The Bank of Japan has sought to maintain financial system stability and promote economic recovery, by providing ample liquidity under the quantitative easing policy, to overcome deflation. The Bank has also supported efforts by the financial services industry, using various means, to strengthen the soundness and functioning of the financial system. Our strategy is two-pronged, aiming both to ov...

Based on evidence for 61 countries in 1980-97, this study finds that explicit deposit insurance tends to increase the likelihood of banking crises, the more so where bank interest rates are deregulated and the institutional environment is weak. Also, the adverse impact of deposit insurance on bank stability tends to be stronger the more extensive is the coverage offered to depositors, where the...

We measured the effect of wet meadow vegetation on the bank strength and failure mechanics of a meandering montane meadow stream, the South Fork of the Kern River at Monache Meadow, in California’s Sierra Nevada. Streambanks colonized by ‘wet’ graminoid meadow vegetation were on average five times stronger than those colonized by ‘dry’ xeric meadow and scrub vegetation. Our measurements show th...

Corporate governance of banks is one of the most important structures required by banks to maintain the health and stability of banks, which can play an important role in managing banks' risk. This paper examines the effect of corporate governance on liquidity risk management, credit risk management, and total bank risk management. We used board structure effectiveness, transparency, and respon...

• This paper studies whether financial market stability is included in central bank mandates. Financial matters to monetary policy makers for both the ECB and BOE. Ex-post forward-looking Taylor (1993) Rule are adopted. A Tri-mandate explains nominal interest rates path. Our framework particularly good-fit aftermath of crisis. investigates markets setting case European Central Bank England. We ...

British banking during the period 1860 to 1908 experienced a number of bank failures. For example, between 1880 and 1890 there were 29 bank failures. The failure of a bank not only affects the depositors of that bank but also other banks, their shareholders, the monetary system and general economic stability. The main reason for the latter is the loss in public confidence in the banking system ...

This paper studies the impact of bank mergers on firm-bank lending relationships using information from individual loan contracts in Belgium. We analyse the effects of bank mergers on the probability of borrowers maintaining their lending relationships and on their ability to continue tapping bank credit. The Belgian financial environment reflects a number of interesting features: high banking ...

Research in the domain of Financial Contagion has come to the forefront in recent years. There has been a significant focus on this field since the recession of 2008. In this paper we take a look at simulation based modelling to stress test the stability of inter-bank loan networks of different structures. We look to analyze the effect of various parameters on the stability of these networks. W...