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On the effectiveness of macroprudential policy


  • Ampudia, Miguel
  • Lo Duca, Marco
  • Farkas, Mátyás
  • Perez-Quiros, Gabriel
  • Pirovano, Mara
  • Rünstler, Gerhard
  • Tereanu, Eugen


Since the global financial crises, many countries have implemented macroprudential policies with the aim to render the financial system more resilient to shocks and limit the procyclicality of the financial system. We present theoretical and empirical evidence on the effectiveness of macroprudential policy, on both, financial stability and economic growth focussing on capital measures and borrower-based measures. JEL Classification: G21

Suggested Citation

  • Ampudia, Miguel & Lo Duca, Marco & Farkas, Mátyás & Perez-Quiros, Gabriel & Pirovano, Mara & Rünstler, Gerhard & Tereanu, Eugen, 2021. "On the effectiveness of macroprudential policy," Working Paper Series 2559, European Central Bank.
  • Handle: RePEc:ecb:ecbwps:20212559
    Note: 2445760

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    References listed on IDEAS

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    Cited by:

    1. Martin Hodula & Ngoc Anh Ngo, 2022. "Finance, growth and (macro)prudential policy: European evidence," Empirica, Springer;Austrian Institute for Economic Research;Austrian Economic Association, vol. 49(2), pages 537-571, May.
    2. Laeven, Luc & Maddaloni, Angela & Mendicino, Caterina, 2022. "Monetary policy, macroprudential policy and financial stability," Working Paper Series 2647, European Central Bank.
    3. Martin, Alberto & Mendicino, Caterina & Van der Ghote, Alejandro, 2022. "Systemic risk and policy interventions: monetary and macroprudential policy," Research Bulletin, European Central Bank, vol. 97.
    4. Ampudia, Miguel & Lo Duca, Marco & Farkas, Mátyás & Perez-Quiros, Gabriel & Pirovano, Mara & Rünstler, Gerhard & Tereanu, Eugen, 2021. "Avoiding a financial epidemic – The role of macroprudential policies," Research Bulletin, European Central Bank, vol. 87.

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    More about this item


    bank capital; borrowers; financial stability; macroprudential policy;
    All these keywords.

    JEL classification:

    • G21 - Financial Economics - - Financial Institutions and Services - - - Banks; Other Depository Institutions; Micro Finance Institutions; Mortgages

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