When the Covid-19 crisis struck, banks using internal-rating based (IRB) models quickly recognized the increase in risk … and reduced lending more than banks using a standardized approach. This effect is not driven by borrowers' quality or by … banks in countries with credit booms before the pandemic. The higher risk sensitivity of IRB models does not always result …

reduce loan granting, especially to firms or from banks with lower capital or liquidity ratios. Moreover, responding to … applications for the same loan, weak banks are less likely to grant the loan. Our results suggest that firms cannot offset the … resultant credit restriction by turning to other banks. Importantly the bank-lending channel is notably stronger when we account …

with current Liquidity Coverage Ratio (LCR) and Net Stable Funding Ratio (NSFR) rules would have reduced banks' reliance on …This paper investigates the costs and benefi ts of liquidity regulation. We find that liquidity tools are bene ficial … publicly provided liquidity during the global fi nancial crisis without removing such assistance altogether. The paper also …

We analyze the pledging behavior of Euro area banks during the introduction of the liquidity coverage ratio (LCR). The … national liquidity requirements to proxy for banks' incentives to exploit this differential treatment of central bank eligible … national liquidity requirement pledge more and less liquid collateral than banks with a preceding national liquidity …

loans before maturity when in need of liquidity. Loan guarantees improve market liquidity and reduce lending standards, with … market liquidity of these loans due to both selection and commitment. Because of this positive pecuniary externality …

We study the prices that individual banks pay for liquidity (captured by borrowing rates in repos with the central bank … depend in particular on the distribution of liquidity across banks, which is calculated over time using individual banklevel … data on reserve requirements and actual holdings. Banks pay more for liquidity when positions are more imbalanced across …

-risk-related supervisory efforts on (i) climate risk exposure and related risk management of banks; and (ii) on the induced shifts in banks … supervision has only been introduced for selected banks within the European Union i.e., the Significant Institutions under the … Single Supervisory Mechanism. Other banks (i.e., the Less Significant Institutions) have remained unaffected. We set up a …

-to-value bailinable bank bonds and show that banks increased their holdings of bailinable bank bonds while households and non …-financial corporations reduced their holdings of bailinable bonds issued by riskier banks. …

sample of CDS spreads of 21 European banks between 2014 and 2020. …