Uncertainty in banking and debt financing of firms in Vietnam DOI Creative Commons
Japan Huynh, Thi Minh Hue Phan

PLoS ONE, Journal Year: 2024, Volume and Issue: 19(7), P. e0305724 - e0305724

Published: July 15, 2024

This study explores the effects of banking uncertainty on firms' debt financing. Employing data from 2007 to 2022 Vietnam-a bank-based economy, we document that negatively impacts corporate debt. The impact firmly holds across various maturities and sources, with most predominant driver witnessed in bank We also investigate potential underlying mechanism linking financing, thereby validating working three crucial channels, including increased costs debt, substitution trade credit, contractions firm investment. Furthermore, conducting extended analysis, find financing exhibits more pronounced reactions for firms closer ties banks or during macroeconomic shocks, as captured by financial crisis COVID-19 pandemic. Our findings survive after robustness checks alternative measurement, static dynamic econometric models, endogeneity controls.

Language: Английский

Digital transformation under the pressure of uncertainty in the banking sector DOI
Japan Huynh

Economic Analysis and Policy, Journal Year: 2025, Volume and Issue: unknown

Published: March 1, 2025

Language: Английский

Citations

0

Digital transformation and the bank lending channel DOI
Japan Huynh

China Finance Review International, Journal Year: 2025, Volume and Issue: unknown

Published: May 2, 2025

Purpose This paper examines how digital transformation influences the relationship between monetary policy and bank lending. Design/methodology/approach The research draws on data from Vietnamese commercial banks 2007 to 2023 empirically investigate lending channel. To overcome shortcomings of current measures transformation, study employs a government-issued index, which integrates various aspects digitalization. Alongside utilizing fixed-effects estimator for primary analysis, tackles potential endogeneity concerns by employing two-step system generalized method moments (GMM) as well two-stage least squares (2SLS) technique. Findings findings indicate that reduces effect loan growth. Accordingly, are more advanced in their efforts less responsive changes. pattern is consistent across both rate-based quantitative-based policies remains robust after many checks, including those addressing endogeneity. Additionally, heterogeneity analysis reveals further insights: stronger banks—such larger banks, low-risk state-owned institutions—experience pronounced weakening channel due compared weaker banks. Originality/value first explore within affects interaction In doing so, it adds new insights literature transmission deepens our understanding broader effects transformation.

Language: Английский

Citations

0

Uncertainty in banking and debt financing of firms in Vietnam DOI Creative Commons
Japan Huynh, Thi Minh Hue Phan

PLoS ONE, Journal Year: 2024, Volume and Issue: 19(7), P. e0305724 - e0305724

Published: July 15, 2024

This study explores the effects of banking uncertainty on firms' debt financing. Employing data from 2007 to 2022 Vietnam-a bank-based economy, we document that negatively impacts corporate debt. The impact firmly holds across various maturities and sources, with most predominant driver witnessed in bank We also investigate potential underlying mechanism linking financing, thereby validating working three crucial channels, including increased costs debt, substitution trade credit, contractions firm investment. Furthermore, conducting extended analysis, find financing exhibits more pronounced reactions for firms closer ties banks or during macroeconomic shocks, as captured by financial crisis COVID-19 pandemic. Our findings survive after robustness checks alternative measurement, static dynamic econometric models, endogeneity controls.

Language: Английский

Citations

0