World Bank Lending and Financial Sector Development

A new database of World Bank loans to support financial sector development is used to investigate whether countries that received such loans experienced more rapid growth on standard indicators of financial development than countries that did not. Self-selection is accounted for with treatment-effec...

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Bibliographic Details
Main Authors:	Cull, Robert, Effron, Laurie
Format:	Journal Article
Published:	World Bank 2012
Subjects:	bank lending bank loans borrowers borrowing financial development financial sector development interest interest rate private credit
Online Access:	http://hdl.handle.net/10986/4482

id	okr-10986-4482
recordtype	oai_dc
spelling	okr-10986-44822021-04-23T14:02:18Z World Bank Lending and Financial Sector Development Cull, Robert Effron, Laurie bank lending bank loans borrowers borrowing financial development financial sector development interest interest rate private credit A new database of World Bank loans to support financial sector development is used to investigate whether countries that received such loans experienced more rapid growth on standard indicators of financial development than countries that did not. Self-selection is accounted for with treatment-effects regressions. The results indicate that borrowing countries had significantly more rapid growth in M2/GDP than nonborrowers and swifter reductions in interest rate spreads and cash holdings (as a share of M2). Borrowers also had higher private credit growth rates than nonborrowers in some treatment-effects regressions but not in standard panel regressions with fixed country effects. On the whole, the results indicate some significant advantages in financial development for borrowers over nonborrowers. 2012-03-30T07:12:37Z 2012-03-30T07:12:37Z 2008-05-30 Journal Article World Bank Economic Review 1564-698X http://hdl.handle.net/10986/4482 CC BY-NC-ND 3.0 IGO http://creativecommons.org/licenses/by-nc-nd/3.0/igo World Bank World Bank Journal Article Nigeria Brazil Burkina Faso Bolivia Macedonia
repository_type	Digital Repository
institution_category	Foreign Institution
institution	Digital Repositories
building	World Bank Open Knowledge Repository
collection	World Bank
topic	bank lending bank loans borrowers borrowing financial development financial sector development interest interest rate private credit
spellingShingle	bank lending bank loans borrowers borrowing financial development financial sector development interest interest rate private credit Cull, Robert Effron, Laurie World Bank Lending and Financial Sector Development
geographic_facet	Nigeria Brazil Burkina Faso Bolivia Macedonia
description	A new database of World Bank loans to support financial sector development is used to investigate whether countries that received such loans experienced more rapid growth on standard indicators of financial development than countries that did not. Self-selection is accounted for with treatment-effects regressions. The results indicate that borrowing countries had significantly more rapid growth in M2/GDP than nonborrowers and swifter reductions in interest rate spreads and cash holdings (as a share of M2). Borrowers also had higher private credit growth rates than nonborrowers in some treatment-effects regressions but not in standard panel regressions with fixed country effects. On the whole, the results indicate some significant advantages in financial development for borrowers over nonborrowers.
format	Journal Article
author	Cull, Robert Effron, Laurie
author_facet	Cull, Robert Effron, Laurie
author_sort	Cull, Robert
title	World Bank Lending and Financial Sector Development
title_short	World Bank Lending and Financial Sector Development
title_full	World Bank Lending and Financial Sector Development
title_fullStr	World Bank Lending and Financial Sector Development
title_full_unstemmed	World Bank Lending and Financial Sector Development
title_sort	world bank lending and financial sector development
publisher	World Bank
publishDate	2012
url	http://hdl.handle.net/10986/4482
_version_	1764391556326883328

World Bank Lending and Financial Sector Development

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