Loan types and the bank lending channel

Victoria Ivashina, Luc Laeven and Enrique Moral-Benito

Journal of Monetary Economics, 2022, vol. 126, issue C, 171-187

Abstract: Using credit-registry data for Spain and Peru, we document that four main types of commercial credit—asset-based loans, cash flow loans, trade finance and leasing—are easily identifiable and represent the bulk of corporate credit. We show that credit growth dynamics and bank lending channels vary across these loan types. The effects of monetary policy propagating through banks’ balance sheets are primarily driven by cash flow loans, whereas asset-based credit is mostly insensitive to these types of effects, consistent with theories on the pledgeability of hard assets.

Keywords: Bank credit; Loan types; Bank lending channel; Credit registry (search for similar items in EconPapers)
Date: 2022
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Citations: View citations in EconPapers (18)

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Related works:
Working Paper: Loan types and the bank lending channel (2020)
Working Paper: Loan Types and the Bank Lending Channel (2020)
Working Paper: Loan types and the bank lending channel (2020)
Working Paper: Loan Types and the Bank Lending Channel (2020)
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Persistent link: https://EconPapers.repec.org/RePEc:eee:moneco:v:126:y:2022:i:c:p:171-187

DOI: 10.1016/j.jmoneco.2021.11.006

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