Bitte verwenden Sie diesen Link, um diese Publikation zu zitieren, oder auf sie als Internetquelle zu verweisen: https://hdl.handle.net/10419/272855 
Erscheinungsjahr: 
2023
Schriftenreihe/Nr.: 
Staff Report No. 1042
Verlag: 
Federal Reserve Bank of New York, New York, NY
Zusammenfassung: 
Corporate credit lines are drawn more heavily when funding markets are more stressed. This covariance elevates expected bank funding costs. We show that credit supply is dampened by the associated debtoverhang cost to bank shareholders. Until 2022, this impact was reduced by linking the interest paid on lines to credit-sensitive reference rates such as LIBOR. We show that transition to risk-free reference rates may exacerbate this friction. The adverse impact on credit supply is offset if drawdowns are expected to be left on deposit at the same bank, which happened at some of the largest banks during the COVID recession.
Schlagwörter: 
bank funding risk
credit supply
reference rates
credit lines
London Interbank Offered Rate (LIBOR)
Secured Overnight Financing Rate (SOFR)
JEL: 
G00
G01
G02
G20
G21
E4
E43
Dokumentart: 
Working Paper

Datei(en):
Datei
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