scholarly journals Unconventional Monetary Policy, Bank Lending, and Security Holdings: The Yield-Induced Portfolio Rebalancing Channel

2018 ◽  
Author(s):  
Karol Paludkiewicz
Keyword(s):  
Monetary Policy ◽  
Bank Lending ◽  
Unconventional Monetary Policy ◽  
Portfolio Rebalancing ◽  
Policy Bank

scholarly journals Unconventional Monetary Policy, Bank Lending, and Security Holdings: The Yield-Induced Portfolio-Rebalancing Channel

2019 ◽  
pp. 1-38
Author(s):  
Karol Paludkiewicz
Keyword(s):  
Monetary Policy ◽  
Bank Lending ◽  
Government Bond ◽  
Unconventional Monetary Policy ◽  
Average Yield ◽  
Difference In Differences ◽  
Portfolio Rebalancing ◽  
Large Yield ◽  
Policy Bank ◽  
The Impact

This article studies the impact of unconventional monetary policy on bank lending and security holdings. I exploit granular security register data and use a difference- in-differences regression setup to provide evidence for a yield-induced portfolio rebalancing: Banks experiencing large average yield declines in their securities portfolio, induced by unconventional monetary policy, increase their real-sector lending more strongly relative to other banks. The effect is stronger for banks facing many reinvestment decisions. Moreover, I find that banks with large yield declines reduce their government bond holdings and sell securities bought under the asset-purchase program of the European Central Bank (ECB).

Spillovers of the United States’ Unconventional Monetary Policy to Emerging Asia

2019 ◽  
pp. 118-145
Author(s):  
Ying Xu ◽  
Hai Anh La
Keyword(s):  
United States ◽  
Monetary Policy ◽  
Bank Lending ◽  
The United States ◽  
Quantitative Easing ◽  
Unconventional Monetary Policy ◽  
Bank Lending Channel ◽  
Lending Channel ◽  
Cross Border ◽  
Syndicated Loan Market

This chapter assesses the spillover effects of the United States’ unconventional monetary policy on the Asian credit market. With a focus on cross-border bank lending, it employs firm-level loan data with regard to the syndicated loan market and measures the international bank lending channel through changes in United States dollar-denominated loans extended to Asian borrowers. It finds that the growth of dollar credit in Asia increased substantially in response to quantitative easing in the US financial market. The results of this study confirm the existence of the bank lending channel in Asia and emphasize the role of credit flows in transmitting financial conditions. The chapter also provides new evidence of cross-border liquidity spillover in the syndicated loan market. It finds that the overall spillover effect was large but differed significantly in Asia by types of borrowing firms, financing purposes, and loan terms at different stages of the quantitative easing programmes.

Monetary Policy, Bank Lending, and the Risk-Pricing Channel

2012 ◽  
Vol 44 (4) ◽  
pp. 573-602 ◽  
Author(s):  
RUBY P. KISHAN ◽  
TIMOTHY P. OPIELA
Keyword(s):  
Monetary Policy ◽  
Bank Lending ◽  
Risk Pricing ◽  
Policy Bank

scholarly journals Monetary policy, bank lending and corporate investment

2017 ◽  
Vol 50 ◽  
pp. 129-142 ◽  
Author(s):  
Chaiporn Vithessonthi ◽  
Markus Schwaninger ◽  
Matthias O. Müller
Keyword(s):  
Monetary Policy ◽  
Bank Lending ◽  
Corporate Investment ◽  
Policy Bank
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