The first steps of the lender of last resort in Bulgaria. History and debates during the Great Depression

Nikolay Nenovsky () and Tsvetelina Marinova

Economic Thought journal, 2022, issue 1, 28-53

Abstract: In recent years we have witnessed profound institutional changes in the character of central banks and in their monetary policies. These transformations are the result of a number of factors, most notably the crisis that began in 2008, as well as the large-scale processes of digitalisation of money. The place and specific mechanisms of the financial stability system, including of the lender of last resort (LOLR), are also evolving. In this context a review of the historic development of the LOLR could be particularly useful. This article aims to present the first steps of the LOLR in Bulgaria in the years of the Great Depression and the banking crises related to it. The various institutional forms of the LOLR in Bulgaria are described in sequence. The role of the Bulgarian National Bank (BNB), as the LOLR in the systemic crisis and the rescuing of Credit Bank in 1931, and the theoretical discussions among Bulgarian economists about the LOLR have been examined.

JEL-codes: E52 E58 G21 G28 N14 N44 (search for similar items in EconPapers)
Date: 2022
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2)

Downloads: (external link)
https://etj.iki.bas.bg/storage/app/uploads/public/ ... c6240ff359059411.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:bas:econth:y:2022:i:1:p:28-53

Access Statistics for this article

More articles in Economic Thought journal from Bulgarian Academy of Sciences - Economic Research Institute Contact information at EDIRC.
Bibliographic data for series maintained by Diana Dimitrova ().