Welcome Remarks Claudia Buch (Deutsche Bundesbank) Linda Goldberg (Federal Reserve Bank of New York) IBRN – JIMF Conference Paris June 30, 2017 The views are those of the authors and not necessarily reflective of those of the Bundesbank, Banque de France, the Bank of England, the Federal Reserve Bank of NY, or the Federal Reserve System.

The International Banking Research Network (IBRN) Internationally active banks have been key contributors to the global financial crisis – and the subsequent recovery. Yet, there is little consistent evidence across countries on the drivers and effects of global banking. Founded in 2012, the International Banking Research Network brings together central bank researchers from 28 institutions to analyze issues pertaining to global banks. Empirical approach of the network: Analyze (confidential) bank-level datasets and share results Identify relevant heterogeneities across countries and banks Use common methodology Perform meta-analyses 2

The IBRN involves central banks, the BIS, the IMF, and the ECB. Reserve Bank of Australia  Central Bank of India Banka Slovenije  Oesterreichische Nationalbank  Central Bank of Ireland Banco de España  Banco Central do Brasil  Banca D'Italia Sveriges Riksbank  Bank of Canada  Bank of Japan Swiss National Bank  Central Bank of Chile  Bank of Korea Central Bank of the Republic of Turkey  Banque de France  Banco de México Bank of England  Deutsche Bundesbank  De Nederlandsche Bank United States Federal Reserve  European Central Bank  National Bank of Poland Bank for International Settlements  European Systemic Risk Board  Banco de Portugal International Monetary Fund  Hong Kong Monetary Authority  Central Bank of Russia 3

Topics of previous IBRN projects International Banking and Liquidity Risk Transmission: Lessons from across Countries Cross-Border Prudential Policy Spillovers: How Much? How Important? 4

This IBRN project contributes to the international debate on monetary policy spillovers. Cross-border monetary policy spillovers figure prominently in policy debates G20, BIS and OECD meetings, IMF WEO and GFSR IMF-IBRN conference in April 2017 There is a large academic literature focusing on various aspects: Global liquidity drivers, international capital flows, reaction of asset prices, exchange rates, bank lending, macro variables, policy autonomy and international trilemma. This IBRN project focuses on the reaction of lending of banks to monetary policy decisions in advanced economies. It exploits heterogeneity across banks, countries, monetary policy regimes. Transmission: Inward of foreign MP, outward of own MP Differences across conventional and unconventional policies 5

Efforts are coordinated across international institutions and central banks. Unique bank-level datasets of 17 country teams are used for performing similar tests of international policy spillovers. Used for a meta-analysis by Buch, Bussiere, Goldberg and Hills. Joint topical papers are written by country teams, as spillovers might differ e.g. for small open economies, international financial centers, home countries of large global banks, and so on. International organizations provided cross-country perspectives, within the euro area (ECB) and on which country policies are more prominent in transmission (BIS). IBRN builds on two unique comparative advantages: 1/ Having bank-level datasets provides the means to identify channels „identification through heterogeneity“, which I will explain later on. 2/ Although there are already several case studies, this project is to our knowledge the only one that shows consistent results for so many countries. It is a good way to check that results are robust and no country-specific. Also, we find that exchanging experiences across country teams is very helpful. 6