IMF Working Papers

Financial Linkages Across Korean Banks

By Burcu Aydin, Myeongsuk Kim, Ho-Seong Moon

August 1, 2011

Download PDF

Preview Citation

Format: Chicago

Burcu Aydin, Myeongsuk Kim, and Ho-Seong Moon. Financial Linkages Across Korean Banks, (USA: International Monetary Fund, 2011) accessed November 21, 2024
Disclaimer: This Working Paper should not be reported as representing the views of the IMF.The views expressed in this Working Paper are those of the author(s) and do not necessarily represent those of the IMF or IMF policy. Working Papers describe research in progress by the author(s) and are published to elicit comments and to further debate

Summary

This paper assesses the interconnectedness across Korean banks using three alternative methodologies. Two methodologies utilize high frequency financial data while the third uses bank balance sheet data to assess banks' bilateral exposures, systemically vulnerable banks, and systemically risky banks. The analysis concludes that while Korean banks are interconnected, both the financial risk and contagion risk from such interconnectedness have declined significantly in the aftermath of the global financial crisis.

Subject: Asset and liability management, Asset valuation, Banking, Capital adequacy requirements, Commercial banks, Credit, Credit default swap, Financial crises, Financial institutions, Global financial crisis of 2008-2009, Money

Keywords: Asset valuation, Bank assets, Bank default, Bank liability, Banking system, Capitalization data, Commercial banks, Covariance analysis, Credit, Credit default swap, Default probability, Defaulting bank, Financial Stability, Global, Global financial crisis of 2008-2009, Korean bank, Network approach, Portfolio risk, WP

Publication Details

  • Pages:

    31

  • Volume:

    ---

  • DOI:

    ---

  • Issue:

    ---

  • Series:

    Working Paper No. 2011/201

  • Stock No:

    WPIEA2011201

  • ISBN:

    9781462303229

  • ISSN:

    1018-5941

You May Also Be Interested In...

Guidance Note On The Financing Assurances And Sovereign Arrears Policies And The Fund's Role In Debt Restructurings

November 18, 2024

Colombia: Technical Assistance Report-Report on the Mineral Asset Accounts and Carbon Footprints Mission (May 20–24, 2024)

November 8, 2024

Implementing Board-Endorsed Recommendations From The 2024 External Evaluation Of The Fund’s Independent Evaluation Office (IEO)

November 7, 2024

The Federal Democratic Republic of Ethiopia: First Review Under the Extended Credit Facility Arrangement, Request for Modification of Performance Criteria, and Financing Assurances Review-Press Release; Staff Report; and Statement by the Executive Director for The Federal Democratic Republic of Ethiopia

November 4, 2024