Bank Regulation in Dollarized Economies: The Case of Turkey

International Journal of Financial Studies

Erick W. Rengifo²  Emre Ozsoz³  Mustapha A. Akinkunmi¹ 

[1] Brickfield Road Associates, 8 Onikoyi Street, Parkview Estate, Ikoyi, Lagos 101233 , Nigeria; E-Mail:;Center for International Policy Studies, Economics Department, Fordham University, 441 E. Fordham Rd., Bronx, NY 10458, USA; E-Mail:;Social Studies Department, School of Liberal Arts, SUNY-FIT, 227 W 27th Street, NY 10001, USA

关键词: dollarization;    banking regulation;    Turkish banking system;   

DOI  :  10.3390/ijfs1040137

来源: mdpi

【 摘 要 】

Regulators in emerging markets are increasingly curtailing the practice of foreign currency lending. In such a move Turkish regulatory authorities banned foreign currency lending to households in 2009. This paper examines the evolution of financial dollarization in Turkey in the 2002–2009 period by looking the currency composition of loans and deposits in the banking system and the macroeconomic developments. We find that the Turkish banking system was unhedged against currency fluctuations and the regulators acted preemptively in banning the practice.

【 授权许可】

CC BY   
© 2013 by the authors; licensee MDPI, Basel, Switzerland.