Grant detail

GAUK 564612 - Macroprudential policy in the periods of excessive credit growth

Principal investigator: Martina Jašová
Collaborators: doc. PhDr. Adam Geršl Ph.D.
Description: The project should address the phenomenon of excessive private credit growth in two dimensions: (i) policy responses to limit the adverse effect of credit boom and (ii) credit growth as an early warning indicator.

In the first year, we plan to analyze the policy responses taken in the region of Central and East European (CEE) countries. This part will use a unique data set collected in form of a direct survey from central banks across the CEE region. The expected result is a paper published on policy measures (including macroprudential) that were introduced by central authorities to dampen the credit boom in period in CEE in 2003-2008.

In the next years, the project is to further deal with the second aspect. Current literature emphasizes the excessive credit growth is one of the best indicators so that even some regulatory instruments, such as the new countercyclical capital buffer proposed by Basel III, can be directly based on it. The main question will be to what extend credit growth can be used as an early warning indicator for future crisis.
Participation:
Work in grant:
Web link:
Finance:
End date: 2014
Publications:

Banking crises in emerging economies: can credit variables work as early warnings?

Fiscal Councils and Economic Volatility

From Credit Boom to Credit Crunch: Effectiveness of policy measures in Central and Eastern Europe

Measures to tame credit growth: are they effective?

Measures to tame credit growth: are they effective?

Conferences:

Business and Social Science Research Conference: Paris 2013

Kuala Lumpur International Business, Economics and Law Conference 2012 (KLIBEL)

Partners

Deloitte

Sponsors

CRIF
McKinsey
Patria Finance