Monetary Policy And Bank Lending Chanel in Turkey

Zafer Adalı, Bilgin Bari

Abstract


The main purpose of this study is to evaluate whether the bank lending channel exist or not. Within this context, quarterly data of for the periods between 2002q1 and 2016q4 was taken into the consideration. Additionally, VAR model was used to reach the objective. According to the result of impulse response function, it was reached that producer price index, real exchange rate and policy rate are effective determinants. Additionally, banks balance sheet has important and positive influence on total credits but industrial production index is regarded as partially effective. While considering this result, it was also found that both bank balance and macroeconomic variables used in this study is the main determinants of bank total credit.


Keywords


Bank Lending Channel, VAR, Bank Credits

Full Text:

PDF

References


Aisen, A., & Franken, M. (2010). Bank credit during the 2008 financial crisis: A cross- country comparison.

AKLAN, N. A., & Nargeleçekenler, M. (2008). Para Politikalarının Banka Kredi Kanalı Üzerindeki Etkileri. İstanbul Üniversitesi Siyasal Bilgiler Fakültesi Dergisi, (39), 109-132.

Mojon, B., Kashyap, A. K., Angeloni, I., & Terlizzese, D. (2002). Monetary Transmission in the Euro Area: Where Do We Stand? (No. 114). ECB Working Paper.

Awdeh, A. (2016). The Determinants of Credit Growth in Lebanon. International Business Research, 10(2), 9. DOI: http://dx.doi.org/10.5539/ibr.v10n2p9

Aydin, B. (2008). Banking structure and credit growth in Central and Eastern European countries. IMF Working Paper No. 08/215

Blaes, B. (2011). Bank-related loan supply factors during the crisis: an analysis based on the German bank lending survey. Bundesbank Series 1 Discussion Paper No. 2011,31

Boadi, I., & Boadi, I. (2016). Determinants of Ghanaian banks’ credit to the “missing middle”: a supply side approach. International Journal of Bank Marketing, 34(6), 924-939. DOI :https:// doi.org/10.1108/IJBM-12-2015-0194

Brissimis, S. N., Kamberoglou, N. C., & Simigiannis, G. T. (2001). Is there a bank lending channel of monetary policy in Greece? Evidence from bank level data. ECB Working Paper No. 104

Célérier, C., Kick, T. K., & Ongena, S. (2016). Changes in the cost of bank equity and the supply of bank credit

Chakanyuka, G., & Serumaga-Zake, P. (2016). THE DETERMINANTS OF BANK CREDIT GROWTH AND CREDIT AGGREGATE BEHAVIOR DURING ALTERNATE BUSINESS CYCLES IN SOUTH AFRICA. Journal of Accounting, 1(1), 90-104.

Chang, R., Fernández, A., & Gulan, A. (2016). Bond finance, bank credit, and aggregate fluctuations in an open economy. Journal of Monetary Economics.

Constant, F. D., & Ngomsi, A. (2012). Determinants of bank long-term lending behavior in the Central African Economic and Monetary Community (CEMAC). Review of Economics & Finance, 2, 107-114.

Cornett, M. M., McNutt, J. J., Strahan, P. E., & Tehranian, H. (2011). Liquidity risk management and credit supply in the financial crisis. Journal of Financial Economics, 101(2), 297-312. DOI :https://doi.org/10.1016/j.jfineco.2011.03.001

Cottarelli, C., Dell’Ariccia, G., & Vladkova-Hollar, I. (2005). Early birds, late risers, and sleeping beauties: Bank credit growth to the private sector in Central and Eastern Europe and in the Balkans. Journal of banking & Finance, 29(1), 83-104. DOI: https://doi.org/10.1016/j.jbankfin.2004.06.017

Cömert, H., & Çolak, M. S. (2014). The impacts of the global crisis on the Turkish economy and policy responses.

De Haan, L. (2001). The credit channel in the Netherlands: evidence from bank balance sheets (No. 0098). European Central Bank.

Dickey, D. A., & Fuller, W. A. (1981). Likelihood ratio statistics for autoregressive time series with a unit root. Econometrica: Journal of the Econometric Society, 1057-1072. DOI: 10.2307/1912517

Elekdag, S., & Han, F. (2015). What drives credit growth in emerging Asia?. Journal of Asian Economics, 38, 1-13. DOI : https://doi.org/10.1016/j.asieco.2015.03.001

Ewert, R., Schenk, G., & Szczesny, A. (2000). Determinants of bank lending performance in Germany. Schmalenbach Business Review: ZFBF, 52(4), 344.

Farinha, L., & Marques, C. R. (2001). The bank lending channel of monetary policy: identification and estimation using Portuguese micro bank data (No. 0102). European Central Bank.

Francis, W., & Osborne, M. (2009). Bank regulation, capital and credit supply: measuring the impact of prudential standards. Occasional paper, 36.

Hernando, I., & Martínez-Pagés, J. (2001). Is there a bank lending channel of monetary policy in Spain?

Hofmann, B. (2004). The determinants of bank credit in industrialized countries: do property prices matter?. International finance, 7(2), 203-234. DOI: 10.1111/j.1367-0271.2004.00136.x

Imran, K., & Nishat, M. (2013). Determinants of bank credit in Pakistan: A supply side approach. Economic Modelling, 35, 384-390.DOI: https://doi.org/10.1016/j.econmod.2013.07.022

İnan, E. A. (2001).“Parasal Aktarım Mekanizmasının Kredi Kanalı ve Türkiye”. Bankacılar Dergisi, S. 39, ss. 3-19.

Kashyap, A. K., & Stein, J. C. (2000). What do a million observations on banks say about the transmission of monetary policy?. American Economic Review, 407-428.

Katı, E. (2014). Parasal Aktarım Mekanizması Kanallarının İşleyişi Ve Türkiye Örneği: VAR Modeli Çerçevesinde Ampirik Bir Uygulama (Master's thesis).

Lütkepohl, H., & Saikkonen, P. (1997). Impulse response analysis in infinite order cointegrated vector autoregressive processes. Journal of Econometrics, 81(1), 127-157. DOI: https://doi.org/10.1016/S0304-4076(97)00037-7

Macovei, M. (2009). Growth and economic crises in Turkey: leaving behind a turbulent past? (No. 386). Directorate General Economic and Financial Affairs (DG ECFIN), European Commission.

Moussa, M. A. B., & Chedia, H. (2016). Determinants of Bank Lending: Case of Tunisia. International Journal of Finance and Accounting, 5(1), 27-36. doi:10.5923/j.ijfa.20160501.04

Nalin, H. T., & Tasdelen, S. (2016). Bankalarda Kredi Arzini Etkileyen Faktörler*/Factors Affecting the Loan Supply of the Banks. Finans Politik & Ekonomik Yorumlar, 53(615), 65.

Örnek, İ. (2009). Türkiye’de parasal aktarım mekanizması kanallarının işleyişi. Maliye Dergisi, 156, 104-125.

PEKER, Y. D. D. O., & CANBAZOĞLU, Ö. G. D. B. (2011). Türkiye’de Banka Kredi Kanalının İşleyişi: Ampirik Bir Analiz. Y Ö NET İ M, 127.

Pindyck, R. S., & Rubinfeld, D. L. (1991). Econometric models. Economic Forecasts, 3.

Rodrik, D. (2012). The Turkish economy after the global financial crisis. Ekonomi-tek, 1(1), 41-61.

Seyhan, T. A. Ş., ÖRNEK, İ., & Selen, U. T. L. U. (2012). Banka Kredi Kanalı Ve Türkiye Uygulaması. Çukurova Üniversitesi Sosyal Bilimler Enstitüsü Dergisi, 21(1).

Shahbaz, M., Shamim, S. A., & Aamir, N. (2010). Macroeconomic environment and financial sector's performance: econometric evidence from three traditional approaches. IUP Journal of Financial Economics, 8(1/2), 103.

Sharma, P., & Gounder, N. (2012). Determinants of bank credit in small open economies: The case of six Pacific Island Countries.

Sims, C. A. (1980). Comparison of interwar and postwar business cycles: Monetarism reconsidered.

Stepanyan, V., & Guo, K. (2011). Determinants of bank credit in emerging market economies (No. 11-51). International Monetary Fund.

Taiwo, O., & Adesola, O. A. (2013). Exchange rate volatility and bank performance in Nigeria. Asian Economic and Financial Review, 3(2), 178.

Tarı, R. (2008). Ekonometri (5. Baskı). Kocaeli Üniversitesi Yayın, (172).

Tunç, B. (2012). Kredi Hacmini Etkileyen Faktörler: Banka Kredileri Eğilim Anketi Analizi. TCMB Ġstatistik Genel Müdürlüğü, Uzmanlık Yeterlilik Tezi, Ankara.

Uygur, E. (2010). The global crisis and the Turkish economy. Third World Network.

Vithessonthi, C. (2016). Deflation, bank credit growth, and non-performing loans: Evidence from Japan. International Review of Financial Analysis, 45, 295-305. https://doi.org/10.1016/j.irfa.2016.04.003

Vundi, Z. N., & Olweny, T. (2016). The Impact of Macroeconomic Determinants of Bank Credit in Kenya.




DOI: http://dx.doi.org/10.20525/ijfbs.v6i2.739

Refbacks

  • There are currently no refbacks.


Copyright (c) 2017 International Journal of Finance & Banking Studies (2147-4486)

Creative Commons License
This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.

Creative Commons License
International Journal Finance and Banking Studies (2147-4486) by Hasan Dinçer is licensed under aCreative Commons Attribution-NonCommercial 4.0 International License.
Based on a work at www.ssbfnet.com/ojs.

 

"SSBFNET SSBFNET SSBFNET