparative Economics, 37 (2). pp. 321-334. ISSN 0147-5967. (doi:10.1016/j.jce.2008.09.008) (The full text of this publication is not currently available from this repository. You may be able to access a copy if URLs are provided)

The full text of this publication is not currently available from this repository. You may be able to access a copy if URLs are provided. (Contact us about this Publication)
Official URL
http://dx.doi.org/10.1016/j.jce.2008.09.008

Abstract

This paper carries out a systematic empirical investigation of the bank lending channel of monetary transmission in the 8 CEE countries which have joined the EU: Czech Republic, Estonia, Hungary, Latvia, Lithuania, Poland, Slovak Republic and Slovenia. We examine in particular whether the impact of monetary policy changes on bank lending differs depending on the banks' size, capital strength, liquidity and ownership structure. Panel data for a large number of banks over the period 1994-2003, and dynamic panel estimation techniques are employed. Looking at the experience of individual countries, there is evidence of a bank lending channel in all countries, though the strength of it varies across countries. Bank size and liquidity seem to play the most significant role in distinguishing banks' reactions to changes in monetary policy. We also investigate the macroeconomic consequences of the bank lending channel and find evidence connecting aggregate loan supply to real economic activity in the CEE countries. Journal of Comparative Economics 37 (2) (2009) 321-334. © 2008 Association for Comparative Economic Studies.

Item Type: Article
DOI/Identification number: 10.1016/j.jce.2008.09.008
Additional information: Unmapped bibliographic data: AD - Centre for International Capital Markets, London Metropolitan Business School, London Metropolitan University, United Kingdom [Field not mapped to EPrints] JA - J. Comp. Econ. [Field not mapped to EPrints]
Uncontrolled keywords: Bank lending channel, CEE countries, Monetary transmission
Subjects: H Social Sciences > HG Finance
Divisions: Faculties > Social Sciences > Kent Business School > Accounting and Finance
Depositing User: Tracey Pemble
Date Deposited: 08 Apr 2014 15:32 UTC
Last Modified: 29 May 2019 12:05 UTC
Resource URI: https://kar.kent.ac.uk/id/eprint/39106 (The current URI for this page, for reference purposes)
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