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Official credits to developing countries : Implicit transfers to the banks

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  • Huizinga, H.P.

    (Tilburg University, School of Economics and Management)

  • Demirguc-Kunt, A.

Abstract

This paper provides evidence that commercial banks have benefited greatly from official monies made available directly to developing countries or indirectly to the multilateral lending agencies. In particular, the stock market capitalization of creditor banks worldwide rose by about $6.2 billion at the time of the introduction of the U.S. proposal to increase its quota to the IMF by $8.5 billion in 1983, and by a low estimate of R.4 billion when details of the Brady Plan were made public in March 1989. Copyright 1993 by Ohio State University Press.
(This abstract was borrowed from another version of this item.)

Suggested Citation

  • Huizinga, H.P. & Demirguc-Kunt, A., 1993. "Official credits to developing countries : Implicit transfers to the banks," Other publications TiSEM 3e86ba61-dde4-4c9c-bd2c-e, Tilburg University, School of Economics and Management.
    • Handle: RePEc:tiu:tiutis:3e86ba61-dde4-4c9c-bd2c-ee236825defc
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    References listed on IDEAS

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    1. Eyssell, Thomas H. & Fraser, Donald R. & Rangan, Nanda K., 1989. "Debt-equity swaps, regulation K, and bank stock returns," Journal of Banking & Finance, Elsevier, vol. 13(6), pages 853-868, December.
    2. Jeffrey Sachs & Harry Huizinga, 1987. "U.S. Commercial Banks and the Developing-Country Debt Crisis," Brookings Papers on Economic Activity, Economic Studies Program, The Brookings Institution, vol. 18(2), pages 555-606.
    3. Billingsley, Randall S. & Lamy, Robert E., 1988. "The regulation of international lending IMF support, the debt crisis, and bank stockholder wealth," Journal of Banking & Finance, Elsevier, vol. 12(2), pages 255-274, June.
    4. Smirlock, Michael & Kaufold, Howard, 1987. "Bank Foreign Lending, Mandatory Disclosure Rules, and the Reaction of Bank Stock Prices to the Mexican Debt Crisis," The Journal of Business, University of Chicago Press, vol. 60(3), pages 347-364, July.
    5. Jeremy Bulow & Kenneth Rogoff, 1988. "The Buyback Boondoggle," Brookings Papers on Economic Activity, Economic Studies Program, The Brookings Institution, vol. 19(2), pages 675-704.
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    Cited by:

    1. Spiegel, Mark M., 1996. ""Burden sharing" in sovereign debt reduction," Journal of Development Economics, Elsevier, vol. 50(2), pages 337-351, August.
    2. J. Broz, 2011. "The United States Congress and IMF financing, 1944–2009," The Review of International Organizations, Springer, vol. 6(3), pages 341-368, September.
    3. J. Broz, 2008. "Congressional voting on funding the international financial institutions," The Review of International Organizations, Springer, vol. 3(4), pages 351-374, December.
    4. Serkan Arslanalp & Peter Blair Henry, 2002. "Debt Relief: What Do the Markets Think?," NBER Working Papers 9369, National Bureau of Economic Research, Inc.
    5. J. Lawrence Broz, 2008. "Congressional voting on funding the international financial institutions," The Review of International Organizations, Springer, vol. 3(4), pages 351-374, December.
    6. Serkan Arslanalp & Peter Blair Henry, 2005. "Is Debt Relief Efficient?," Journal of Finance, American Finance Association, vol. 60(2), pages 1017-1051, April.
    7. Klimenko, Mikhail M., 2002. "Trade interdependence, the international financial institutions, and the recent evolution of sovereign-debt renegotiations," Journal of International Economics, Elsevier, vol. 58(1), pages 177-209, October.
    8. Duane Rockerbie & Stephen Easton, 2003. "Information as a Substitute for Bailouts in Sovereign Debt Markets," International Finance 0303003, University Library of Munich, Germany.

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