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French Banks Amid the Global Financial Crisis

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  • Ms. Yingbin Xiao

Abstract

This paper runs the gamut of qualitative and quantitative analyses to examine the performance of French banks during 2006-2008 and the financial support measures taken by the French government. French banks were not immune but proved relatively resilient to the global financial crisis reflecting their business and supervision features. An event study of the impact of government measures on CDS, debt, and equity markets points to the reduction of credit risk and financing cost as well as the redistribution of resources. With the crisis still unfolding, uncertainties remain and challenges lie ahead, calling for continued vigilance and enhanced risk management.

Suggested Citation

  • Ms. Yingbin Xiao, 2009. "French Banks Amid the Global Financial Crisis," IMF Working Papers 2009/201, International Monetary Fund.
    • Handle: RePEc:imf:imfwpa:2009/201
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    Cited by:

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    2. Klomp, Jeroen, 2013. "Government interventions and default risk: Does one size fit all?," Journal of Financial Stability, Elsevier, vol. 9(4), pages 641-653.
    3. Anke Hassel & Susanne Lütz, 2012. "Balancing Competition and Cooperation: The State’s New Power in Crisis Management," Europe in Question Discussion Paper Series of the London School of Economics (LEQs) 1, London School of Economics / European Institute.
    4. Legroux, Vincent & Rahmouni-Rousseau, Imène & Szczerbowicz, Urszula & Valla, Natacha, 2022. "Stabilising virtues of central banks: (Re)matching bank liquidity," Journal of Banking & Finance, Elsevier, vol. 134(C).
    5. Eleftherios Angelopoulos & Antonios Georgopoulos, 2015. "The Determinants of Shareholder Value in Retail Banking During Crisis Years: The Case of Greece," Multinational Finance Journal, Multinational Finance Journal, vol. 19(2), pages 109-147, June.
    6. E Philip Davis & Dilruba Karim & Dennison Noel, 2020. "The Effects of Macroprudential Policy on Banks' Profitability," National Institute of Economic and Social Research (NIESR) Discussion Papers 514, National Institute of Economic and Social Research.
    7. Hee Soo Lee & Tae Yoon Kim, 2022. "A new analytical approach for identifying market contagion," Financial Innovation, Springer;Southwestern University of Finance and Economics, vol. 8(1), pages 1-35, December.
    8. Fang, Everest, 2020. "French Liquidity Support through the Societe de Financement de l'Economie (SFEF) (France GFC)," Journal of Financial Crises, Yale Program on Financial Stability (YPFS), vol. 2(3), pages 681-698, April.
    9. Dietrich, Andreas & Wanzenried, Gabrielle, 2011. "Determinants of bank profitability before and during the crisis: Evidence from Switzerland," Journal of International Financial Markets, Institutions and Money, Elsevier, vol. 21(3), pages 307-327, July.
    10. Delis, Manthos D. & Kouretas, Georgios P., 2011. "Interest rates and bank risk-taking," Journal of Banking & Finance, Elsevier, vol. 35(4), pages 840-855, April.
    11. Hoque, Hafiz, 2013. "From the credit crisis to the sovereign debt crisis: Determinants of share price performance of global banks," International Review of Financial Analysis, Elsevier, vol. 30(C), pages 334-350.
    12. Schneider, Sebastian, 2014. "Varieties of capitalism, varieties of crisis response Bank bailouts in comparative perspective," PIPE - Papers on International Political Economy 21/2014, Free University Berlin, Center for International Political Economy.
    13. Hassel, Anke & Lütz, Susanne, 2012. "Balancing competition and cooperation: the state’s new power in crisis management," LSE Research Online Documents on Economics 53201, London School of Economics and Political Science, LSE Library.
    14. Davis, E. Philip & Karim, Dilruba & Noel, Dennison, 2022. "The effects of macroprudential policy on banks' profitability," International Review of Financial Analysis, Elsevier, vol. 80(C).
    15. Anke Hassel & Susanne Lütz, 2012. "Balancing Competition and Cooperation: The State’s New Power in Crisis Management," LEQS – LSE 'Europe in Question' Discussion Paper Series 51, European Institute, LSE.

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