Communication and Performance in Bank-Fund Joint Participation

In this paper I relate Bank-Funds performance to their willingness (or ability) to communicate. I find evidence that a Bank-Fund simultaneous loan is associated to an increase in economic growth and that such effect is diminished by factors preventing full communication, such as the degree of Bank-Fund competition and the salience of asymmetric information. Politically motivated loans seem - at least to some extent - stimulate more IMF-WB interaction which turns out to be associated to higher economic growth.