Distress in European Banks: An Analysis Basedon a New Dataset
Electronic Access:
Free Download. Use the free Adobe Acrobat Reader to view this PDF file
Summary:
The global financial crisis has highlighted the importance of early identification of weak banks: when problems are identified late, solutions are much more costly. Until recently, Europe has seen only a small number of outright bank failures, which made the estimation of early warning models for bank supervision very difficult. This paper presents a unique database of individual bank distress across the European Union from mid-1990s to 2008. Using this data set, we analyze the causes of banking distress in Europe. We identify a set of indicators and thresholds that can help to distinguish sound banks from those vulnerable to financial distress.
Series:
Working Paper No. 2009/009
Subject:
Bank soundness Bank supervision Banking Distressed institutions Early warning systems Financial crises Financial institutions Financial regulation and supervision Financial sector policy and analysis Loan loss provisions
Frequency:
Monthly
English
Publication Date:
January 1, 2009
ISBN/ISSN:
9781451871562/1018-5941
Stock No:
WPIEA2009009
Pages:
39
Please address any questions about this title to publications@imf.org