Funding structure, procyclicality and lending: Evidence from GCC banks

Ghosh, Saibal (2013): Funding structure, procyclicality and lending: Evidence from GCC banks. Published in: Review of Middle East Economics and Finance , Vol. 9, No. 2 (2013): pp. 241-270.

Abstract

The paper examines whether banks’ funding structure amplifies procyclicality. Using data for GCC banks for the period 1996-2009, the evidence suggests that banks with higher wholesale dependence cut back lending by a greater amount. In addition, the procyclicality of the financial system and the crisis exacerbates the effect, although the results differ across bank ownership

• Item Type: MPRA Paper
• Language: English
• Keywords: Wholesale dependence; Bank lending; Procyclicality; Commercial banks; Islamic banks; Crisis; GCC countries
• Subjects: G - Financial Economics > G2 - Financial Institutions and Services > G28 - Government Policy and Regulation

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