Monetary Transmission in Brazil: Has the Credit Channel Changed?

Author/Editor:

Mercedes Garcia-Escribano

Publication Date:

December 17, 2013

Electronic Access:

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Disclaimer: This Working Paper should not be reported as representing the views of the IMF.The views expressed in this Working Paper are those of the author(s) and do not necessarily represent those of the IMF or IMF policy. Working Papers describe research in progress by the author(s) and are published to elicit comments and to further debate

Summary:

This paper investigates the transmission of monetary policy by private banks in Brazil during the recent easing cycle. The analysis presented uses a panel dataset with information on lending by private banks in Brazil and concludes that monetary transmission through lending volumes was not impaired. Instead, the observed diminished lending appears to be related to supply and demand factors, as well as to the rapid expansion of public banks’ lending.

Series:

Working Paper No. 2013/251

Subject:

Bank credit Banking Credit Financial institutions Loans Money Nonperforming loans State-owned banks

English

Publication Date:

December 17, 2013

ISBN/ISSN:

9781484312001/1018-5941

Stock No:

WPIEA2013251

Pages:

20

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