Interest rates, credit rationing, and investment in Developing countries /

Interest rates, credit rationing, and investment in Developing countries /

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Bibliographic Details
Author / Creator:	Nkusu, Mwanza, author.
Imprint:	[Washington, D.C.] : International Monetary Fund, ©2003.
Description:	1 online resource (30 pages)
Language:	English
Series:	IMF working paper, 2227-8885 ; WP/03/63 IMF working paper ; WP/03/63.
Subject:	Bank loans -- Developing countries -- Effect of inflation on -- Econometric models. Bank loans -- Developing countries -- Effect of interest rates on -- Econometric models. Inflation (Finance) -- Developing countries -- Econometric models. Investments -- Developing countries -- Econometric models. Credit -- Developing countries -- Econometric models. Bank loans -- Developing countries -- Econometric models. Bank loans -- Econometric models. Credit -- Econometric models. Inflation (Finance) -- Econometric models. Investments -- Econometric models. Developing countries.
Format:	E-Resource Book
URL for this record:	http://pi.lib.uchicago.edu/1001/cat/bib/12497138

Hidden Bibliographic Details
Other authors / contributors:	International Monetary Fund. African Department.
ISBN:	1451895127 9781451895124 1281600423 9781281600424 1462334873 9781462334872 9786613781116 6613781118
Notes:	Includes bibliographical references (pages 28-30). Restrictions unspecified Electronic reproduction. [Place of publication not identified] : HathiTrust Digital Library, 2010. Master and use copy. Digital master created according to Benchmark for Faithful Digital Reproductions of Monographs and Serials, Version 1. Digital Library Federation, December 2002. http://purl.oclc.org/DLF/benchrepro0212 English. digitized 2010 HathiTrust Digital Library committed to preserve Print version record.
Summary:	This paper examines the impact of interest rates and inflation on bank loans and investment within a framework that mimics the financial sectors prevailing in most low-income developing countries. The paper emphasizes the importance of treating the lending and deposit rates of interest as distinct parameters in investment equations. The spread between the two rates is indicative of default risk and has a negative impact on incremental loan amounts associated with higher lending rates, in particular in economies with flawed institutions. The model presented in the paper highlights the importance of promoting macroeconomic stability and upgrading institutions and informational infrastructure.
Other form:	Print version: Nkusu, Mwanza. Interest rates, credit rationing, and investment in Developing countries. [Washington, D.C.] : International Monetary Fund, ©2003
Standard no.:	10.5089/9781451895124.001

Description
Summary:	This paper examines the impact of interest rates and inflation on bank loans and investment within a framework that mimics the financial sectors prevailing in most low-income developing countries. The paper emphasizes the importance of treating the lending and deposit rates of interest as distinct parameters in investment equations. The spread between the two rates is indicative of default risk and has a negative impact on incremental loan amounts associated with higher lending rates, in particular in economies with flawed institutions. The model presented in the paper highlights the importance of promoting macroeconomic stability and upgrading institutions and informational infrastructure.
Physical Description:	1 online resource (30 pages)
Format:	Master and use copy. Digital master created according to Benchmark for Faithful Digital Reproductions of Monographs and Serials, Version 1. Digital Library Federation, December 2002.
Bibliography:	Includes bibliographical references (pages 28-30).
ISBN:	1451895127 9781451895124 1281600423 9781281600424 1462334873 9781462334872 9786613781116 6613781118
ISSN:	2227-8885 ;