Work detail

Foreign Bank Participation in Transition: The Effects on Access to Credit.

Author: Mgr. Krafková Anna
Year: 2011 - summer
Leaders: doc. PhDr. Adam Geršl Ph.D.
Consultants:
Work type: Doctoral
Finance, Financial Markets and Banking
Language: English
Pages: 82
Awards and prizes:
Link:
Abstract: The thesis discusses the topic of foreign bank participation in transition
economies. First part presents theoretical considerations about foreign bank entry and
their empirical support. The main focus is then on the empirical investigation of the
possible relation between the degree of foreign bank participation and the availability
of credit across transition countries. Combining responses from a survey of firms
operating in 38 transition economies with data on the degree of foreign bank
participation, we derived some interesting conclusions. The analysis suggests that
conditions for obtaining credit seem to be better in economies having higher share of
foreign banks within countries of Central and Eastern Europe. The opposite conclusion
was derived for countries of Commonwealth of Independent States; there economies
with higher foreign presence tend to perceive conditions of financing as more
problematic. Moreover, it was shown that enterprise size, its ownership and sector
within which operates also matter when drawing conclusions on the effects on foreign
bank on the availability of credit. Additionally, we identified that the share of stateowned
banks and the effectiveness of domestic banking sector are other determinants of
credit accessibility.
Downloadable: Rigorous Thesis Krafková

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