Cooperative Banks and Crime: A Provincial-Level Analysis
Gianluca Cafiso and
Marco Ferdinando Martorana
No 12025, CESifo Working Paper Series from CESifo
Abstract:
We investigate the extent to which crime, and the inability to effectively suppress it, affect the performance of local banks in terms of credit extension, asset quality, and profitability. The analysis focuses on cooperative banks in Italy, typically small institutions with strong ties to their local communities, over the period 2013–2023. The findings suggest that both crime and judicial inefficiency, even when considered separately and after controlling for banks’ operational efficiency, significantly influence credit extension and the incidence of non-performing loans. While their impact on overall profitability appears limited, non-interest income is significantly reduced.
Keywords: cooperative banks; crime; judicial inefficiency; loans; profitability (search for similar items in EconPapers)
JEL-codes: E51 G21 K42 (search for similar items in EconPapers)
Date: 2025
New Economics Papers: this item is included in nep-fdg and nep-law
References: Add references at CitEc
Citations:
Downloads: (external link)
https://www.ifo.de/DocDL/cesifo1_wp12025.pdf (application/pdf)
Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
HTML/Text
Persistent link: https://EconPapers.repec.org/RePEc:ces:ceswps:_12025
Access Statistics for this paper
More papers in CESifo Working Paper Series from CESifo Contact information at EDIRC.
Bibliographic data for series maintained by Klaus Wohlrabe ().