{
  "title": "Are Weak Banks Leading Credit Booms? Evidence from Emerging Europe",
  "publication": "IMF Working Papers, September 1, 2008",
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  "summary": "This paper examines the behavior of bank soundness indicators during episodes of brisk loan growth, using bank-level data for central and eastern Europe and controlling for the feedback effect of credit growth on bank soundness.",
  "sections": [
    {
      "heading": "Summary and research question",
      "content": "- Paper examines the behavior of bank soundness indicators during episodes of brisk loan growth.\n- Uses bank-level data for central and eastern Europe.\n- Controls for the feedback effect of credit growth on bank soundness."
    },
    {
      "heading": "Key findings",
      "content": "- \"No evidence is found that rapid loan expansion has weakened banks during the last decade.\"\n- \"Over time weaker banks seem to have started to expand at least as fast as, and in some markets faster than, stronger banks.\"\n- Implication: the relationship between bank strength and loan growth changed over the sample period, with weaker banks increasingly matching or outpacing stronger banks in expansion."
    },
    {
      "heading": "Policy implications and recommendations",
      "content": "- During credit booms supervisors need to carefully monitor the soundness of rapidly expanding banks.\n- Supervisors should stand ready to take action to limit the expansion of weak banks."
    },
    {
      "heading": "Publication and metadata",
      "content": "- Authors: Deniz O Igan, Natalia T. Tamirisa\n- Publication date: September 1, 2008\n- Series: Working Paper No. 2008/219\n- Issue: 219\n- Volume: 2008\n- Pages: 21\n- DOI: https://doi.org/10.5089/9781451870770.001\n- Stock No: WPIEA2008219\n- ISBN: 9781451870770\n- ISSN: 1018-5941\n- Subjects: Bank credit, Bank soundness, Banking, Credit, Distressed institutions\n- Keywords: bank, credit growth, WP\n\nSource: Are Weak Banks Leading Credit Booms? Evidence from Emerging Europe — IMF Working Papers (Deniz O Igan, Natalia T. Tamirisa, September 1, 2008).\n\n---\n\n Content in this bundle\n\n- Wp08219\n  - Wp08219 (Markdown version){rel=\"alternate\" type=\"text/markdown\"}\n  - Wp08219 (PDF){rel=\"external\" type=\"application/pdf\"}\n\n---\n\nSource: https://www.imf.org/en/publications/wp/issues/2016/12/31/are-weak-banks-leading-credit-booms-evidence-from-emerging-europe-22326"
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    "Authors: Deniz O Igan, Natalia T. Tamirisa",
    "Published: September 1, 2008",
    "Series: IMF Working Papers",
    "DOI: https://doi.org/10.5089/9781451870770.001",
    "Paper examines the behavior of bank soundness indicators during episodes of brisk loan growth.",
    "Uses bank-level data for central and eastern Europe.",
    "Controls for the feedback effect of credit growth on bank soundness.",
    "\"No evidence is found that rapid loan expansion has weakened banks during the last decade.\"",
    "\"Over time weaker banks seem to have started to expand at least as fast as, and in some markets faster than, stronger banks.\"",
    "Implication: the relationship between bank strength and loan growth changed over the sample period, with weaker banks increasingly matching or outpacing stronger banks in expansion.",
    "During credit booms supervisors need to carefully monitor the soundness of rapidly expanding banks.",
    "Supervisors should stand ready to take action to limit the expansion of weak banks.",
    "Authors: Deniz O Igan, Natalia T. Tamirisa",
    "Publication date: September 1, 2008",
    "Series: Working Paper No. 2008/219",
    "Issue: 219",
    "Volume: 2008",
    "Pages: 21",
    "DOI: https://doi.org/10.5089/9781451870770.001",
    "Stock No: WPIEA2008219",
    "ISBN: 9781451870770",
    "ISSN: 1018-5941",
    "Subjects: Bank credit, Bank soundness, Banking, Credit, Distressed institutions",
    "Keywords: bank, credit growth, WP",
    "**Wp08219**"
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