Bethlendi András — Mérő Katalin

Shadow banking in Hungary

In this article we analyze the Hungarian shadow banking system. We point out that the Hungarian shadow banking system is not only much less developed than that of the EU's developed countries, but also structurally different. The domestic financial system has not followed the structural changes that have taken place in developed countries over the last two decades. A further specific feature of the Hungarian system is what we call the secondary shadow banking system, through which foreign market-based funds - shadow banking funds - do not finance the domestic banking system directly, but through foreign interbank funds and related derivative instruments. The aim of our analysis is to explore the reasons for these specificities, to analyze the risks that the domestic shadow banking system entails and to highlight some of the implications of these specificities and risks for the further development of the financial sector.

LXX. évf., 2023. September (1001 - 1020. O.), DOI:10.18414/KSZ.2023.9.1001, Study

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