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The Impact Of Basel Iii Adoption By G20 Members On Their Credit Ratings

Author

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  • Mohammed Kalloub

    (Ankara Yildirim Beyazit University, Turkey)

  • Ayhan Kapusuzoglu

    (Ankara Yildirim Beyazit University, Turkey)

  • Nildag Basak Ceylan

    (Ankara Yildirim Beyazit University, Turkey)

Abstract

This study aims to analyze the effect of Basel III standards adoption made by 27 countries included in Basel III adoption reports (including G20 group members) on their credit rating. In addition, the study tests the impact of some macroeconomic variables on sovereign credit rating. The data are obtained from BCBS semi-annual adoption reports, along with other macroeconomic indicators published by IMF and World Bank; however, the basic indicator for credit rating is Standard &Poor’s credit rating. The period under the study is between 2011 and 2016. The results of the analysis show that there is a strong statistical significant positive effect of Basel III standards on 27 countries’ credit rating.

Suggested Citation

  • Mohammed Kalloub & Ayhan Kapusuzoglu & Nildag Basak Ceylan, 2018. "The Impact Of Basel Iii Adoption By G20 Members On Their Credit Ratings," Eurasian Journal of Economics and Finance, Eurasian Publications, vol. 6(1), pages 47-55.
    • Handle: RePEc:ejn:ejefjr:v:6:y:2018:i:1:p:47-55
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    References listed on IDEAS

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    7. Peter Rowland, 2004. "Determinants of Spread and Credit Ratings and Creditworthiness for Emerging Market Sovereign Debt: A Follow-Up Study Using Pooled Data Analysis," Borradores de Economia 296, Banco de la Republica de Colombia.
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    Cited by:

    1. Ozili, Peterson K, 2021. "Basel III in Nigeria: making it work," MPRA Paper 108495, University Library of Munich, Germany.

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