Low rates have small effect on bank profitability – researchers

distressed-piggy

Low or falling interest rates have a small effect on banks’ profitability, researchers found in a study involving 10 central banks.

The researchers used confidential data from around 1,500 banks across the 10 countries between 2000 and 2019, a period when central banks lowered interest rates to reduce the risk of deflation.

The study, organised by the International Banking Research Network (IBRN), involves the central banks of Canada, Switzerland, Norway, Australia, the Czech Republic, France

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact info@centralbanking.com or view our subscription options here: http://subscriptions.centralbanking.com/subscribe

You are currently unable to copy this content. Please contact info@centralbanking.com to find out more.

Sorry, our subscription options are not loading right now

Please try again later. Get in touch with our customer services team if this issue persists.

New to Central Banking? View our subscription options

Register for Central Banking

All fields are mandatory unless otherwise highlighted

This address will be used to create your account

You need to sign in to use this feature. If you don’t have a Central Banking account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account

.