Narrow Your Choices

Refine By Countries

Refine By Series

Refine By Language

Refine By Date

—

Refine By IMF Taxonomy

Refine By JEL Taxonomy

Refine by LOC Taxonomy

Refine By THEMA Taxonomy

  • Print
  • Save

Business and Economics > Investments: Stocks

You are looking at 1 - 4 of 4 items for :

  • Type: Journal Issue x
Clear All Modify Search
Cover IMF Working Papers
The Long Shadow of the Global Financial Crisis: Public Interventions in the Financial Sector
Ms. Deniz O Igan
,
Hala Moussawi
,
Alexander F. Tieman
,
Ms. Aleksandra Zdzienicka
,
Mr. Giovanni Dell'Ariccia
, and
Mr. Paolo Mauro
We track direct public interventions and public holdings in 1,114 financial institutions over the period 2007–17 in 37 countries based on publicly available information. We use aggregate official data to validate this new dataset and estimate the fiscal impact of interventions, including the value of asset holdings remaining in state hands at end-2017. Direct public support to financial institutions amounted to $1.6 trillion ($3.5 trillion including guarantees), with larger amounts allocated to lower capitalized and less profitable banks. As of end-2017, only a few countries had fully divested the initial support they provided during the crisis. Public holdings were divested faster in better capitalized, more profitable, and more liquid banks, and in countries where the economy recovered faster. In countries where the government stake remained high relative to the initial intervention, private investment and credit growth were slower, financial access, depth, efficiency, and competition were worse, and financial stability improved less.
Keywords:
WP; bank characteristic; bank variable; country condition; return on assets; intervened bank; Financial crisis; Government interventions; Bank resolution; asset holding; asset quality; system assets; government intervention; asset purchase; cash flow; Stocks; Financial sector; Loans; Liquidity; State-owned banks; Global
Cover IMF Working Papers
Resource Windfalls, Optimal Public Investment and Redistribution: The Role of Total Factor Productivity and Administrative Capacity
Mr. Alan H. Gelb
,
Mr. Arnaud Dupuy
, and
Mr. Rabah Arezki
This paper studies the optimal public investment decisions in countries experiencing a resource windfall. To do so, we use an augmented version of the Permanent Income framework with public investment faced with adjustment costs capturing the associated administrative capacity as well as government direct transfers. A key assumption is that those adjustment costs rise with the size of the resource windfall. The main results from the analytical model are threefold. First, a larger resource windfall commands a lower level of public capital but a higher level of redistribution through transfers. Second, weaker administrative capacity lowers the increase in optimal public capital following a resource windfall. Third, higher total factor productivity in the non-resource sector reduces the degree of des-investment in public capital commanded by weaker administrative capacity. We further extend our basic model to allow for "investing in investing" - that is public investment in administrative capacity - by endogenizing the adjustment cost in public investment. Results from the numerical simulations suggest, among other things, that a higher initial stock of public administrative "know how" leads to a higher level of optimal public investment following a resource windfall. Implications for policy are discussed.
Keywords:
WP; Resource Windfall; Public Investment; Total Factor Productivity; Administrative Capacity; adjustment cost; unit resource rent; management Index; public capital; Non-resource sector total factor productivity; Public investment spending; Public investment and public-private partnerships (PPP); Natural resources; Stocks; Middle East; East Africa; North Africa
Cover IMF Working Papers
Bank Funding Structures and Risk: Evidence From the Global Financial Crisis
Mr. Pablo Federico
and
Mr. Francisco F. Vazquez
This paper analyzes the evolution of bank funding structures in the run up to the global financial crisis and studies the implications for financial stability, exploiting a bank-level dataset that covers about 11,000 banks in the U.S. and Europe during 2001?09. The results show that banks with weaker structural liquidity and higher leverage in the pre-crisis period were more likely to fail afterward. The likelihood of bank failure also increases with bank risk-taking. In the cross-section, the smaller domestically-oriented banks were relatively more vulnerable to liquidity risk, while the large cross-border banks were more susceptible to solvency risk due to excessive leverage. The results support the proposed Basel III regulations on structural liquidity and leverage, but suggest that emphasis should be placed on the latter, particularly for the systemically-important institutions. Macroeconomic and monetary conditions are also shown to be related with the likelihood of bank failure, providing a case for the introduction of a macro-prudential approach to banking regulation.
Keywords:
WP; bank; bank type; bank probability; capital ratio; global bank; risk profile; bank survival probability; bank dynamics; Liquidity requirements; Liquidity; Distressed institutions; Stocks; Global
Cover IMF Staff Country Reports
Cyprus: Financial Sector Assessment Program Update: Technical Note: Factual Update of IOSCO Core Principles of Securities Regulation
International Monetary Fund
This technical note presents factual update of International Organization of Securities Commissions Core Principles of Securities Regulation for Cyprus. There is provision in the law allowing for the sharing of information and cooperation with both domestic and foreign regulators. The Cyprus law transposing the European Union Prospectus and Transparency Directives, together with the company law and stock exchange law, provide accurate and timely disclosure of financial results and adequate safeguards in the fair and equitable treatment of shareholders.
Keywords:
ISCR; CR; CySEC; market; CSE; draft CySEC legislation; market intermediary; CySEC law; UCITS market; securities exchange; Stock markets; Financial Sector Assessment Program; Stocks; Middle East