Chauffour, Jean-PierreMalouche, Mariem2012-08-132012-08-132011-09-01https://hdl.handle.net/10986/10077Trade finance matters for trade, and when financial markets and world trade collapsed three years ago, a shortage in trade finance was hailed as a possible culprit. Because of the potential for global repercussions, world leaders called on the international community to act swiftly to avoid a depression. Governments and international institutions intervened to mitigate the impacts of the crisis. Then the economy bounced back, and trade picked up. But what did we learn from the crisis? In retrospect, what role did trade finance actually play? Did the freeze in the financial markets cause the unprecedented drop in global trade in 2008-9? This note presents evidence on the role of trade finance during 2008-9 and highlights a few takeaways on the data and knowledge gap of trade finance and government interventions during financial crises.CC BY 3.0 IGOADVERSE EFFECTSAFFORDABLE COSTBANK INTERMEDIATIONBANKING REGULATIONSBANKING SUPERVISIONBANKING SYSTEMBANKING SYSTEMSBANKSCAPITAL BASECAPITAL REQUIREMENTSCASH DEPOSITSCASH FLOWCASH RESERVESCENTRAL BANKSCHAMBER OF COMMERCECOLLATERALCOLLECTIVE ACTIONSCOMMERCIAL BANKSCOMMODITIESCOMMODITYCOMMODITY EXPORTSCOMMODITY PRICESCOST OF FUNDSCOUNTRY MARKETSCREDIT AGENCIESCREDIT AVAILABILITYCREDIT LINESCREDITWORTHINESSCUSTOMER RELATIONSCUSTOMER RELATIONSHIPSDEFAULT RISKDEVELOPED COUNTRIESDEVELOPING COUNTRIESDEVELOPMENT BANKDEVELOPMENT BANKSDIRECT FINANCINGDOMESTIC ECONOMIESECONOMIC INTEGRATIONECONOMIC POLICYELIGIBILITY CRITERIAEMERGING ECONOMIESEMERGING MARKETSENFORCEMENT SYSTEMSEXPORT CREDITEXPORT CREDIT INSURANCEEXPORT FINANCEEXPORT MARKETSEXPORTEREXPORTERSEXPOSURESFINANCE CONSTRAINTSFINANCE CORPORATIONFINANCE INITIATIVEFINANCIAL CRISESFINANCIAL CRISISFINANCIAL INSTITUTIONSFINANCIAL INTERMEDIARIESFINANCIAL MARKETSFINANCIAL MEANSFINANCIAL RESOURCESFINANCIAL RISKSFINANCIAL SECTORFINANCIAL SERVICESFINANCIAL SYSTEMFINANCIAL SYSTEMSFOREIGN CURRENCYFOREIGN EXCHANGEFOREIGN EXCHANGE RESERVESFORMS OF CREDITGLOBAL ECONOMYGLOBAL TRADEGOVERNMENT ACTIONSGOVERNMENT INTERVENTIONGOVERNMENT INTERVENTIONSHOME COUNTRYINCOMEINCOME LEVELSINSURANCEINTERNATIONAL BANKINGINTERNATIONAL FINANCEINTERNATIONAL FINANCIAL INSTITUTIONSINTERNATIONAL TRADEINVESTMENT FINANCEINVESTMENT FUNDSLACK OF ACCESSLACK OF FINANCELETTERS OF CREDITLIQUIDITYLIQUIDITY CRISISLOANLOCAL BANKSLOCAL CURRENCYLOW-INCOME COUNTRIESMARKET FAILUREMARKET SHAREMARKET SHARESMATURITYMIDDLE-INCOME COUNTRIESMISSING MARKETSMONETARY FUNDMORAL HAZARDMULTINATIONALNEW ENTRANTSOUTPUTPORTFOLIOPORTFOLIO EXPOSUREPORTFOLIOSPRICE VOLATILITYPRIVATE BANKSPRUDENTIAL REQUIREMENTSREAL SECTORRECESSIONREGIONAL DEVELOPMENT BANKSREGIONAL TRADEREGULATORSRISK AVERSIONRISK MANAGEMENTRISK PREMIUMSSELF-FINANCINGSHARE OF WORLD TRADESTRUCTURAL PROBLEMSSUPPLY CHAINSUPPLY CHAINSTRADE CREDITTRADE FACILITATIONTRADE FINANCETRADE FLOWSTRADINGTRANSPARENCYUNDERDEVELOPED FINANCIAL SYSTEMSUNDERWRITERSUNIONWORKING CAPITALWORLD ECONOMYWORLD TRADEWorld Bank10.1596/10077