The current financial crisis is not a singular event in the history of crisis episodes. The essential difference between past episodes of financial turmoil and the actual crisis is the unprecedented severity, the pace of contagion and its global size. Financial markets have been seriously...

The element of absolute novelty brought about by the « Basel II » agreement consists in the multiple approaches that can be used by banks when calculating the capital requirements for loan and operational risk. By implementing the solutions offered by “Basel II”, the Romanian...

The qualifying of supervision as “prudential” is used to differentiate it from other forms of supervision, which regards issues related to banking consumer protection. In order to achieve its goal, prudential supervision needs relevant information, provided mostly by the credit institutions...

The new own funds adequacy device, officialy named “ International Convergence of Capital Measurement and Capital Standards”, describes the most important benchmark framework for micro-prudential supervision at the moment. The publication of the final text in June 2004, after five years of...

Credit institutions supervising mission by state authorities is mostly assimilated with systemic risk prevention. In present, the mission is orientated on analyzing the risk profile of the credit institutions, the mechanism and existing systems as management tools providing to bank rules the...

The paper is an attempt at studying the mechanisms whereby the economic activity dynamics and money market conditions affect the developments in nonperforming loan ratio across the main activity sectors, namely agriculture, industry, commerce and constructions. The default rates are modeled both...

The current financial crisis marked the end of a period characterized by a profit rush and an ascending trend of taking risks. In order to diminish its effects, central banks and governments made a prompt and joint intervention which resulted in urgent measures to re-establish the trust in the...

The last decade has witnessed the development of a vast literature devoted to the study of several phenomena like banking crises or episodes of vulnerability and distress, characterized by inadequate capitalization, impairment of the asset quality and of the credit institutions' rating. The...

Data Envelopment Analysis method allows both the measurement of the relative efficiency of an homogenous group of credit institutions, and the identification of those banking activity’s components generating a state of inefficiency. The present study focuses on this last issue, by proposing an...

One of the consequences of the financial liberalization process is the entry of new competitors in the banking system, increasing the risk taking attitude of credit institutions whose aim is to gain a substantial remuneration and to maintain/increase the market share. In this context, an...