Abstract
This study aims at understanding the consequences of the collective roles of risks, funding cost, liquidity and regulatory capital as the mediators in the effects of the MSME loan securitization on bank stability. We use a novel dataset on the US and European MSME ABS originators over 2003 to 2022 given the US' and European Commission's roles in the programme. Our findings show that risk, funding costs, liquidity and regulatory capital collectively act as mediators. This research is the first study to look at the collective roles of mediators at play in the effect of MSME loan securitization on bank stability.
| Original language | English |
|---|---|
| Pages (from-to) | 61-71 |
| Number of pages | 11 |
| Journal | Economic Research Guardian |
| Volume | 13 |
| Issue number | 2 |
| Publication status | Published - 2023 |
Keywords
- Bank stability
- Securitization
- Small business