Financial Stability and Monetary Policy - The case of Brazil

Resumo

This paper seeks to examine the effects of monetary policy over banks’ loans growth and whether there is a bank lending channel operating in Brazil. Therefore, we employ a detailed high frequency panel data in which we include bank characteristics and ownership control. We contribute to the literature on bank lending channel by showing that during periods of  loosening/tightening monetary policy, banks increase/decrease their loans. Additionally, our results illustrate that large, well-capitalized and liquid banks react differentially to the effects of monetary policy shocks. Finally, we show that the impact of monetary policy differs across state-owned, foreign and private domestic banks. These  results are important for developing and conducting monetary policy.

Ficha do documento

Tipo

Artigo científico

Ano

2013

Instituição

EGV EPGE

Fonte

Revista Brasileira de Economia

Idioma

Português

Acesso

Não informado

Identificador

oai:ojs.periodicos.fgv.br:article/11849

Palavras-chave

bank lending channelmonetary policy