Publication detail

Measures to tame credit growth: are they effective?

Author(s): doc. PhDr. Adam Geršl Ph.D.,
Martina Jašová ,
Type: IES Working Papers
Year: 2012
Number: 28
Published in: IES Working Papers 28/2012
Publishing place: Prague
Keywords: Credit growth, monetary policy, macroprudential policy, Central and Eastern Europe.
JEL codes: E44, E51, E52, E58, G21
Suggested Citation: Geršl, A., Jašová, M. (2012). “Measures to tame credit growth: are they effective?” IES Working Paper 28/2012. IES FSV. Charles University.
Grants: GAUK 564612 - Macroprudential policy in the periods of excessive credit growth
Abstract: This paper focuses on policy measures taken to curb the private sector credit growth in the period 2003-2008. Our analysis is based on an original survey performed on eleven central banks in Central and Eastern Europe (CEE). The findings reveal high intensity of policy intervention: altogether 82 measures were taken in CEE in the period. This paper combines direct assessment of particular central authorities and a difference-in-differences method to find out whether the measures applied were effective in slowing down the credit growth. Deriving from country experiences, the paper argues that in order to eliminate adverse impacts, policy measures should include combination of monetary and prudential tools with special emphasis on domestic environment and role of foreign banks in the CEE region.
Downloadable: WP_2012_28_Gersl_Jasova




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