IDEAS home Printed from https://ideas.repec.org/a/mes/emfitr/v57y2021i6p1652-1661.html
   My bibliography  Save this article

Bank Loans for Small Businesses in Times of COVID-19: Evidence from China

Author

Listed:
  • Quanyun Song
  • Jun Du
  • Yu Wu

Abstract

Using representative loan-level data in China, this paper shows that bank loans for small businesses are more generous and flexible during the pandemic. In places more severely affected by the pandemic, loans for small businesses have lower costs, shorter maturities, larger amounts, are more likely to be unsecured loans. Small businesses are also more likely to extend the loan repayment, while the probability of defaulting shows no significant differences. Although the easy monetary policies implemented by central banks help small business financing, the government should pay attention to the potential NPL concerns in the post-pandemic periods.

Suggested Citation

  • Quanyun Song & Jun Du & Yu Wu, 2021. "Bank Loans for Small Businesses in Times of COVID-19: Evidence from China," Emerging Markets Finance and Trade, Taylor & Francis Journals, vol. 57(6), pages 1652-1661, May.
    • Handle: RePEc:mes:emfitr:v:57:y:2021:i:6:p:1652-1661
    DOI: 10.1080/1540496X.2021.1900820
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1080/1540496X.2021.1900820
    Download Restriction: Access to full text is restricted to subscribers.
    File URL: https://libkey.io/10.1080/1540496X.2021.1900820?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Aysan, Ahmet Faruk & Babacan, Mehmet & Gür, Nurullah & Süleyman, Selim, 2023. "Firm Size and Financing Behavior during the COVID-19 Pandemic: Evidence from SMEs in Istanbul," MPRA Paper 116300, University Library of Munich, Germany, revised 2023.
    2. Wang, Hao & Xu, Ning & Yin, Haiyan & Ji, Hao, 2022. "The dynamic impact of monetary policy on financial stability in China after crises," Pacific-Basin Finance Journal, Elsevier, vol. 75(C).
    3. Naiborhu, Elis Deriantino & Ulfa, Dhanita, 2023. "The lending implication of a funding for lending scheme policy during COVID-19 pandemic: The case of Indonesia Banks," Economic Analysis and Policy, Elsevier, vol. 78(C), pages 1059-1069.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:mes:emfitr:v:57:y:2021:i:6:p:1652-1661. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Chris Longhurst (email available below). General contact details of provider: http://www.tandfonline.com/MREE20 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.