Strategies for Effective Implementation of the CPAR Program - Building Up From the Gains: Lessons From the Improvements for Effective Implementation of the Community-Based Participatory Action Research Program (SEARCA-DA-BAR Policy Brief 2021)
Skills Needs Anticipation (SNA): Workplace Skills and Satisfaction (WSS) Baseline Survey of Select Employers in the Construction Industry
Strengthening Multi-employer Bargaining: Policies and Practices (Phase II)
Non-Hazardous Activities for Children: The Case of Banana and Sugarcane Supply Chains

PIDS WB 2021-0905
7th Mindanao Policy Research Forum
PIDS WB 2021-0905
Annual Public Policy Conference Webinar 4: Robust and Healthy Workforce and Closing Program
PIDS WB 2021-0904
Annual Public Policy Conference Webinar 3: Green And Inclusive Recovery
PIDS WB 2021-0903
Annual Public Policy Conference Webinar 2: Ethical Business
Publication Detail
BRAc DP 2021-04: What Drives Cross-Border Bank Flows?

This paper examines the drivers and impact of cross-border bank financial positions in a destination emerging market economy (the Philippines) for global banks using a unique dataset of disaggregated data for 55-58 internationally active banks during the period 2015 to 2020. The data allow us to analyze the cross-border asset position of banks in the destination country, as well as the cross-border liabilities, thus going beyond the traditional focus on cross-border liabilities only. We find that global risk appetite, real exchange rate movements, return on assets, and the spread between the domestic policy rate and the US Fed funds rate influence cross-border financial positions. We also find, apparently for the first time in this type of study, that the domestic credit cycle for banks in the destination country affects the cross-border asset position of banks. This effect is stronger in foreign banks. A separate analysis of how cross-border financial positions affect the domestic credit cycle reveals that these have a significant positive impact on all banks.

Bangko Sentral ng Pilipinas
Authors Keywords
Bayangos, Veronica B.; Moreno, Ramon; cross-border bank flows; credit cycle; risk-taking; banking ;
Download PDF Number of Downloads
Published in 2021 and available for Downloaded 2 times since July 28, 2021
Please let us know your reason for downloading this publication. May we also ask you to provide additional information that will help us serve you better? Rest assured that your answers will not be shared with any outside parties. It will take you only two minutes to complete the survey. Thank you.

To use as reference:
If others, (Please specify):
Name: (optional)
Email: (required, but will not display)
If Prefer to self-describe, please specify:
Level of Education:
If employed either part-time or full-time, name of office:
If others, (Please specify):
Would you like to receive the SERP-P UPDATES e-newsletter? Yes No
Use the space below if you have any comment about this publication or SERP-P knowledge resources in general.