, fluctuations in domestic equity market and the dynamics of the economic cycle come across as important and statistically significant factors. Both equity market and bankingsector, if they are expected to contribute to economic performance at either micro- or
Authors:Małgorzata Iwanicz-Drozdowska and Bartosz Witkowski
1 Introduction In many emerging markets, foreign capital penetration in the bankingsector is high. As of 2014, assets in post-communist Central, Eastern and South-Eastern Europe (CESEE), varied from approximately 30% (Belarus, Slovenia, and Ukraine
Kozaric , K. – Begovic , S. ( 2018 ): The BankingSector in the Selected South-Eastern Europe Countries in 2016 . In: Garonna , P. – Delneri , F. – Seganti , F. (eds): The Role of Banking, Insurance and Finance. Draft for Discussion. Report
banks to their FSIs built on the micro banking data. Similar weights for bankingsector and house market subindices in the financial cycle indicator were estimated by Kota – Saqe (2013) , as well as for subindices in Albulescu (2010) . Additionally
. (2012) , Alifano et al. (2019) also investigated the ORX database, but for a more recent period, and found that in the bankingsector, four governance sub-indices had significant negative effects on the loss amounts.
Bank which require servicing of interest. This simplification in turn implies that the Central Bank’s role should be modified to be a clearing house and purchaser of assets for the commercial bankingsector and whether it continues to handle debt notes