The effect of bank capital on lending is a critical determinant of the linkage between financial conditions and real activity, and has received especial attenti

This paper studies the transmission of bank capital shocks to loan supply in Indonesia. A series of theoretically founded dynamic panel data models are estimate

"The effect of bank capital on lending is a critical determinant of the linkage between financial conditions and real activity, and has received especial attent

Following the COVID shock, supervisors encouraged banks to use capital buffers to support the recovery. However, banks have been reluctant to do so. Provided th