Quantifying Financing Needs in the Belt and Road Countries and Industries

HKIMR Working Paper No. 13/2017

81 Pages Posted: 5 Jul 2017

See all articles by Hongyi Chen

Hongyi Chen

Hong Kong Monetary Authority - Hong Kong Institute for Monetary Research (HKIMR)

Tianjiao Jiang

Hang Seng Bank

Chen Lin

The University of Hong Kong - Faculty of Business and Economics

Date Written: June 30, 2017

Abstract

This paper tries to quantify the financing needs in the Belt and Road countries and industries by using firm-level data from 2009 to 2014. By examining financial constraints of firms in the Belt and Road countries, this study constructs a Financing Needs Index for Belt and Road countries and highlights the characteristics of financing needs across 36 countries, 80 industries and 6 years. By further incorporating information from World Bank Enterprise Surveys, this paper builds an Augmented Financing Needs Index for 56 Belt and Road countries. The findings of this paper show that countries can achieve higher economic growth by further financial liberalization, improving business climate and institutional quality to address the financing needs of their indigenous firms.

Keywords: China, Belt and Road Initiative, Financing Needs

JEL Classification: F34, H63, H83

Suggested Citation

Chen, Hongyi and Jiang, Tianjiao and Lin, Chen, Quantifying Financing Needs in the Belt and Road Countries and Industries (June 30, 2017). HKIMR Working Paper No. 13/2017. Available at SSRN: https://ssrn.com/abstract=2996298 or http://dx.doi.org/10.2139/ssrn.2996298

Hongyi Chen (Contact Author)

Hong Kong Monetary Authority - Hong Kong Institute for Monetary Research (HKIMR) ( email )

3 Garden Road, 8th Floor
Hong Kong
China

Tianjiao Jiang

Hang Seng Bank ( email )

Chen Lin

The University of Hong Kong - Faculty of Business and Economics ( email )

Pokfulam Road
Hong Kong
China

Register to save articles to
your library

Register

Paper statistics

Downloads
84
Abstract Views
410
rank
301,247
PlumX Metrics