Collateral-based in SME lending: the role of business collateral and personal collateral in less-developed countries
Autor(a) principal: | |
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Data de Publicação: | 2017 |
Outros Autores: | , |
Tipo de documento: | Artigo |
Idioma: | eng |
Título da fonte: | Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos) |
Texto Completo: | http://hdl.handle.net/10071/12896 |
Resumo: | Using a database of banking credit approvals for small and medium-sized enterprises (SMEs) operating in less-developed countries throughout Eastern Europe and Central Asia, this paper extends empirical evidence on the determinants of the incidence and the levels of business and personal collateral, reporting first-hand results regarding the impact of the recently reformed credit environment on collateral requirements. The findings endorse the importance of producing and sharing private information between lenders to reduce informational asymmetries and, consequently, the need to provide collateral to receive a loan. The results also suggest that market concentration increases “lazy” behavior on behalf of banks in the form of asking for collateral not to mitigate observable risk but rather to reduce screening efforts. |
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Collateral-based in SME lending: the role of business collateral and personal collateral in less-developed countriesSMEs lendingPersonal collateralBusiness collateralLevel of personal and business collateralLess-developed countriesUsing a database of banking credit approvals for small and medium-sized enterprises (SMEs) operating in less-developed countries throughout Eastern Europe and Central Asia, this paper extends empirical evidence on the determinants of the incidence and the levels of business and personal collateral, reporting first-hand results regarding the impact of the recently reformed credit environment on collateral requirements. The findings endorse the importance of producing and sharing private information between lenders to reduce informational asymmetries and, consequently, the need to provide collateral to receive a loan. The results also suggest that market concentration increases “lazy” behavior on behalf of banks in the form of asking for collateral not to mitigate observable risk but rather to reduce screening efforts.Elsevier Science BV2017-04-11T11:57:54Z2017-01-01T00:00:00Z20172017-04-11T12:53:58Zinfo:eu-repo/semantics/publishedVersioninfo:eu-repo/semantics/articleapplication/pdfhttp://hdl.handle.net/10071/12896eng0275-531910.1016/j.ribaf.2016.07.005Duarte, F. D.Gama, A. P. M.Esperança, J. P.info:eu-repo/semantics/embargoedAccessreponame:Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos)instname:Agência para a Sociedade do Conhecimento (UMIC) - FCT - Sociedade da Informaçãoinstacron:RCAAP2023-11-09T17:58:13Zoai:repositorio.iscte-iul.pt:10071/12896Portal AgregadorONGhttps://www.rcaap.pt/oai/openaireopendoar:71602024-03-19T22:30:15.420792Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos) - Agência para a Sociedade do Conhecimento (UMIC) - FCT - Sociedade da Informaçãofalse |
dc.title.none.fl_str_mv |
Collateral-based in SME lending: the role of business collateral and personal collateral in less-developed countries |
title |
Collateral-based in SME lending: the role of business collateral and personal collateral in less-developed countries |
spellingShingle |
Collateral-based in SME lending: the role of business collateral and personal collateral in less-developed countries Duarte, F. D. SMEs lending Personal collateral Business collateral Level of personal and business collateral Less-developed countries |
title_short |
Collateral-based in SME lending: the role of business collateral and personal collateral in less-developed countries |
title_full |
Collateral-based in SME lending: the role of business collateral and personal collateral in less-developed countries |
title_fullStr |
Collateral-based in SME lending: the role of business collateral and personal collateral in less-developed countries |
title_full_unstemmed |
Collateral-based in SME lending: the role of business collateral and personal collateral in less-developed countries |
title_sort |
Collateral-based in SME lending: the role of business collateral and personal collateral in less-developed countries |
author |
Duarte, F. D. |
author_facet |
Duarte, F. D. Gama, A. P. M. Esperança, J. P. |
author_role |
author |
author2 |
Gama, A. P. M. Esperança, J. P. |
author2_role |
author author |
dc.contributor.author.fl_str_mv |
Duarte, F. D. Gama, A. P. M. Esperança, J. P. |
dc.subject.por.fl_str_mv |
SMEs lending Personal collateral Business collateral Level of personal and business collateral Less-developed countries |
topic |
SMEs lending Personal collateral Business collateral Level of personal and business collateral Less-developed countries |
description |
Using a database of banking credit approvals for small and medium-sized enterprises (SMEs) operating in less-developed countries throughout Eastern Europe and Central Asia, this paper extends empirical evidence on the determinants of the incidence and the levels of business and personal collateral, reporting first-hand results regarding the impact of the recently reformed credit environment on collateral requirements. The findings endorse the importance of producing and sharing private information between lenders to reduce informational asymmetries and, consequently, the need to provide collateral to receive a loan. The results also suggest that market concentration increases “lazy” behavior on behalf of banks in the form of asking for collateral not to mitigate observable risk but rather to reduce screening efforts. |
publishDate |
2017 |
dc.date.none.fl_str_mv |
2017-04-11T11:57:54Z 2017-01-01T00:00:00Z 2017 2017-04-11T12:53:58Z |
dc.type.status.fl_str_mv |
info:eu-repo/semantics/publishedVersion |
dc.type.driver.fl_str_mv |
info:eu-repo/semantics/article |
format |
article |
status_str |
publishedVersion |
dc.identifier.uri.fl_str_mv |
http://hdl.handle.net/10071/12896 |
url |
http://hdl.handle.net/10071/12896 |
dc.language.iso.fl_str_mv |
eng |
language |
eng |
dc.relation.none.fl_str_mv |
0275-5319 10.1016/j.ribaf.2016.07.005 |
dc.rights.driver.fl_str_mv |
info:eu-repo/semantics/embargoedAccess |
eu_rights_str_mv |
embargoedAccess |
dc.format.none.fl_str_mv |
application/pdf |
dc.publisher.none.fl_str_mv |
Elsevier Science BV |
publisher.none.fl_str_mv |
Elsevier Science BV |
dc.source.none.fl_str_mv |
reponame:Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos) instname:Agência para a Sociedade do Conhecimento (UMIC) - FCT - Sociedade da Informação instacron:RCAAP |
instname_str |
Agência para a Sociedade do Conhecimento (UMIC) - FCT - Sociedade da Informação |
instacron_str |
RCAAP |
institution |
RCAAP |
reponame_str |
Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos) |
collection |
Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos) |
repository.name.fl_str_mv |
Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos) - Agência para a Sociedade do Conhecimento (UMIC) - FCT - Sociedade da Informação |
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1799134864481452032 |