SNS/SHOF Finance panel: What can be done when bank lending is constrained?

During the second half of 2009, during the global financial crisis, Sweden experienced a credit crunch. Companies with good projects couldn’t get loans since banks were lacking capital and/or liquidity.

The Ministry of Finance then introduced a lending facility, which made it possible for Swedish companies to withhold payment of taxes and employer contributions. They had to pay interest on this credit.

Researcher and economist, Gustav Martinsson, has analyzed how this possibility was utilized during the financial crisis. At the seminar experiences from Sweden will be compared with those in England and the USA. The presented findings pave the way for new methods of creating lending during a financial crisis.

The introductory speech will be followed by comments from Karolina Ekholm.
The Finanspanel is the meeting forum for the financial sector by SNS and the finance research institute the Swedish House of Finance.

Contributors:
Gustav Martinsson, Researcher, the Swedish House of Finance and the Royal Institute of Technology
Karolina Ekholm, State Secretary, the Ministry of Finance

Pehr Wissén, Swedish House of Finance and SNS, will be moderating the discussion