Lending booms, reserves, and the sustainability of short-term debts

inferences from the pricing of syndicated bank loans / Barry Eichengreen and Ashoka Mody.
  • 43 Pages
  • 4.57 MB
  • 2201 Downloads
  • English
by
World Bank, Development Prospects Group , Washington, DC (1818 H St., NW, Washington 20433)
Bank loans., Bank reserves., Banks and banking., International fin
SeriesPolicy research working paper ;, 2155, Policy research working papers ;, 2155.
ContributionsMody, Ashoka.
Classifications
LC ClassificationsHG3881.5.W57 P63 no. 2155
The Physical Object
Pagination43 p. ;
ID Numbers
Open LibraryOL3550749M
LC Control Number2001615448

High external short-term debt can coexist with rapid growth for extended periods. But overdependence on such debt is risky, because it is likely to unravel if perceptions of sustainability shift. Academics pay little attention to international bank lending, focusing instead on rapidly growing market segments such as the international bond.

Lending booms, reserves and the sustainability of short-term debt: inferences from the pricing of syndicated bank loans The ratio of reserves to short-term debt relates the adequacy of reserves to short-term obligations on capital account, High short-term debt can coexist for extended periods with rapid growth but is liable to unravel Cited by: Domestic lending booms and low reserves in relation to short-term debt have been priced in the expected manner by international banks.

The high level of short-term debt in East Asia was supported by high growth rates but was characterized by a knife-edge by: Lending Booms, Reserves and the Sustainability of Short-Term Debt: Inferences from the pricing of Syndicated Bank Loans Barry Eichengreen and Ashoka Mody March _____ The authors are affiliated with the Departments of Economics and Political Science, University.

Eichengreen, Barry & Mody, Ashoka, "Lending booms, reserves, and the sustainability of short-term debt - inferences from the pricing of syndicated bank loans," Policy Research Working Paper SeriesThe World Bank. Lending Booms, Reserves, and the Sustainability of Short-Term Debt: Inferences from the Pricing of Syndicated Bank Loans NBER Working Paper No.

w Number of pages: 45 Posted: 01 Jul Last Revised: 06 May Cited by: Lending booms, reserves, and the sustainability of short-term debt - inferences from the pricing of syndicated bank loans (Inglês) Resumo. Academics pay little attention to international bank lending, focusing instead on rapidly growing market segments such as the international bond market and derivative credit by: Lending booms, reserves, and the sustainability of short-term debt - inferences from the pricing of syndicated bank loans.

By Barry Eichengreen and Ashoka Mody. Get PDF Lending booms MB) Abstract. Academics pay little attention to international bank lending, focusing instead on rapidly growing market segments such as the international bond market and Author: Barry Eichengreen and Ashoka Mody.

Eichengreen, Barry & Mody, Ashoka, "Lending booms, reserves and the sustainability of short-term debt: inferences from the pricing of syndicated bank loans," Journal of Development Economics, Elsevier, vol.

63(1), pagesOctober. Lending booms, reserves and the sustainability of short-term debt: inferences from the pricing of syndicated bank loans Barry Eichengreena,b,), Ashoka Mody c a Departments of Economics and Political Science, Uni˝ersity of California, E˝ans Hall, Berkeley, CAUSA.

Lending booms, reserves, and the sustainability of short-term debt - inferences from the pricing of syndicated bank loans (English) Abstract. Academics pay little attention to international bank lending, focusing instead on rapidly growing market segments such as the international bond market and derivative credit by: Get this from a library.

Lending booms, reserves, and the sustainability of short-term debt: inferences from the pricing of syndicated bank loans. [Barry J Eichengreen; Ashoka Mody; World Bank. Development Prospects Group.] -- International banks provide more credit to smaller borrowers (about whom information is least complete) than bond markets do.

Domestic lending booms and low reserves in relation to short-term debt have been priced in the expected manner by international banks. The high level of short-term debt in East Asia was supported by high growth rates but was characterized by a knife-edge quality. Lending Booms, Reserves, and the Sustainability of Short-Term Debt: Inferences from the Pricing of Syndicated Bank Loans.

By Barry Eichengreen and Ashoka Mody.

Description Lending booms, reserves, and the sustainability of short-term debts FB2

Get PDF ( KB) Abstract. This paper analyzes the determinants of spreads on syndicated bank lending to emerging markets, treating the loan-extension and pricing decisions as jointly Author: Barry Eichengreen and Ashoka Mody. Get this from a library. Lending Booms, Reserves, and the Sustainability of Short-Term Debt: Inferences from the Pricing of Syndicated Bank Loans.

[Barry J Eichengreen; Ashoka Mody] -- This paper analyzes the determinants of spreads on syndicated bank lending to emerging markets, treating the loan-extension and pricing decisions as jointly determined.

Published: Eichengreen, Barry and Ashoka Mody. "Lending Booms, Reserves And The Sustainability Of Short-Term Debt: Inferences From The Pricing Of Syndicated Bank Loans," Journal of Development Economics,v63(1,Oct), citation courtesy of.

Users who downloaded this paper also downloaded* these:Cited by: Get this from a library. Lending booms, reserves and the sustainability of short-term debt: inferences from the pricing of syndicated bank loans.

[Barry J Eichengreen; Ashoka Mody; National Bureau of Economic Research.]. BibTeX @ARTICLE{Eichengreen_,lending, author = {Barry Eichengreen and Ashoka Mody}, title = {, Lending Booms, Reserves and the Sustainability of Shortterm Debt: Inferences from the Pricing of Syndicated Bank Loans}, journal = {Journal of Development Economics}, year = {}, pages = {5.

Figure 2 External debt to China: End (excludes portfolio asset holdings and short-term trade credit) Source: Horn et al. From hidden loans to hidden debt restructuring. Another of our key findings is that China has extended many more loans to developing countries than the official debt statistics suggest.

Get this from a library. Lending booms, reserves, and the sustainability of short-term debts inferences from the pricing of syndicated bank loans. [Barry J Eichengreen; Ashoka Mody].

External debt stocks, short-term (DOD, current US$) from The World Bank: Data Learn how the World Bank Group is helping countries with COVID (coronavirus). Find Out. IBRD loans and IDA credits (DOD, current US$) Net ODA received (% of GNI) Debt Management & Fiscal Sustainability.

New and Supplemental Projects by Fiscal Year. Short-term debt (% of total reserves) Technical cooperation grants (BoP, current US$) Total debt service (% of exports of goods, services and primary income). Syndicated Loan: A syndicated loan, also known as a syndicated bank facility, is a loan offered by a group of lenders – referred to as a syndicate – that work together to provide funds for a.

ital and reserves at the time.2 As a consequence, several of the world™s largest banks faced the prospect of major loan defaults and failure. This chapter provides a survey of the LDC debt crisis for the years Œ The dis-cussion covers the crisis year ofas well as two periods that preceded it and one that followed.

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The experience of lending booms had led some academics and practitioners to advocate the use of controls on short-term capital inflows or on private credit growth. Even the International Monetary Fund has been moved by recent experience to acknowledge the benefits of targeted capital controls.

Unprecedented government stimulus has allowed more companies to borrow at lower rates than ever before. Yet amid the credit boom, smaller firms. Short-term debt (% of total reserves) Definition: Short-term debt includes all debt having an original maturity of one year or less and interest in arrears on long-term debt.

Total reserves includes gold.

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Description: The map below shows how Short-term debt (% of total reserves) varies by country. The shade of the country corresponds to the magnitude of the indicator. The typical U.S.

CLO is structured as an offshore special purpose entity in order to benefit from legal isolation of assets as well as from a favorable tax treatment. 3 Most U.S. CLOs are issued out of the Cayman Islands by a Cayman-resident primary issuer, with a smaller percentage issued in Delaware.

The CLO issuer markets a variety of debt and equity tranches to investors and then uses. Such loans are called leveraged because the ratio of the borrower’s debt to assets or earnings is well above industry norms. New issuance in this sector hit a record $bn inhigher than. The savings and loan crisis of the s and s (commonly dubbed the S&L crisis) was the failure of 1, out of the 3, savings and loan associations (S&Ls) in the United States from to The Federal Savings and Loan Insurance Corporation (FSLIC) closed or otherwise resolved institutions from towhereupon the newly established Resolution Trust Corporation (RTC.

of loan loss reserves throughout the banking system. Two of the authors of this Economic Brief (Balla and Rose) examined a sample of more t banks between and to study whether the SEC’s SunTrust decision aff ected accounting for loan loss reserves.7 The majority of the banks in the.The lending facilities, which were designed to support short-term funding and corporate debt markets and to offer loans to struggling midsized businesses, were due to expire at the end of September.

The debt-to-GDP ratio has moved up at a steady pace, in line with previous expansions and neither fueled by nor fueling an asset bubble. Moreover, banks and other financial institutions have sizable loss-absorbing buffers.

The growth in business debt does not rely on short-term funding, and overall funding risk in the financial system is moderate.