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Changing business models in international bank funding

Author

Listed:
  • Leonardo Gambacorta

    (Bank for international settlements and CEPR)

  • Stefano Schiaffi

    (Bocconi University)

  • Adrian Van Rixtel

    (Banco de España)

Abstract

This paper investigates the foreign funding mix of globally active banks. Using BIS international banking statistics for a panel of 12 advanced economies, we detect a structural break in international bank funding at the onset of the great financial crisis. In their post-break business model, banks rely less on cross-border liabilities and, instead, tap funds from outside their jurisdictions by making more active use of their subsidiaries and branches, as well as inter-office accounts within the same banking group.

Suggested Citation

  • Leonardo Gambacorta & Stefano Schiaffi & Adrian Van Rixtel, 2017. "Changing business models in international bank funding," Working Papers 1736, Banco de España.
  • Handle: RePEc:bde:wpaper:1736
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    4. Mr. John C Caparusso & Ms. Yingyuan Chen & Mr. Peter Dattels & Rohit Goel & Paul Hiebert, 2019. "Post-Crisis Changes in Global Bank Business Models: A New Taxonomy," IMF Working Papers 2019/295, International Monetary Fund.

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    More about this item

    Keywords

    bank funding; global banking; cointegration analysis;
    All these keywords.

    JEL classification:

    • C32 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Time-Series Models; Dynamic Quantile Regressions; Dynamic Treatment Effect Models; Diffusion Processes; State Space Models
    • F65 - International Economics - - Economic Impacts of Globalization - - - Finance
    • G21 - Financial Economics - - Financial Institutions and Services - - - Banks; Other Depository Institutions; Micro Finance Institutions; Mortgages

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