{
  "title": "Can Good Governance Lower Financial Intermediation Costs?",
  "publication": "IMF Working Papers, December 11, 2018",
  "sourceUrl": "https://www.imf.org/en/publications/wp/issues/2018/12/11/can-good-governance-lower-financial-intermediation-costs-46378",
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  "summary": "This paper argues that better governance practices can reduce the costs, risks and uncertainty of financial intermediation. Our sample covers high-, middle- and low-income countries before and after the global financial crisis (GFC).",
  "sections": [
    {
      "heading": "Core argument and scope",
      "content": "- The paper argues that better governance practices can reduce the costs, risks and uncertainty of financial intermediation.\n- Sample covers high-, middle- and low-income countries before and after the global financial crisis (GFC)."
    },
    {
      "heading": "Key empirical findings",
      "content": "- Net interest margins of banks are lower when various governance indicators are better.\n- More cross-border lending appears conducive to lower intermediation costs.\n- The level of capital market development is not significant for intermediation costs.\n- The GFC seems not to have had a strong impact on intermediation costs except via credit risk.\n- The paper estimates the size of potential gains from improved governance (specific estimates presented in the full paper)."
    },
    {
      "heading": "Subjects and keywords (as stated)",
      "content": "- Subjects: Bank credit, Banking, Capital markets, Competition, Credit risk, Financial crises, Financial markets, Financial regulation and supervision, Global financial crisis of 2008-2009, Inflation, Prices\n- Keywords: bank characteristic, bank-dealership framework, bank-dealership model, banks capital, Capital markets, Competition, corruption, Credit risk, financial intermediation costs, Global, Global financial crisis of 2008-2009, governance, Inflation, intermediation cost, transaction size, WP"
    },
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      "heading": "Research format and availability",
      "content": "- IMF Working Paper No. 2018/279, 43 pages.\n- DOI: https://doi.org/10.5089/9781484385678.001\n\nMariusz Jarmuzek and Tonny Lybek; December 11, 2018; IMF Working Paper No. 2018/279.\n\n---\n\n Content in this bundle\n\n- Can Good Governance Lower Financial Intermediation Costs?, WP/18/279, December 2018\n  - Can Good Governance Lower Financial Intermediation Costs?, WP/18/279, December 2018 (Markdown version){rel=\"alternate\" type=\"text/markdown\"}\n  - Can Good Governance Lower Financial Intermediation Costs?, WP/18/279, December 2018 (PDF){rel=\"external\" type=\"application/pdf\"}\n\n---\n\nSource: https://www.imf.org/en/publications/wp/issues/2018/12/11/can-good-governance-lower-financial-intermediation-costs-46378"
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    "Authors: Mariusz Jarmuzek, Tonny Lybek",
    "Published: December 11, 2018",
    "Series: IMF Working Papers",
    "DOI: https://doi.org/10.5089/9781484385678.001",
    "The paper argues that better governance practices can reduce the costs, risks and uncertainty of financial intermediation.",
    "Sample covers high-, middle- and low-income countries before and after the global financial crisis (GFC).",
    "Net interest margins of banks are lower when various governance indicators are better.",
    "More cross-border lending appears conducive to lower intermediation costs.",
    "The level of capital market development is not significant for intermediation costs.",
    "The GFC seems not to have had a strong impact on intermediation costs except via credit risk.",
    "The paper estimates the size of potential gains from improved governance (specific estimates presented in the full paper).",
    "Subjects: Bank credit, Banking, Capital markets, Competition, Credit risk, Financial crises, Financial markets, Financial regulation and supervision, Global financial crisis of 2008-2009, Inflation, Prices",
    "Keywords: bank characteristic, bank-dealership framework, bank-dealership model, banks capital, Capital markets, Competition, corruption, Credit risk, financial intermediation costs, Global, Global financial crisis of 2008-2009, governance, Inflation, intermediation cost, transaction size, WP",
    "IMF Working Paper No. 2018/279, 43 pages.",
    "DOI: https://doi.org/10.5089/9781484385678.001",
    "**Can Good Governance Lower Financial Intermediation Costs?, WP/18/279, December 2018**"
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