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it`s not about
it`s not about

... to lower oil and commodity prices; the slowdown in regional trading partners; instances of political instability; and water and electricity shortages, although Kenya (home to I&M Group, a 50% shareholder in Bank One) was one of the few economies to show resilience against these headwinds. In Mauriti ...
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... estimates in our regressions, but because the flows are smaller, the overall impact is more muted. For example, had foreign official flows been zero over the last twelve months, long rates would currently be 60 basis points higher.5 Our results are robust to many alternative specifications. In robu ...
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... regresses the ex post inflation rate on the ex ante interest rate. On hindsight, this is the obvious way to run the forecasting regression, but again it wasn’t obvious at the time. There is a potential measurement error problem in the regression of the ex post inflation rate on the ex ante (T-bill) ...
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... specification that attempts to address this problem and provide a more robust test of the “expected bankruptcy costs” hypothesis. We estimate long run target capital ratios for US banks, using a dynamic panel specification, and include these in an extended version of Berger (1995) in order to separa ...
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Interbank lending market

The interbank lending market is a market in which banks extend loans to one another for a specified term. Most interbank loans are for maturities of one week or less, the majority being overnight. Such loans are made at the interbank rate (also called the overnight rate if the term of the loan is overnight). Low transaction volume in this market was a major contributing factor to the financial crisis of 2007.Banks are required to hold an adequate amount of liquid assets, such as cash, to manage any potential bank runs by clients. If a bank cannot meet these liquidity requirements, it will need to borrow money in the interbank market to cover the shortfall. Some banks, on the other hand, have excess liquid assets above and beyond the liquidity requirements. These banks will lend money in the interbank market, receiving interest on the assets.The interbank rate is the rate of interest charged on short-term loans between banks. Banks borrow and lend money in the interbank lending market in order to manage liquidity and satisfy regulations such as reserve requirements. The interest rate charged depends on the availability of money in the market, on prevailing rates and on the specific terms of the contract, such as term length. There is a wide range of published interbank rates, including the federal funds rate (USA), the LIBOR (UK) and the Euribor (Eurozone).
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