The paper reviews the commercial banking sector’s development during the booming years before the current global crisis in Southeast Europe. Based on the analysis of a comprehensive dataset, a common, simplified economic model could be outlined for this period, where GDP growth has been fuelled by rapid credit growth. The latter was boosted both by foreign funding and swift deposit growth volumes. Nevertheless, beside the favourable catch-up process, the level of external imbalances, credit growth and currency mismatches raised sustainability concerns and the risk of overheating.
Backé, P. - Walko, Z. (2006): Bank Intermediation in Southeastern Europe: Depth and Structure. In: Focus on European Economic Integration 2006(2). Vienna: Oesterreichische Nationalbank.
Walko Z , '', in Focus on European Economic Integration , (2006 ) -.
BIS: Banking statistics. http://www.bis.org/statistics/bankstats.htm , accessed 02/05/2012
Demirgüc-Kunt, A. - Levine, R., eds (2001): Financial Structure and Economic Growth. A Cross-country Comparison of Banks, Markets, and Development. Cambridge: MIT Press.
'', in Financial Structure and Economic Growth. A Cross-country Comparison of Banks, Markets, and Development , (2001 ) -.
EBRD: Economic Statistics and Forecasts. http://www.ebrd.com/pages/research/economics/data/macro.shtml#ti , accessed: 15/04/2011
EBRD (2006a): Transition Report 2006. Finance in Transition. London: EBRD.
'', in Transition Report 2006. Finance in Transition , (2006 ) -.
EBRD (2006b): Transition Report Update. May 2006. London: EBRD.
'', in Transition Report Update. May 2006 , (2006 ) -.
ECB: Statistical Data Warehouse (SDW). http://www.ecb.int/stats/services/sdw/html/index.en.html , accessed: 15/04/2011
ECB (2008): Financial Stability Challenges in Candidate Countries. Managing the Transition to Deeper and More Market-oriented Financial Systems. Occasional Paper Series 95.
'', in Occasional Paper Series , (2008 ) -.
European Commission (2009): The Western Balkans in Transition. European Economy Occasional Papers 46.
'', in European Economy Occasional Papers , (2009 ) -.
de Haan, J. - Oosterloo, S. - Schoenmaker, D. (2009): European Financial Markets and Institutions. Cambridge: Cambridge University Press.
Schoenmaker D , '', in European Financial Markets and Institutions , (2009 ) -.
Levine, R. (2003): Finance and Growth. Theory, Evidence, and Mechanisms. Manuscript, http://info.worldbank.org/etools/docs/library/83700/financeandgrowth.pdf , accessed: 26/03/ 2011
Levine R , '', in Finance and Growth. Theory, Evidence, and Mechanisms , (2003 ) -.
Martin, R. - Zauchinger, C. (2009): Recent Developments in the Baltics and Southeastern European Countries with Low Nominal Exchange Rate Flexibility. Österreichische Nationalbank, Proceedings of OeNB Workshops, Stability and Security 15.
Zauchinger C , '', in Proceedings of OeNB Workshops, Stability and Security , (2009 ) -.
Patrick, H. T. (1966): Financial Development and Economic Growth in Underdeveloped Countries. Economic Development and Cultural Change 14(2): 174–189.
Patrick H T , 'Financial Development and Economic Growth in Underdeveloped Countries ' (1966 ) 14 Economic Development and Cultural Change : 174 -189 .
Sorsa, P. - Bakker, B. B. - Duenwald, C. - Maechler, A. M. - Tiffin, A. (2007): Vulnerabilities in Emerging Southeastern Europe. How Much Cause for Concern? IMF Working Paper WP/07/236.
Tiffin A , '', in IMF Working Paper , (2007 ) -.