{
  "title": "Creditless Recoveries",
  "publication": "IMF Working Papers, March 1, 2011",
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  "summary": "Recoveries that occur in the absence of credit growth are often dubbed miracles and named after mythical creatures. Yet these are not rare animals, and are not always miracles.",
  "sections": [
    {
      "heading": "Summary",
      "content": "- Recoveries that occur in the absence of credit growth are often dubbed miracles and named after mythical creatures.\n- About one out of five recoveries is \"creditless\".\n- Average growth during these episodes is about a third lower than during \"normal\" recoveries.\n- Aggregate and sectoral data suggest that impaired financial intermediation is the culprit.\n- Creditless recoveries are more common after banking crises and credit booms.\n- Sectors more dependent on external finance grow relatively less and more financially dependent activities (such as investment) are curtailed more during creditless recoveries."
    },
    {
      "heading": "Key findings and statistics",
      "content": "- Frequency: About one out of five recoveries is \"creditless\".\n- Growth performance: Average growth during creditless recoveries is about a third lower than during \"normal\" recoveries.\n- Sectoral effects: Sectors more dependent on external finance grow relatively less during creditless recoveries.\n- Activity impact: Financially dependent activities (such as investment) are curtailed more during creditless recoveries."
    },
    {
      "heading": "Drivers and empirical analysis",
      "content": "- Impaired financial intermediation is identified as the principal culprit behind creditless recoveries based on aggregate and sectoral data.\n- Creditless recoveries occur more frequently following:\n  - Banking crises.\n  - Credit booms.\n\n---\n\n Content in this bundle\n\n- wp1158 - Appendix Table\n  - wp1158 - Appendix Table (Markdown version){rel=\"alternate\" type=\"text/markdown\"}\n  - wp1158 - Appendix Table (PDF){rel=\"external\" type=\"application/pdf\"}\n\n---\n\nSource: https://www.imf.org/en/publications/wp/issues/2016/12/31/creditless-recoveries-24707"
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    "Authors: Abdul d Abiad, Giovanni Dell'Ariccia, Grace B Li",
    "Published: March 1, 2011",
    "Series: IMF Working Papers",
    "DOI: https://doi.org/10.5089/9781455221028.001",
    "Recoveries that occur in the absence of credit growth are often dubbed miracles and named after mythical creatures.",
    "About one out of five recoveries is \"creditless\".",
    "Average growth during these episodes is about a third lower than during \"normal\" recoveries.",
    "Aggregate and sectoral data suggest that impaired financial intermediation is the culprit.",
    "Creditless recoveries are more common after banking crises and credit booms.",
    "Sectors more dependent on external finance grow relatively less and more financially dependent activities (such as investment) are curtailed more during creditless recoveries.",
    "Frequency: About one out of five recoveries is \"creditless\".",
    "Growth performance: Average growth during creditless recoveries is about a third lower than during \"normal\" recoveries.",
    "Sectoral effects: Sectors more dependent on external finance grow relatively less during creditless recoveries.",
    "Activity impact: Financially dependent activities (such as investment) are curtailed more during creditless recoveries.",
    "Impaired financial intermediation is identified as the principal culprit behind creditless recoveries based on aggregate and sectoral data.",
    "Creditless recoveries occur more frequently following:",
    "**_wp1158 - Appendix Table**"
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