Mitigating financing constraints under economic uncertainty: The role of implicit government guarantees in China

IF 6.3 2区经济学 Q1 BUSINESS, FINANCE

Research in International Business and Finance Pub Date : 2025-02-20 DOI:10.1016/j.ribaf.2025.102819

Sifeng Bi , Na Wei , Anna Min Du , Tiran Zhou

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Abstract

In the context of economic policy uncertainty (EPU), firms face significant financing constraints, especially in accessing credit. To address this, governments often provide implicit government guarantees (IGG) to alleviate these constraints. This study examines the effects of EPU on firm credit financing activities from an IGG perspective, using a sample of Chinese A-share listed firms from 2010 to 2020. The findings indicate that EPU negatively impacts firm credit financing activities, but the presence of IGG mitigates these effects. The heterogeneous analysis reveals that IGG primarily benefits firms taking more risks or facing severe financial constraints. Regionally, IGG is more effective in provinces with lower marketisation and higher fiscal strength, helping distressed firms secure more bank credit at lower costs. These results have important implications for policymakers, shareholders, and stakeholders regarding the role of IGG in moderating the impact of EPU on firm credit financing activities.

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缓解经济不确定性下的融资约束：中国隐性政府担保的作用

在经济政策不确定性（EPU）的背景下，企业面临严重的融资限制，特别是在获得信贷方面。为了解决这个问题，政府经常提供隐性政府担保（IGG）来缓解这些限制。本文以2010 - 2020年中国a股上市公司为样本，从IGG视角考察了EPU对企业信用融资活动的影响。研究结果表明，EPU对企业信贷融资活动有负面影响，但IGG的存在减轻了这些影响。异质性分析表明，IGG主要有利于承担更多风险或面临严重财务约束的公司。从地区来看，IGG在市场化程度较低、财政实力较强的省份更有效，可以帮助陷入困境的企业以较低的成本获得更多的银行信贷。这些结果对于政策制定者、股东和利益相关者在调节EPU对企业信贷融资活动影响中的作用具有重要意义。

本文章由计算机程序翻译，如有差异，请以英文原文为准。

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来源期刊

Research in International Business and Finance BUSINESS, FINANCE-

CiteScore

11.20

自引率

9.20%

发文量

240

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