Author : Mr.Anil Ari
Publisher : International Monetary Fund
ISBN 13 : 1513521152
Total Pages : 40 pages
Book Rating : 4.52/5 ( download)
Book Synopsis The Dynamics of Non-Performing Loans during Banking Crises: A New Database by : Mr.Anil Ari
Download or read book The Dynamics of Non-Performing Loans during Banking Crises: A New Database written by Mr.Anil Ari and published by International Monetary Fund. This book was released on 2019-12-06 with total page 40 pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper presents a new dataset on the dynamics of non-performing loans (NPLs) during 88 banking crises since 1990. The data show similarities across crises during NPL build-ups but less so during NPL resolutions. We find a close relationship between NPL problems—elevated and unresolved NPLs—and the severity of post-crisis recessions. A machine learning approach identifies a set of pre-crisis predictors of NPL problems related to weak macroeconomic, institutional, corporate, and banking sector conditions. Our findings suggest that reducing pre-crisis vulnerabilities and promptly addressing NPL problems during a crisis are important for post-crisis output recovery.