Interest Rate Spreads in the Eastern Caribbean

Author/Editor:

Ruby Randall

Publication Date:

April 1, 1998

Electronic Access:

Free Download. Use the free Adobe Acrobat Reader to view this PDF file

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 examines interest rate spreads in the Eastern Caribbean and seeks to explain why they are persistently high by comparison with other low-inflation countries. The paper concludes that operating costs appear to be a key determinant of observed interest rate spreads, giving rise to the policy recommendation that efforts to expand the market size of efficient banks might help pave the way for greater efficiency.

Series:

Working Paper No. 1998/059

Subject:

Banking Commercial banks Deposit rates Financial institutions Financial regulation and supervision Financial services Loan loss provisions Loans National accounts Personal income

English

Publication Date:

April 1, 1998

ISBN/ISSN:

9781451847918/1018-5941

Stock No:

WPIEA0591998

Pages:

39

Please address any questions about this title to publications@imf.org