Template-Type: ReDIF-Article 1.0
Author-Name: Inaki Aldasoro
Author-Name: Wenqian Huang
Author-Name: Esti Kemp
Title: Cross-border links between banks and non-bank financial institutions
Abstract: Cross-border links between banks and non-bank financial institutions (NBFIs) gained momentum in recent years. Banks cross-border claims on NBFIs rose from $4.6 trillion in Q1 2015 to $7.5 trillion in Q1 2020, a faster increase than that of total cross-border claims. Financial centres and large advanced economies play a prominent role, as hosts of the largest and most interconnected NBFIs such as central counterparties, hedge funds and investment funds. The size of banks cross-border links to NBFIs in emerging market economies has also been on the rise, albeit from a low base. The financial market turmoil triggered by Covid-19 revealed several vulnerabilities associated with cross-border linkages between banks and NBFIs.
Journal: BIS Quarterly Review
File-URL: http://www.bis.org/publ/qtrpdf/r_qt2009e.pdf
File-Format: Application/pdf
File-URL: http://www.bis.org/publ/qtrpdf/r_qt2009e.htm
File-Format: text/html
Year: 2020
Month: September
Classification-JEL: G21, G23, L14
Handle: RePEc:bis:bisqtr:2009e