Suchergebnisse

Purpose
The purpose of this paper is to analyze the financial friction effect of non-performing loans (NPLs) on financial intermediation (FI) through empirical evidence from the Brazilian experience.


Design/methodology/approach
The authors develop a new variable, financial intermediation flow and a new indicator, FI, both measures of FI. To empirically test FI, the authors use a dynamic panel data framework that draws on 101 banks (December 2000 to December 2015).


Findings
An increase in NPL reduces FI. Thus, NPL amplifies financial friction in FI. This result holds in different time frames, such as the pre-crisis period, the crisis period and the post-crisis period.


Practical implications
The FI measure developed in this study offers the policymakers a possibility to monitor financial stability.


Originality/value
This study adds to this debate by proposing a measure of FI derived from financial flows. This measure allows one to estimate the role of NPL as a financial friction that can pose a threat to financial stability.

Publication issue de Pierre Kopp. Understanding the Financial Flows Generated by Human Trafficking. World Bank Conference: The Dynamics of Illicit Flows from Developing Countries, Sep 2009, Washington, United States. ; International audience

Publication issue de Pierre Kopp. Understanding the Financial Flows Generated by Human Trafficking. World Bank Conference: The Dynamics of Illicit Flows from Developing Countries, Sep 2009, Washington, United States. ; International audience

Publication issue de Pierre Kopp. Understanding the Financial Flows Generated by Human Trafficking. World Bank Conference: The Dynamics of Illicit Flows from Developing Countries, Sep 2009, Washington, United States. ; International audience

Publication issue de Pierre Kopp. Understanding the Financial Flows Generated by Human Trafficking. World Bank Conference: The Dynamics of Illicit Flows from Developing Countries, Sep 2009, Washington, United States. ; International audience

AbstractFor a sample of low‐income countries, we analyse the behaviour of international financial flows during three periods: (i) the 2003–2007 global boom; (ii) the 2008–2009 crisis; and (iii) the 2010–2012 recovery phase. In particular, we examine aid‐adjusted net financial inflows, debt inflows, foreign direct investment inflows and official reserve outflows. We highlight the role of country characteristics in explaining the cross‐country variation in international financial flows during these different phases.

The emerging concept of illicit financial flows has become a crosscutting issue on the international agenda in recent years. This umbrella term refers to money illegally earned, transferred, or used. With the development of digital technologies, the use of information and communications networks as a tool for facilitating illicit financial flows is rising as one of the key challenges in tackling the problem of the movement of illegal funds. Digital technologies facilitate illicit financial flows at each stage, be it earning money illegally, transferring illegal funds, or using them. There are several areas where clear links between technology and illicit financial flows can be established. Part one defines illicit financial flows to establish the scope of the problem and provide the context for further analysis. Part two focuses on the issue of digital technologies in the process of earning money illegally and transferring illicit funds, and analyzes how technology can help in the process of acquisition, transfers, and integration of illicit finds. Part three discusses the role of technology in fighting illicit financial flows. Part four concludes with suggestions for further areas of research in this field and ways to tackle the problem more effectively.