Bank Funding Stability (Review Study)
During the last financial crisis, numerous financial institutions and some market-based intermediation regulations experienced strains attributable to declining resource values and an evaporating of funding sources. The deleveraging cycle and the evaporating of funding markets may well likewise compel banks’ balance sheet development and subsequently, confine their capacity to give credit to the economy. This, in turn, could affect adversely the likelihood of retail and corporate clients defaulting. Such decay in the credit quality of banks’ client base could then feedback to banks’ balance sheets, further obliging their capacity to fund themselves. In this study, we review some of the most famous academic studies in this field. Moreover, we have a summary of review studies (Bank funding stability factors, methodology, and result of studies) in a table in this study.