Financial development, interest rate pass-through and interest rate channel of monetary policy

References

• Abanikanda, E. O. (2022). Measuring the impact of exchange rate volatility on the depth and efficiency of the financial sector: Evidence from Nigeria. International Journal of Monetary Economics and Finance, 13(4), 331–29. https://doi.org/10.1504/IJMEF.2022.127161
   Google Scholar
• Abuka, C., Alinda, R. K., Minoiu, C., Peydró, J., & Presbitero, A. F. (2019). Monetary policy and bank lending in developing countries: Loan applications, rates, and real effects. Journal of Development Economics, 139, 185–202. https://doi.org/10.1016/j.jdeveco.2019.03.004
   Web of Science ®Google Scholar
• Agarwal, S., Chomsisengphet, S., Yildirim, Y., & Zhang, J. (2021). Interest rate pass-through and consumption response: The deposit channel. The Review of Economics and Statistics, 103(5), 922–938. https://doi.org/10.1162/rest_a_00941
   Web of Science ®Google Scholar
• Ahmad, A. H., Aziz, N., & Rummun, S. (2013). Interest rate pass-through in the UK: Has the transmission mechanism changed during the financial crisis? Economic Issues, 18(1), 17–37.
   Google Scholar
• Akinci, O., Benigno, G., Del Negro, M., & Queraltó, A. (2022). The Financial (In)stability Real Interest Rate, R*. International Finance Discussion Papers 1308, Board of Governors of the Federal Reserve System (U.S.).
   Google Scholar
• Altavilla, C., Canova, F., & Ciccarelli, M. (2020). Mending the broken link: Heterogenous bank lending and monetary policy pass-through. Journal of Monetary Economics, 110, 81–98. https://doi.org/10.1016/j.jmoneco.2019.01.001
   Web of Science ®Google Scholar
• Angeriz, A., Arestis, P., McCombie, J., & Mosler, W. (2008). The interest rate channel in the new monetary policy framework. Challenge, 51(2), 69–84. https://doi.org/10.2753/0577-5132510206
   Google Scholar
• Banerjee, A., Bystrov, V., & Mizen, P. (2013). How do anticipated changes to short-term market rates influence banks’ retail interest rates? Evidence from the four major euro area economies. Journal of Money, Credit, and Banking, 45(7), 1375–1414. https://doi.org/10.1111/jmcb.12056
   Web of Science ®Google Scholar
• Beck, T., Demirgüç-Kunt, A., & Levine, R. (2000). A new database on the structure and development of the financial sector. The World Bank Economic Review, 14(3), 597–605. https://doi.org/10.1093/wber/14.3.597
   Web of Science ®Google Scholar
• Bernanke, B. S., & Gertler, M. (1995). Inside the black box: The credit channel of monetary policy transmission. Journal of Economic Perspectives, 9(4), 27–48. https://doi.org/10.1257/jep.9.4.27
   Web of Science ®Google Scholar
• Beutler, T., Bichsel, R., Bruhin, A., & Danton, J. (2017). The impact of interest rate risk on bank lending. SNB Working Papers No. 4, Swiss National Bank.
   Google Scholar
• Blot, C., & Labondance, F. (2021). Beyond the interest rate pass-through: monetary policy and banks interest rates during the effective lower bound. Sciences Juridiques Economiques politiques et de gestion (SJEPG), Working Paper No. 03, Centre de RErecherche sur les Stratégies Economiques (CRESE, EA 3190), University of Franche-Comté.
   Google Scholar
• Bogoev, J., & Petrevski, G. (2012). Interest rate pass-through in a small open economy with a fixed exchange rate - the case of macedonia. Procedia - Social and Behavioral Sciences, 44, 125–133. https://doi.org/10.1016/j.sbspro.2012.05.012
   Google Scholar
• Ciccarelli, M., Maddaloni, A., & Peydro, J. -L. (2013). Heterogeneous transmission mechanism: Monetary policy and financial fragility in the eurozone. Economic Policy, 28(75), 459–512. https://doi.org/10.1111/1468-0327.12015
   Web of Science ®Google Scholar
• Cottarelli, C., & Kourelis, A. (1994). Financial structure, bank lending rates, and the transmission mechanism of monetary policy. Staff Papers – International Monetary Fund, 41(4), 587–623. https://doi.org/10.2307/3867521
   Google Scholar
• Creel, J., Viennot, M., & Hubert, P. (2013). Assessing the interest rate and bank lending channels of ECB monetary policies. Working Papers, hal-01064261, HAL. Available online at: https://hal-sciencespo.archives-ouvertes.fr/hal-01064261.
   Google Scholar
• Dabla-Norris, E., & Floerkemeier, H. (2006). Transmission mechanism of monetary policy in Armenia: Evidence from VAR analysis. IMF Working Paper 248, International Monetary Fund.
   Google Scholar
• [data set] Central Bank of Nigeria. (2021). CBN statistical bulletin and annual report. Central Bank of Nigeria. Retrieved from http://www.cbn.gov.ng
   Google Scholar
• Davoodi, H. R., Dixit, S., & Pinter, G. (2013). Monetary transmission mechanism in the East African community: An empirical investigation. IMF Working Paper 39, 1–59, International Monetary Fund.
   Google Scholar
• De Bondt, G. (2002). Retail bank interest rate pass-through: New evidence at the Euro Area Level. ECB Working Paper No, 136, 1–44.
   Google Scholar
• De Bondt, G. (2005). Interest rate pass-through: empirical results for the Euro Area. German Economic Review, 6(1), 37–78. https://doi.org/10.1111/j.1465-6485.2005.00121.x
   Google Scholar
• Dickey, D., & Fuller, W. (1981). Likelihood ratio statistics for autoregressive time series with a unit root. Econometrica, 49(4), 1057–1075. https://doi.org/10.2307/1912517
   Web of Science ®Google Scholar
• DiMaggio, M., Kermani, A., Keys, B. J., Piskorski, T., Ramcharan, R., Seru, A., & Yao, V. (2017). Interest rate pass-through: Mortgage rates, household consumption, and voluntary deleveraging. The American Economic Review, 107(11), 3550–3588. https://doi.org/10.1257/aer.20141313
   Web of Science ®Google Scholar
• Disyatat, P., & Vongsinsirikul, P. (2003). Monetary policy and the transmission mechanism in Thailand. Journal of Asian Economics, 14(3), 389–418. https://doi.org/10.1016/S1049-0078(03)00034-4
   Google Scholar
• Doojav, G., & Kalirajan, K. (2016). Interest rate pass-through in Mongolia. The Developing Economies, 54(4), 271–291. https://doi.org/10.1111/deve.12112
   Web of Science ®Google Scholar
• Drechsler, I., Savov, A., & Schnabl, P. (2017). The deposits channel of monetary policy. The Quarterly Journal of Economics, 132(4), 1819–1876. https://doi.org/10.1093/qje/qjx019
   Web of Science ®Google Scholar
• Fiador, V., Sarpong-Kumankoma, E., & Karikari, N. K. (2022). Monetary policy effectiveness in Africa: The role of financial development and institutional quality. Journal of Financial Regulation and Compliance, 30(3), 335–352. https://doi.org/10.1108/JFRC-03-2021-0024
   Web of Science ®Google Scholar
• Gigineishvili, N. (2011). Determinants of interest rate pass-through: Do macroeconomic conditions and financial market structure matter? Working paper 176, IMF,
   Google Scholar
• Greenwood-Nimmo, M., Steenkamp, D., & van Jaarsveld, R. (2022). A bank-level analysis of interest rate pass-through in South Africa. South African Reserve Bank Working Paper Series WP/22/06.
   Google Scholar
• Gregor, J., & Melecky, M. (2018). The Pass-through of monetary policy rate to lending rates: The role of macro-financial factors. MPRA Working Paper No. 84048, 1–47.
   Google Scholar
• Iddrisu, A., & Alagidede, I. P. (2020). Revisiting interest rate and lending channels of monetary policy transmission in the light of theoretical prescriptions. Central Bank Review, 20(4), 183–192. https://doi.org/10.1016/j.cbrev.2020.09.002
   Google Scholar
• Jamilov, R., & Egert, B. (2014). Interest rate pass-through and monetary policy asymmetry: A journey into the Caucasian black box. Journal of Asian Economics, 31–32, 57–70. https://doi.org/10.1016/j.asieco.2014.03.006
   Google Scholar
• Jibrilla, A. A., & Balami, D. H. (2022). Interest rate pass-through in Nigeria: An asymmetric cointegration approach. CBN Journal of Applied Statistics, 13(1), 123–162. https://doi.org/10.33429/Cjas.13122.5/9
   Google Scholar
• Juselius, M., Borio, C., Disyatat, P., & Drehmann, M. (2016). Monetary policy, the financial cycle and ultralow interest rates. BIS Working Papers No. 569, Bank for International Settlements.
   Google Scholar
• Karagiannis, S., Panagopoulos, Y., & Vlamis, P. (2010). Symmetric or asymmetric interest rate adjustments? Evidence from Greece, Bulgaria and Slovenia. GreeSE – Hellenic Observatory Papers on Greece and Southeast Europe 39, Hellenic Observatory, LSE.
   Google Scholar
• Karagiannis, S., Panagopoulos, Y., & Vlamis, P. (2014). The Response of Bank Retail Rates to Money Market Rates in the BRIC Economies: An Application of the Disaggregated GETS Model. Emerging Markets Finance & Trade, 50(2), 153–168. https://doi.org/10.2753/REE1540-496X500209
   Web of Science ®Google Scholar
• Kobayashi, T. (2008). Incomplete interest rate pass-through and optimal monetary policy. International Journal of Central Banking, 4(3), 77–118.
   Web of Science ®Google Scholar
• Kopecky, K. J., & Van Hoose, D. D. (2012). Imperfect competition in bank retail markets, deposit and loan rate dynamics, and incomplete pass through. Journal of Money, Credit, and Banking, 44(6), 1185–1205. https://doi.org/10.1111/j.1538-4616.2012.00527.x
   Web of Science ®Google Scholar
• Krause, S., & Rioja, F. (2006). Financial development and monetary policy efficiency. Economics Bulletin, 38(1), 1–17.
   Google Scholar
• Li, J., & Liu, M. (2019). Interest rate liberalization and pass-through of monetary policy rate to bank lending rates in China. Frontiers of Business Research in China, 13(8), 1–19. https://doi.org/10.1186/s11782-019-0056-z
   Google Scholar
• Maravalle, A., & Pandiella, A. G. (2022). The pass-through of the monetary policy rate into lending rates in Mexico. OECD Economics Department Working Papers No. 1734. Organization of Economic Cooperation and Development.
   Google Scholar
• Mbowe, W. E. (2015). Monetary policy rate pass-through to retail bank interest rates in Tanzania. Bank of Tanzania Working Paper No 4, 1–26.
   Google Scholar
• Meneses-González, M. F., Lizarazo-Cuellar, A. M., Cuesta-Mora, D. F., & Osorio-Rodríguez, D. (2022). Financial development and monetary policy transmission. Borradores de Economía, Working Paper No. 1219, Bank of Colombia.
   Google Scholar
• Misati, R. N., Nyamongo, E. M., & Kamau, A. W. (2011). Interest rate pass-through in Kenya. International Journal of Development Issues, 10(2), 170–182. https://doi.org/10.1108/14468951111149104
   Google Scholar
• Mishkin, F. S. (1995). Symposium on the monetary transmission mechanism. Journal of Economic Perspectives, 9(4), 3–10. https://doi.org/10.1257/jep.9.4.3
   Web of Science ®Google Scholar
• Mishra, P., Montiel, P. J., & Spilimbergo, A. (2012). monetary transmission in low-income countries: Effectiveness and policy implications. IMF Economic Review, 60(2), 270–302. Published by: Palgrave Macmillan Journals on behalf of the International Monetary Fund. https://doi.org/10.1057/imfer.2012.7
   Web of Science ®Google Scholar
• Mojon, B. (2000). Financial Structure and the Interest Rate channel of ECB monetary policy. ECB Working Paper Series No. 40, European Central Bank.
   Google Scholar
• Mordi, C. N. O., Adebiyi, M. A., & Omotosho, B. S. (2019). Modelling interest rates pass-through in Nigeria: An error correction approach with asymmetric adjustments and structural breaks. Contemporary Issues in the Nigerian Economy: A Book of Readings, Available at SSRN https://ssrn.com/abstract=3545832
   Google Scholar
• Munir, M., Tufail, S., & Ahmed, A. M. (2022). Interest rate pass-through and cost channel of monetary policy: Evidence from minimum distance estimation of DSGE model for Pakistan. Cogent Economics & Finance, 10(1), 2127487. https://doi.org/10.1080/23322039.2022.2127487
   Web of Science ®Google Scholar
• Nel, H., Mangwengwende, T., & Chinzara, Z. (2011). Bank concentration and the interest rate pass-through in Sub-Saharan African countries. Rhodes University Working Papers 233, Economic Research Southern Africa.
   Google Scholar
• Nguyen, T. P., Dinh, T. T. H., & Tran, N. T. (2022). Financial development and monetary policy transmission in a multiple-tool regime: The case of Vietnamese commercial banks. Cogent Business & Management, 9(1), 2135218. https://doi.org/10.1080/23311975.2022.2135218
   Web of Science ®Google Scholar
• Nizamani, A. R., Karim, Z. A., Zaidi, M. A. S., & Khalid, N. (2021). Bank heterogeneity in interest rate pass-through: A panel evidence of Pakistan. Asian Academy of Management Journal of Accounting and Finance, 17(2), 107–132. https://doi.org/10.21315/aamjaf2021.17.2.5
   Web of Science ®Google Scholar
• Nyamongo, E., & Ndirangu, L. (2013). Financial innovations and monetary policy in Kenya. Submitted to the African Economic Research Consortium (AERC) Biannual Research Workshop on Financial Inclusion and Innovation in Africa, 1-5 December 2013. MPRA Paper No. 52387, Available online at: https://mpra.ub.uni-muenchen.de/52387/.
   Google Scholar
• Oyadeyi, O. (2022a). Interest Rate Pass-Through in Nigeria. Journal of Economics and Development Studies, 10(1), 49–62.
   Google Scholar
• Oyadeyi, O. (2022b). A systematic and non-systematic approach to monetary policy shocks and monetary transmission process in Nigeria. Journal of Economics and International Finance, 14(2), 23–31. https://doi.org/10.5897/JEIF2022.1170
   Google Scholar
• Oyadeyi, O. O., & Akinbobola, T. (2022). Further insights on monetary transmission mechanism in Nigeria. Journal of Economics and International Finance, 14(2), 11–22. https://doi.org/10.5897/JEIF2020.1037
   Google Scholar
• Oyadeyi, O., & Akinbobola, T. (2020). Financial development and monetary transmission mechanism in Nigeria (1986-2017). Asian Journal of Economics and Empirical Research, 7(1), 74–90. https://doi.org/10.20448/journal.501.2020.71.74.90
   Google Scholar
• Ozdemir, N., & Altinoz, C. (2012). Determinants of interest rate pass-through for emerging market economies: The role of financial market structure. International Advances in Economic Research, 18(4), 397–407. https://doi.org/10.1007/s11294-012-9377-9
   Google Scholar
• Phillips, P. C. B., & Perron, P. (1988). Testing for a unit root in time series regression. Biometrika, 75(2), 335–346. https://doi.org/10.1093/biomet/75.2.335
   Web of Science ®Google Scholar
• Puah, C. H., Liew, V. K., & Tang, M. M. (2017). The pass-through effect of interest rate and asymmetric adjustment in Indonesia. Economic Annals-XXI, 166(7–8), 61–66. https://doi.org/10.21003/ea.V166-12
   Google Scholar
• Rajan, R. S., & Yanamandra, V. (Eds). (2015). Effectiveness of monetary policy in India: The interest rate pass-through channel. Palgrave macmillan books. In Managing the Macroeconomy: Monetary and Exchange Rate Issues in India, chapter 2 (pp. 40–73). Palgrave Macmillan, London.
   Google Scholar
• Saborowski, C., & Weber, S. (2013). Assessing the determinants of interest rate transmission through conditional impulse response functions. IMF Working Paper 23, International Monetary Fund.
   Google Scholar
• Sanusi, A. R. (2010). Interest rate pass-through and the efficiency of monetary policy in Nigeria: 2002-2010. A Paper Submitted for Presentation at the 1st National Conference on State of The Nigerian Economy, Held at M. A. Auditorium, Bayero University, Kano, Nigeria.
   Google Scholar
• Scholnick, B. (1996). Asymmetric Adjustment of Commercial Bank Interest Rates: Evidence from Malaysia and Singapore. Journal of International Money and Finance, 15(3), 485–496. https://doi.org/10.1016/0261-5606(96)00016-2
   Web of Science ®Google Scholar
• Singh, S., Razi, A., Endut, N., & Ramlee, H. (2008). Impact of financial market developments on the monetary transmission mechanism. BIS Papers chapter: Financial market developments and their implications for monetary policy 39, 49–99.
   Google Scholar
• Sørensen, C. K., & Werner, T. (2006). Bank interest rate pass-through in the Euro Area: A cross country comparison. ECB Working Paper Series No. 580, 1–65, European Central Bank.
   Google Scholar
• Syed, A. A., Kamal, M. A., Grima, S., & Ullah, A. (2022). The impact of financial development and macroeconomic fundamentals on nonperforming loans among emerging countries: An assessment using the NARDL Approach. Computation, 10(10), 182, 1–20. https://doi.org/10.3390/computation10100182
   Web of Science ®Google Scholar
• Tang, M. M., Puah, C., & Liew, V. K. (2015). The interest rate pass-through in Malaysia: An analysis on asymmetric adjustment. International Journal of Economics & Management, 9(2), 370–381.
   Google Scholar
• van Leuvensteijn, M., Sørensen, C. K., Bikker, J. A., & van Rixtel, A. (2008). Impact of bank competition on the interest rate pass-through in the euro area, Working Papers 0828, Banco de España.
   Google Scholar
• Xiao, K. (2020). Monetary transmission through shadow banks. The Review of Financial Studies, 33(6), 2379–2420. https://doi.org/10.1093/rfs/hhz112
   Web of Science ®Google Scholar