Alessi, Lucia; Bruno, Brunella; Carletti, Elena; … - 2019
We analyse micro and macro drivers of coverage ratios in a cross-country sample of euro area banks. Among the former …, we find that coverage ratios increase with the reliance on deposit funding and when asset quality is very poor. Among the … latter, coverage ratios increase with GDP growth and with more stringent supervision and macro-prudential policies, as well …