Financial & Actuarial Series Seminar: Monetary policy and bank lending behavior: The role of wealth management products


10:00 AM - 11:00 AM



  • 时间: 10:00-11:00AM
  • 日期: 2023年12月19日,星期二
  • 地点: MB441
  • 主讲人:Prof. Sushanta Mallick, Queen Mary University of London
  • 主持人:Dr. Lu Zong


This paper studies the bank risk-taking behavior in response to changes in monetary policy. We use loan transactions data from China to ascertain banks’ lending decisions in terms of whether they lend more to riskier firms when reserve requirements are loosened or tightened. We find that banks issue more loans to riskier firms when reserve requirements are lowered. We add to this debate by studying whether bank funding structure makes a difference to their lending decisions. We find that banks with higher capital and banks that use Wealth Management Products (WMPs) excessively, engage more in risky lending following monetary loosening, as WMPs always cost more than deposit funding. These results are robust using a difference-in-differences analysis, variables for intensive and extensive margins and an alternative variable for bank risk taking.


Sushanta Mallick is a Professor of International Finance at the School of Business and Management, Queen Mary University of London, UK. Also, since January 2015, he has been the Co-editor-in-Chief of ‘Economic Modelling’ – a leading 39-year-old scholarly journal. He also acts as a co-editor of  ‘Economic Analysis and Policy’ (a 53-year-old journal of ‘the Economic Society of Australia’). He holds a PhD in economics from the University of Warwick, UK. He has published over 100 peer-reviewed articles in leading journals, focused on issues in the areas of international economics, banking & finance, and innovation & development. As per IDEAS/RePEc ranking, he is among the top 5% economists. His work has been published in journals such as: British Journal of Management, Research Policy, Economic Theory, European Journal of Operational Research, Journal of Corporate Finance, Journal of Economic Behavior & Organization, Industrial Relations, British Journal of Industrial Relations, Journal of Banking & Finance, Oxford Bulletin of Economics & Statistics, IMF Economic Review, Cambridge Journal of Economics, Journal of International Money and Finance, World Development, and many others. A list of his published research can be found here: