In recent years, foreign bank participation has increased tremendously in several developing countries. For example, in Argentina, Chile, Czech Republic, Hungary, and Poland, over fifty percent of total banking assets are now in foreign-controlled banks. In regions outside from Latin America and Eastern Europe progress has been slower, but the trend is the same.
Though the number of countries embracing foreign bank entry is growing, many questions regarding this process are still being debated, including: what draws foreign banks to a country? Which banks expand abroad? What do foreign banks do once they arrive and how do mode of entry and organizational form affect foreign bank behavior? A number of papers recently produced by DECRG staff in collaboration with others has focused on some of these questions.
For more information see the papers listed in the library of documents below.
Policy Research Working Papers
For more policy research working papers from the World Bank's institutional archives, search here using author’s last name, title or working paper number (“wpsxxxx”).
|WPS5398||Foreign bank participation in developing countries : what do we know about the drivers and consequences of this phenomenon?||Cull, Robert; Martinez Peria, Maria Soledad||2010/08|
|WPS4467||Foreign bank acquisitions and outreach : evidence from Mexico||Beck, Thorsten; Martinez Peria, Maria Soledad||2008/01|
|WPS4128||Foreign bank participation and crises in developing countries||Cull, Robert; Martinez Peria, Maria Soledad||2007/02|
|WPS3862||Bank ownership type and banking relationships||Berger, Allen N.; Klapper, Leora F.; Martinez Peria, Maria Soledad; Zaidi, Rida||2006/03|
|WPS3753||How banks go abroad : branches or subsidiaries ?||Cerutti, Eugenio; Dell'Ariccia, Giovanni; Martinez Peria, Maria Soledad||2005/10|
|WPS3755||The mix of international banks' foreign claims : determinants and implications||Herrero, Alicia Garcia; Martinez Peria, Maria Soledad||2005/10|
|WPS3632||Corporate governance and bank performance : a joint analysis of the static, selection, and dynamic effects of domestic, foreign, and state ownership||Berger, Allen N.; Clarke, George R. G.; Cull, Robert; Klapper, Leora; Udell, Gregory F.||2005/06|
|WPS2893||Banking on foreigners : the behavior of international Bank lending to Latin America, 1985-2000||Martinez Peria, Maria Soledad; Powell, Andrew; Hollar, Ivanna Vladkova||2002/09|
|WPS2760||Bank lending to small businesses in Latin America : does Bank origin matter?||Clarke, George R. G.; Cull, Robert; Martinez Peria, Maria Soledad; Sanchez, Susana M.||2002/01|
|WPS2716||Does foreign bank penetration reduce access to credit in developing countries " evidence from asking borrowers||Clarke, George R. G.; Cull, Robert; Martinez Peria, Maria Soledad||2001/11|
|WPS2698||Foreign bank entry - experience, implications for developing countries, and agenda for further research||Clarke, George; Cull, Robert; Martinez Peria, Maria Soledad; Sanchez, Susana M.||2001/10|