• An Imbalance in Global Banks' Dollar Funding

    8 days ago - By iMF Direct

    By John Caparusso , Yingyuan Chen , Hideo Hashimoto , David Jones , Will Kerry and Aki Yokoyama
    June 12, 2018
    The US Treasury is issuing more T-bills, potentially putting upward pressure on the interest rates non-US banks must pay for short-term dollar funding
    For companies and investors outside the United States, the dollar is often the currency of choice. Surprisingly, though, US banks play only a limited role in lending dollars to international borrowers. Most of the $7 trillion in banks' dollar lending outside the United States is handled by banks based in Europe, Japan and...
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