Template-Type: ReDIF-Article 1.0
Author-Name: Ágnes Csiszárik-Kocsir
Author-Workplace-Name: Magyar Nemzeti Bank
Author-Email: kocsir.agnes@kgk.uni-obuda.hu
Title: Transformation of the international and
European project finance market
as a result of the crisis
Abstract: Project financing is not a new form of funding in Hungary or in other countries.
Many consider it as a product of the pre-crisis abundance of money, when relatively
ample liquidity encouraged banks to enter into transactions where safe repayment
could not always be seen clearly. In many cases, this excessive risk-taking resulted in
defaults on project financing loans, which was also exacerbated by lack of prudence
in the evaluation of transactions. The objective of this article is to present the
history of project financing between 2005 and 2014 on the basis of the amounts
of loan mobilised by mandated lead arrangers (MLAs) and the project bond
amounts subscribed by the organisations involved in the bond issue, with special
regard to Europe. The study also aims to highlight those milestones and factors
that sometimes reduced and sometimes increased the project value implemented
through project financing. The analysis is based on the official database of IJGlobal,
using fundamental statistical methods, ratios and rates. The analysis pays special
attention to the financial institutions that played the main roles before, in and after
the crisis.
Classification-JEL: E59, G20,
Keywords: project finance, MLA, project bond, crisis, Europe
Journal: Financial and Economic Review  
Pages: 51–69
Volume: 15
Issue: 1
Year: 2016
File-URL: http://english.hitelintezetiszemle.hu/letoltes/3-csiszarik-kocsir-1.pdf
File-Format: Application/pdf
Handle: RePEc:mnb:finrev:v:15:y:2016:i:1:p:51-69