An Analysis of the 2002 Uruguayan Banking Crisis
The authors review the series of events that led to the 2002 Uruguayan banking crisis, assess the current status of the Uruguayan banking sector, and analyze the policy responses undertaken by the Uruguayan authorities to counteract the crisis. The main conclusion from their analysis is that althoug...
| Main Authors: | , |
|---|---|
| Format: | Policy Research Working Paper |
| Language: | English |
| Published: |
World Bank, Washington, DC
2012
|
| Subjects: | |
| Online Access: | http://documents.worldbank.org/curated/en/2005/12/6442820/analysis-2002-uruguayan-banking-crisis http://hdl.handle.net/10986/8580 |
| id |
okr-10986-8580 |
|---|---|
| recordtype |
oai_dc |
| spelling |
okr-10986-85802021-04-23T14:02:43Z An Analysis of the 2002 Uruguayan Banking Crisis de la Plaza, Luis Sirtaine, Sophie ACCOUNTING ASSET MANAGEMENT ASSET RECOVERY ASSETS BALANCE SHEET BALANCE SHEETS BANK DEPOSITS BANK RESTRUCTURING BANK SUPERVISION BANKING CONTRACTS BANKING CRISIS BANKING LAW BANKING SECTOR BANKING SYSTEM BENCHMARK BONDS BOOK VALUE CAPITAL ADEQUACY CAPITAL CONTROLS CDS CENTRAL BANK COMPETITIVENESS CONSOLIDATED SUPERVISION CONSOLIDATION CONTAGION CORPORATE GOVERNANCE COUNTRY RISK CREDIT RISK CREDIT RISK MANAGEMENT CURRENCY MISMATCH CURRENCY RISK DEBT CRISES DEBT RESTRUCTURING DEBT SERVICING DEFICITS DEPOSIT FREEZES DEPOSITORS DEPOSITS DEVALUATION DOLLAR DEPOSITS DOMESTIC BANKING SECTOR DOMESTIC FINANCIAL INSTITUTIONS ECONOMIC GROWTH ECONOMIC SECTORS EXCHANGE RATE EXCHANGE RATE FLEXIBILITY EXTERNAL DEBT EXTERNAL SHOCKS FINANCIAL CRISES FINANCIAL CRISIS FINANCIAL GROUPS FINANCIAL INFORMATION FINANCIAL INSTITUTIONS FINANCIAL SECTOR FINANCIAL SUPPORT FOREIGN BANKS FOREIGN CURRENCY FOREIGN CURRENCY DEPOSITS FOREIGN DEBT FOREIGN EXCHANGE FOREIGN EXCHANGE RISK FOREIGN BANKS FRAUD GDP GOVERNMENT DEBT HOUSING INSURANCE INTERNATIONAL BANKS INTERNATIONAL RESERVES INVESTMENT BANKS LATIN AMERICAN LEGISLATION LEGISLATIVE FRAMEWORK LENDING PRACTICES LIQUIDATION LIQUIDITY LIQUIDITY SUPPORT LOCAL CURRENCY MATURITIES MORTGAGE LENDING MORTGAGES NONPERFORMING LOANS OPERATING COSTS PRIVATE BANKS PRIVATE SECTOR PROFITABILITY PRUDENTIAL REGULATIONS PUBLIC DEBT RECESSION REGULATORY FRAMEWORK RESERVE REQUIREMENTS RETURN ON EQUITY RISK AVERSION RISK PREMIA SAVINGS SAVINGS DEPOSITS SAVINGS PLANS SECURITIES STABILIZATION SUPERVISORY FRAMEWORK TIME DEPOSITS TRADING TRANSPARENCY TRUST FUNDS VULNERABILITY WAGES The authors review the series of events that led to the 2002 Uruguayan banking crisis, assess the current status of the Uruguayan banking sector, and analyze the policy responses undertaken by the Uruguayan authorities to counteract the crisis. The main conclusion from their analysis is that although the immediate trigger for the crisis was caused by contagion resulting from Argentina's financial crisis, the spread and magnification of the crisis that engulfed the Uruguayan economy was amplified by certain weaknesses of the Uruguayan economy in general, and the domestic banking sector in particular. The authors also believe that the policy responses adopted by the Uruguayan authorities were mostly adequate, allowing Uruguay to successfully counteract simultaneous banking and public debt crises. Most important, the Uruguayan authorities were able to overcome a severe crisis while preserving the necessary trust in banking contracts, achieving a high level of social stability and political cohesion, and maintaining a fluid dialogue with multilateral financial institutions and all affected parties. The cooperative and consensual approach taken by the authorities created the necessary conditions to overcome some of the important obstacles to the recovery of the domestic banking sector. 2012-06-20T20:25:53Z 2012-06-20T20:25:53Z 2005-12 http://documents.worldbank.org/curated/en/2005/12/6442820/analysis-2002-uruguayan-banking-crisis http://hdl.handle.net/10986/8580 English Policy Research Working Paper; No. 3780 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank World Bank, Washington, DC Publications & Research :: Policy Research Working Paper Publications & Research Latin America & Caribbean Uruguay |
| repository_type |
Digital Repository |
| institution_category |
Foreign Institution |
| institution |
Digital Repositories |
| building |
World Bank Open Knowledge Repository |
| collection |
World Bank |
| language |
English |
| topic |
ACCOUNTING ASSET MANAGEMENT ASSET RECOVERY ASSETS BALANCE SHEET BALANCE SHEETS BANK DEPOSITS BANK RESTRUCTURING BANK SUPERVISION BANKING CONTRACTS BANKING CRISIS BANKING LAW BANKING SECTOR BANKING SYSTEM BENCHMARK BONDS BOOK VALUE CAPITAL ADEQUACY CAPITAL CONTROLS CDS CENTRAL BANK COMPETITIVENESS CONSOLIDATED SUPERVISION CONSOLIDATION CONTAGION CORPORATE GOVERNANCE COUNTRY RISK CREDIT RISK CREDIT RISK MANAGEMENT CURRENCY MISMATCH CURRENCY RISK DEBT CRISES DEBT RESTRUCTURING DEBT SERVICING DEFICITS DEPOSIT FREEZES DEPOSITORS DEPOSITS DEVALUATION DOLLAR DEPOSITS DOMESTIC BANKING SECTOR DOMESTIC FINANCIAL INSTITUTIONS ECONOMIC GROWTH ECONOMIC SECTORS EXCHANGE RATE EXCHANGE RATE FLEXIBILITY EXTERNAL DEBT EXTERNAL SHOCKS FINANCIAL CRISES FINANCIAL CRISIS FINANCIAL GROUPS FINANCIAL INFORMATION FINANCIAL INSTITUTIONS FINANCIAL SECTOR FINANCIAL SUPPORT FOREIGN BANKS FOREIGN CURRENCY FOREIGN CURRENCY DEPOSITS FOREIGN DEBT FOREIGN EXCHANGE FOREIGN EXCHANGE RISK FOREIGN BANKS FRAUD GDP GOVERNMENT DEBT HOUSING INSURANCE INTERNATIONAL BANKS INTERNATIONAL RESERVES INVESTMENT BANKS LATIN AMERICAN LEGISLATION LEGISLATIVE FRAMEWORK LENDING PRACTICES LIQUIDATION LIQUIDITY LIQUIDITY SUPPORT LOCAL CURRENCY MATURITIES MORTGAGE LENDING MORTGAGES NONPERFORMING LOANS OPERATING COSTS PRIVATE BANKS PRIVATE SECTOR PROFITABILITY PRUDENTIAL REGULATIONS PUBLIC DEBT RECESSION REGULATORY FRAMEWORK RESERVE REQUIREMENTS RETURN ON EQUITY RISK AVERSION RISK PREMIA SAVINGS SAVINGS DEPOSITS SAVINGS PLANS SECURITIES STABILIZATION SUPERVISORY FRAMEWORK TIME DEPOSITS TRADING TRANSPARENCY TRUST FUNDS VULNERABILITY WAGES |
| spellingShingle |
ACCOUNTING ASSET MANAGEMENT ASSET RECOVERY ASSETS BALANCE SHEET BALANCE SHEETS BANK DEPOSITS BANK RESTRUCTURING BANK SUPERVISION BANKING CONTRACTS BANKING CRISIS BANKING LAW BANKING SECTOR BANKING SYSTEM BENCHMARK BONDS BOOK VALUE CAPITAL ADEQUACY CAPITAL CONTROLS CDS CENTRAL BANK COMPETITIVENESS CONSOLIDATED SUPERVISION CONSOLIDATION CONTAGION CORPORATE GOVERNANCE COUNTRY RISK CREDIT RISK CREDIT RISK MANAGEMENT CURRENCY MISMATCH CURRENCY RISK DEBT CRISES DEBT RESTRUCTURING DEBT SERVICING DEFICITS DEPOSIT FREEZES DEPOSITORS DEPOSITS DEVALUATION DOLLAR DEPOSITS DOMESTIC BANKING SECTOR DOMESTIC FINANCIAL INSTITUTIONS ECONOMIC GROWTH ECONOMIC SECTORS EXCHANGE RATE EXCHANGE RATE FLEXIBILITY EXTERNAL DEBT EXTERNAL SHOCKS FINANCIAL CRISES FINANCIAL CRISIS FINANCIAL GROUPS FINANCIAL INFORMATION FINANCIAL INSTITUTIONS FINANCIAL SECTOR FINANCIAL SUPPORT FOREIGN BANKS FOREIGN CURRENCY FOREIGN CURRENCY DEPOSITS FOREIGN DEBT FOREIGN EXCHANGE FOREIGN EXCHANGE RISK FOREIGN BANKS FRAUD GDP GOVERNMENT DEBT HOUSING INSURANCE INTERNATIONAL BANKS INTERNATIONAL RESERVES INVESTMENT BANKS LATIN AMERICAN LEGISLATION LEGISLATIVE FRAMEWORK LENDING PRACTICES LIQUIDATION LIQUIDITY LIQUIDITY SUPPORT LOCAL CURRENCY MATURITIES MORTGAGE LENDING MORTGAGES NONPERFORMING LOANS OPERATING COSTS PRIVATE BANKS PRIVATE SECTOR PROFITABILITY PRUDENTIAL REGULATIONS PUBLIC DEBT RECESSION REGULATORY FRAMEWORK RESERVE REQUIREMENTS RETURN ON EQUITY RISK AVERSION RISK PREMIA SAVINGS SAVINGS DEPOSITS SAVINGS PLANS SECURITIES STABILIZATION SUPERVISORY FRAMEWORK TIME DEPOSITS TRADING TRANSPARENCY TRUST FUNDS VULNERABILITY WAGES de la Plaza, Luis Sirtaine, Sophie An Analysis of the 2002 Uruguayan Banking Crisis |
| geographic_facet |
Latin America & Caribbean Uruguay |
| relation |
Policy Research Working Paper; No. 3780 |
| description |
The authors review the series of events that led to the 2002 Uruguayan banking crisis, assess the current status of the Uruguayan banking sector, and analyze the policy responses undertaken by the Uruguayan authorities to counteract the crisis. The main conclusion from their analysis is that although the immediate trigger for the crisis was caused by contagion resulting from Argentina's financial crisis, the spread and magnification of the crisis that engulfed the Uruguayan economy was amplified by certain weaknesses of the Uruguayan economy in general, and the domestic banking sector in particular. The authors also believe that the policy responses adopted by the Uruguayan authorities were mostly adequate, allowing Uruguay to successfully counteract simultaneous banking and public debt crises. Most important, the Uruguayan authorities were able to overcome a severe crisis while preserving the necessary trust in banking contracts, achieving a high level of social stability and political cohesion, and maintaining a fluid dialogue with multilateral financial institutions and all affected parties. The cooperative and consensual approach taken by the authorities created the necessary conditions to overcome some of the important obstacles to the recovery of the domestic banking sector. |
| format |
Publications & Research :: Policy Research Working Paper |
| author |
de la Plaza, Luis Sirtaine, Sophie |
| author_facet |
de la Plaza, Luis Sirtaine, Sophie |
| author_sort |
de la Plaza, Luis |
| title |
An Analysis of the 2002 Uruguayan Banking Crisis |
| title_short |
An Analysis of the 2002 Uruguayan Banking Crisis |
| title_full |
An Analysis of the 2002 Uruguayan Banking Crisis |
| title_fullStr |
An Analysis of the 2002 Uruguayan Banking Crisis |
| title_full_unstemmed |
An Analysis of the 2002 Uruguayan Banking Crisis |
| title_sort |
analysis of the 2002 uruguayan banking crisis |
| publisher |
World Bank, Washington, DC |
| publishDate |
2012 |
| url |
http://documents.worldbank.org/curated/en/2005/12/6442820/analysis-2002-uruguayan-banking-crisis http://hdl.handle.net/10986/8580 |
| _version_ |
1764408039317700608 |