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Review article

IMPACT OF FINANCIAL CRISIS ON BANKING SECTOR STABILITY IN REPUBLIC CROATIA

Igor Živko orcid id orcid.org/0000-0001-6603-3110 ; Faculty of Economics, University of Mostar, Bosnia and Herzegovina
Tomislav Kandžija ; Primorje-Gorski kotar County, Croatia


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Abstract

In a financial system with a dominant banking sector, banks are the most important channel for fi nancing needs of the economy. Banks have an important role in the process of fi nancial intermediation. In financial crises, credit activities of banks decline, and this has an impact on the availability of resources for fi nancing the economy. Characteristics of the banking sector in Croatia are determined by the process of political and economic transition. Authors analyze the effect of the financial crisis on the stability of the banking sector through a series of indicators of the banking sector: the number of banks, banking
intermediation, concentration, foreign ownership, liquidity. The aim of the paper is to analyze financial stability of the banking sector before, during and aft er the fi nancial crisis and the correlation between banking credit activities and economic growth.

Keywords

banking sector; financial stability; GDP; financial crisis; Croatia

Hrčak ID:

106143

URI

https://hrcak.srce.hr/106143

Publication date:

30.6.2013.

Article data in other languages: croatian

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