Related items
Showing items related by title, author, creator and subject.
-
Public Credit Registries as a Tool for Bank Regulation and SupervisionThis paper is about the importance of
 the information in Public Credit Registries (PCRs) for
 supporting and improving banking sector regulation and
 supervision, particularly in the light of the new approach
 embodied in Basel III. Against the backdrop of the financial
 crisis and the existence of information data gaps, the
 importance of complete, accurate and timely credit
 information in the financial system is evident. Both in
 normal times and during crises, authorities need a device
 that allows them to look at the universe of credits in a
 detailed and readily way. And more importantly, they need to
 develop tools that exploit as much as possible the
 information therein contained. PCR databases contain
 individual credit information on borrowers and their credits
 which makes it possible to implement advanced techniques
 that measure banks' credit risk exposure. It allows
 optimizing the prudential regulation ensuring that
 provisioning and capital requirements are properly
 calibrated to cover expected and unexpected losses
 respectively. It also permits validating banks'
 internal rating systems, performing stress tests and
 informing macroprudential surveillance. In this respect, it
 is envisioned that the existence of a PCR will be a key
 factor to enhance the supervision and regulation of the
 financial system. Furthermore, the extent, accuracy and
 availability of the information collected by the authorities
 will determine the usefulness of the PCR as part of their
 toolkit to monitor the potential vulnerabilities not only on
 a microprudential level, but also on a macroprudential one.
-
Subsidies as an Instrument in Agriculture Finance : A ReviewThis paper presents a literature review
 of issues related to recent subsidies and investments in the
 financial sector that have been designed to address the
 immediate effects of the crises and to develop the financial
 institutions necessary to modernize agriculture. Section two
 of the paper discusses the impact of recent food, fuel, and
 financial crises on developing countries and the emergency
 actions taken by countries and international agencies to
 reduce the suffering inflicted on poor people. It also
 discusses the challenge of finding a balance between
 pragmatic immediate responses and longer-term objectives.
 The third section discusses the role of finance in
 agricultural development and poverty alleviation. Section
 four deals with the challenge of creating credit markets in
 developing countries. The fifth section covers shifts in the
 paradigm used to intervene in credit markets and summarizes
 the main features of the old directed-credit and the new
 financial systems paradigms. This is followed by a sixth
 section that summarizes highlights in the development of the
 microfinance industry. It covers guidelines created for
 developing microfinance, microfinance penetration into rural
 areas and agriculture, innovations and prospects for future
 agricultural lending, and insights gained about the impact
 of finance on poor households. The seventh section addresses
 topics related to the demand for credit, including rates of
 return earned in agriculture and in microenterprises, and
 research results analyzing sensitivity of loan demand to
 interest rates. Section eight describes major interventions
 by international agencies and points the way forward for
 agricultural credit. It reviews the debates about the use of
 grants and subsidies, especially in the food, fertilizer,
 and credit markets, and the rationale for smart subsidies.
 It then describes experiences in five major areas of
 international agency activities: micro-insurance and
 weather-index-based insurance, credit guarantee funds,
 warehouse receipts, specialized agricultural development
 banks, and agricultural investment funds. Section nine
 summarizes the main conclusions based on literature
 consulted for this review. It identifies major lessons
 learned with suggestions for priorities that Improving
 Capacity Building in Rural Finance (CABFIN) members might
 consider supporting in their projects and programs.
-
Financial Sector Policy Note : Financing Small and Medium-Sized Businesses in Burkina FasoAs in other Sub-Saharan African
 countries, small and medium-sized enterprises (SMEs)
 represent the vast majority of firms operating in the
 private sector in Burkina Faso. Private sector-led growth is
 a major element of Burkina Faso's poverty reduction
 strategy, la strategie de croissance accelere et le
 developpement durable. Unfortunately, many characteristics
 of Burkina Faso's business environment, and of
 businesses themselves, make private sector-led growth a
 challenge. This financial sector policy note focuses on the
 market for credit and closely related financial services,
 how private banks are providing these services to SMEs, and
 recommendations that address problems they are having. This
 requires understanding the behavior of banks with respect to
 SME lending, particularly investment lending and related
 financial products like leasing, guarantees, microcredit,
 and subsidized credit funds. This policy note consists of a
 study and survey of commercial banks and two non-bank
 financial institutions (NBFIs) (Burkina Bail and Societe
 Financiere de Garantie Interbancaire du Burkina (SOFIGIB)
 focusing on lending to SMEs. It focuses on the supply side
 of the market. The survey and accompanying interviews took
 place during the summer of 2013. Twelve private banks and
 five NBFIs were asked to participate in the study and
 survey. The study references two additional surveys focused
 on SMEs: (1) the 2009 World Bank enterprise survey, and (2)
 the 2012 survey of SMEs commissioned by the ministry of
 industry, trade, and artisans. The study consists of
 observations and analysis of survey data to provide input to
 policies for encouraging lending to SMEs and increasing the
 provision of other financial services. This report is
 structured as follows: executive summary; purpose and
 structure of policy note; macroeconomic context and the
 banking sector section provides a description of the
 situation in which Burkina Faso finds itself. Demand for SME
 finance section presents recent studies focused on the
 demand for credit by SMEs. Supply of SME finance section
 presents the results of the survey organized around the keys
 issues facing the provision of credit to SMEs. Enabling
 environment for financing SMEs section discusses salient
 characteristics of the business, legal, and regulatory
 environment that effect SME finance; recommendations; and conclusions.