DSF Policy Paper No. 12
22 Pages Posted: 27 Apr 2011
Date Written: April 27, 2011
The financial crisis had a major impact on the banking landscape. As troubled banks were rescued by their home country, the question arises what happened to cross-border banking. Our findings indicate that cross-border banking remains strong within Europe; the Single Market in Banking is still in place. While aggregate figures indicate constant high levels of cross-border penetration within Europe, some individual banking markets have witnessed a major shift. With the demise of Fortis, cross-border penetration from EU countries fell back to 7 percent in the Netherlands. By contrast, cross-border penetration rose to 54 percent in Belgium. More broadly, American banks also kept their international orientation, while Asian-Pacific banks became even more domestically oriented.
Keywords: European banking, cross-border, competition, financial supervision, financial stability
JEL Classification: G21, G28
Suggested Citation: Suggested Citation
Schoenmaker, Dirk, The European Banking Landscape After the Crisis (April 27, 2011). DSF Policy Paper No. 12. Available at SSRN: https://ssrn.com/abstract=1824307 or http://dx.doi.org/10.2139/ssrn.1824307