Willie Nakunyada–“Termination of Correspondent Banking Relationships (CBRs) In Zimbabwe: Trends, and Implications” – PhD Seminar

Abstract:

Following the global financial crisis of 2008, correspondent banking relationships (CBRs) which facilitate the settlement of domestic and cross-border payments, have been terminated in several developing countries mostly in Africa, and the Caribbean. The closure of correspondent accounts is attributed to pressures on global banks to rationalize their business and re-evaluate their risk exposures and viability prospects. This study will use a combination of survey, single regression models, and panel regressions to analyze the drivers of CBRs, as well as its impact on bank credit and remittances in Zimbabwe over the period 2008-2018.