The mix of international banks' foreign claims
Subtitle: determinants and implications
By: Alicia Garcia Herrero, Maria Soledad Martinez Peria.
Contributors: Martinez Peria, Maria Soledad.; World Bank.
Series: Policy research working paper ;; 3755; Policy research working papers (Online) ;; 3755.
Publisher: World Bank
Published: 2005
Place of publication: [Washington, D.C
Language: eng
Format: Electronic resource
Subjects: Banks and banking, International.
Description: "The authors analyze the determinants and implications for financial stability of the mix of international banks' claims countries receive.  In particular, they distinguish between local claims, extended by international banks through their affiliates in a host (or claim recipient) country, and cross-border claims, booked from outside the host country, typically from banks' headquarters in their home countries.  Using data on U.S., Spanish, and Italian banks' foreign claims across countries, the authors find that the share of local foreign claims is primarily driven by the degree of "freedom" in the host banking sector and by business opportunities in the local market.  Entry requirements, startup and informational costs associated with international banking also play a role, but their influence is less robust.  Finally, they find that the mix of international bank claims has implications for financial stability, since foreign claim volatility is lower in countries that receive a larger share of local claims. "--World Bank web site.
Notes: Includes bibliographical references.
Title from PDF file as viewed on 10/26/2005.
Also available in print.
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Mode of access: World Wide Web.