English (United Kingdom)

https://curated-unify.zendy.io/wp-json/zendy-region/v1/featured_content/oa?rat=en

https://curated-unify.zendy.io/wp-json/zendy-region/v1/highlighted_journal/

Global: Zendy Plus annual

Presents the access of premium content as premium feature

Premium Content

Presents the keyphrase highlighting as premium feature

Keyphrase Highlighting

Presents the summarisation as premium feature

Summarisation

Insights

Presents the pdf analysis as premium feature

PDF Analysis

Presents the zaia usage as premium feature

ZAIA

Global: Zendy Tools annual

Global: Zendy Free Plan

Global: Zendy Tools monthly

Global: Zendy Plus monthly

We explore the credit and interest rate channel of monetary policy transmission in India in the presence of financial interconnectedness. Accordingly, we construct several high-level measures of such interconnectedness relating to credit exposure and funding dependence, between banks and shadow banks. The findings suggest that interconnectedness impacts lending and has a much more significant impact on lending rates. In addition, there is a differential impact across bank ownership and relatedly, the impact differs during periods of monetary expansion versus contraction. In addition, we find that asset risk and funding cost are the two important channels through which interconnectedness affects transmission.

Does financial interconnectedness affect monetary transmission? Evidence from India