The role of net stable funding ratio on the bank lending channel: evidence from European Union

Do Bank Funding Diversity and Bank Lending Affect Net Interest Margins? Evidence From Asia Markets Before and During the Covid-19 Pandemic

“…By diversifying their funding sources, banks can spread their risk across different types of funding, which can help them avoid liquidity and funding challenges during periods of stress (Abbas & Ali, 2022). By accessing diversified funding sources, banks can offer more attractive interest rates, which can help them attract and retain customers and drive profitability (Papadamou et al, 2021). Therefore, Vo (2020) suggests that maintaining diversity and stability in the capital is essential for sustainable banking development.…”

The Bank lending channel and sovereign risk: Effects on significant and less significant banks after the implementation of the Banking Union

“…The bank lending channel of the monetary policy, which has recently gained significant attention, posits that a monetary policy restriction gives rise to a reduction in banks' loan supply because, on the one hand, it limits banks’ access to loanable funds such as deposits and, on the other hand, it increases the cost of market funding for banks [ [1] , [2] , [3] ]. The loan supply reduction proposed by the bank lending channel depends on different bank characteristics such as size, liquidity and capitalisation, which have been widely analysed [ 4 , 5 ]. It is also affected by sovereign risk, which became evident in the aftermath of the financial crisis and sovereign debt crisis when many countries in the eurozone suffered a large increase in their sovereign risk, which was transmitted to the bank industry, thus distorting the bank lending channel [ 6 ].…”

Basel IV capital requirements and the performance of commercial banks in Africa

“…At the same time, capital regulations are important factors that could be beneficial or detrimental to banks' performance [1]. Due to the nature of banks' business, banks are exposed to many potential risks of operational losses; deposits withdrawal without notice, the state of the economy like recession, COVID-19 pandemic global crises and other factors that create uncertainty in borrowers' loan repayments [2,3]. These risks affect the performance, banks' survival, and the banking sector's stability; and their negative effects can spill over to the economy [4].…”