Bank Lending Channel and Monetary Policy in Nigeria

Date

2017-07-15

Advisors

Journal Title

Journal ISSN

ISSN

Volume Title

Publisher

Elsevier

Type

Article

Peer reviewed

Yes

Abstract

We find that the Central Bank of Nigeria's (CBN) policy of consolidation and restructuring from 2002 to 2008 strengthened the bank lending channel (BLC). We use the Generalised Method of Moments (GMM) two step estimator to test the existence of the BLC using a sample of 23 banks.Our results show that the loan growth is more sensitive to changes in bank size and capitalization. Furthermore, the central bank's restructuring activities improved the impact of the BLC.

Description

The file attached to this record is the author's final peer reviewed version. The Publisher's final version can be found by following the DOI link.

Keywords

Monetary Transmission Mechanism, Bank Lending Channel, Panel data, GMM, Nigeria

Citation

Matousek, R. and Solomon, H. (2017) Bank Lending Channel and Monetary Policy in Nigeria. Research in International Business and Finance, online first

Rights

Research Institute