Torsten Wezel

Modernizing Bank Regulation in Support of Financial Deepening

The Case of Uruguay

This paper studies how Uruguay's regulatory framework was gradually strengthened to address shortcomings identified during the 2002-03 crisis, to alig...

Conceptual Issues in Calibrating the Basel III Countercyclical Capital Buffer

This paper discusses issues in calibrating the countercyclical capital buffer (CCB) based on a sample of EU countries. It argues that the main indicat...

The Financial Performance and Macrofinancial Implications of Large State-Owned Enterprises in Sub-Saharan Africa

Using a newly-compiled dataset of state-owned enterprises in Sub-Saharan Africa, we present aggregate information about profitability, liquidity and l...

Assessing Liquidity Buffers in the Panamanian Banking Sector

This paper assesses the resilience of Panamanian banks to (i) a very severe short-term, and (ii) a significant long-lasting liquidity shock scenario. ...

Determinants of Zombie Banks in Emerging Markets and Developing Economies

While deeply undercapitalized banks have been shown to misallocate credit to weak firms, the drivers of such zombie banks are less researched, particu...

Resolving Nonperforming Loans in Sub-Saharan Africa in the Aftermath of the COVID-19 Crisis

Sub-Saharan African countries are facing an unprecedented health and economic crisis that is likely to severely hurt credit quality and raise non-perf...

Nigeria—Fostering Financial Inclusion Through Digital Financial Services

Nigeria

Financial inclusion in Nigeria has had undeniable successes, with the onboarding of residents to the banking sector consistently progressing. But the ...

Dynamic Loan Loss Provisions in Uruguay

Properties, Shock Absorption Capacity and Simulations Using Alternative Formulas

This paper assesses the merits of countercyclical loan loss provisioning in Uruguay. Using a stress test methodology, it quantifies the protection aga...

Dynamic Loan Loss Provisioning

Simulationson Effectiveness and Guide to Implementation

This simulation-based paper investigates the impact of different methods of dynamic provisioning on bank soundness and shows that this increasingly po...

Determinants of Foreign Direct Investment in Emerging Markets

An Empirical Study of FDI Flows from Germany and Its Banking Sector

Emerging markets frequently feature strong economic growth but also unique risks - political instability, legal uncertainty and corruption - which con...