Corporate Governance by Banks in Transition Economies

1. Front Matter

   Pages I-XVII

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2. Introduction

   1. Introduction

      • Arnold Holle

      Pages 1-12

3. The Literature

   1. Capital as a Control Device

      • Arnold Holle

      Pages 13-70

   2. The Role of Banks in Transition Economies

      • Arnold Holle

      Pages 71-113

4. The Corporate Governance Challenge

   1. The Budget Constraint in Transition Economies

      • Arnold Holle

      Pages 114-139

   2. The Framework for Hardening the Budget Constraint and Corporate Governance

      • Arnold Holle

      Pages 140-180

5. The Survey

   1. Survey Results on Bankruptcy and its Alternatives

      • Arnold Holle

      Pages 181-215

   2. Survey Results on Banks and Corporate Governance

      • Arnold Holle

      Pages 216-237

   3. Policy Implications of the Polish Enterprise and Bank Restructuring Program

      • Arnold Holle

      Pages 238-246

6. Back Matter

   Pages 247-274

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In developed economies a consensus has evolved that banks should lend money to enterprises, not own them. Emerging economies face a different set of challenges which force us to reconsider the bank-enterprise relationship. In theory banks should play a key role in corporate governance. As a consequence, decision-makers in transition economies chose to emulate the German and Japanese models of bank-enterprise relationships. The empirical study presented here looks in detail at the Polish Enterprise and Bank Restructuring Program, which places banks center-stage. The Polish experience shows the necessity of completely overhauling the bankruptcy laws and institutions at the outset of any restructuring program. Banks need to be privatized before they can effectively exert corporate governance.

• Corporate Governance
• Governance
• Information
• Wirtschaftswissenschaft
• transition

Dr. Arnold Holle promovierte bei Prof. Dr. Paul Bernd Spahn an der Johann Wolfgang Goethe-Universität, Frankfurt/Main. Er ist Investment Manager bei Baring Central European Investments, London.

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