The various facets of financial intermediation form the backbone of our financial system and our economy, from traditional maturity transformation activities to securitization and shadow banking. The recent banking crisis highlights instances of financial intermediation failures with widespread systemic effects.
Our challenge is to better understand the nature of risk and adopt policies that match the fast-evolving financial sector.
The Centre for Banking, Institutions and Development (CBID) is involved in a range of on-going research projects examining emerging issues in bank and non-bank financial intermediation from macro- as well as micro-prudential perspectives. We engage with commercial and investment banks and policy makers who have an active interest in our research projects and are also beneficiaries of our research.
Our research, while influencing practice, aims to understand the dynamics of money and banking. Some of our current areas of research include banking efficiency measurement, bank crash risk, systemic risk, liquidity management, and credit information sharing, among others. The centre also has an active interest in studying banking frictions in credit supply and demand, and investigating broader issues in financial sector development, financial inclusion and microfinance.