Financial transaction tax and banking margins: An empirical note for Colombia

Abstract

Taxes on financial transactions have been especially controversial because of their potential effects on banking disintermediation. A modality of such taxes (Bank Debit Tax, BDT) was introduced in Colombia since the late nineties. Using monthly panel data from 1996 to 2014 for the major depository institutions, this paper provides evidence on the effects of the BDT on bank intermediation spread. For the total sample (thirteen banks), results suggest that nowadays the hypothetical elimination of the BDT would reduce spreads in 60 basis points, i.e. from 7.7% to levels close to 7.1%. The results do not provide clear evidence of differential impacts by bank size. Additional instruments of the financial repression as well as other determinants of banking spreads confirm the expected effects.

Efecto del riesgo de liquidez en el costo de financiamiento del sistema financiero: un análisis para el caso peruano, periodo 2015-2020

“…Por lo tanto, una adecuada administración de la estructura de fondeo resulta importante porque permite cumplir con las obligaciones financieras, cumplir con los indicadores requeridos por el ente regulador (Abdul-Rahman et al, 2018). Asimismo, En un contexto de riesgo de liquidez la entidad financiera tiene que pagar un costo mayor para obtener liquidez ya que en condiciones de tensión los inversores exigen una mayor compensación debido al riesgo, renovación de inversión a plazos más cortos o simplemente quitan el financiamiento, entonces para evitar problemas mayores de solvencia o de percepción de inestabilidad por parte de sus proveedores de fondos las entidades tendrán que pagar una tasa de interés mayor, incluso si la entidad se encuentra estable (Lozano-Espitia et al, 2017;Silva et al, 2017). Asimismo, la necesidad de liquidez de una entidad puede generar riesgo de liquidez a otras entidades del sistema debido a la menor confianza de los depositantes y acreedores que empiezan a demandar el recupero sus depósitos o debido al riesgo de contagio entre entidades del sistema financiero por tanto es importante analizar qué factores afectan el comportamiento de la principal fuente de fondeo con el objetivo de tomar medidas anticipadas y correctivas que disminuyan el riesgo de liquidez (Abdul-Rahman et al, 2018;Arias Rodríguez et al, 2014;Cornett et al, 2011;Hassan et al, 2019;Smaoui et al, 2020).…”

Determinants of delinquency in the Peruvian banking and microfinance system, 2015–2020

“…That is why financial institutions and banks play the role of stimulating the growth of the economy, which is complemented by the role played by central banks in the world since they formulate and implement the corresponding measures to guarantee administrative efficiency in the ratio of credit delinquency. The aforementioned shows that it is necessary to identify the determinants of delinquency in both systems, since the institution is responsible for guaranteeing the development of an optimal regulation in the loan portfolio and the behavior of macroeconomic variables will allow the implementation of necessary measures to prevent the deterioration of the delinquent portfolio, an issue that could occur in the event of the existence of an economic crisis or instability in the economic system (Lozano-Espitia et al, 2017 ; Ma and Diao, 2017 ; Valencia et al, 2017 ; Wadud et al, 2020 ).…”