Home / The University / Faculties / Faculty of Economics and Business Administration / News / Assistant Dr. Deyan Radev presented the results of a project on the NPP "Peter Beron" at a scientific conference at the University of Oxford




On September 14, 2021, Assistant Dr. Deyan Radev presented the results of the project "The effect of Brexit on the European banking system and the real economy" at the prestigious scientific conference on finance and banking IFABS 2021, organized by Oxford University.


The project is funded by the NPP "Peter Beron and WE" of the Research Fund of the Ministry of Education and Science, aimed at reintegration into the Bulgarian scientific community of promising Bulgarian scientists working in scientific organizations abroad.


The main results of Dr. Radev's research are that the outcome of the British referendum on leaving the EU was unexpected for the financial markets and led to a reduction in bank lending to the real economy. An interesting finding is that the reduction does not necessarily come from British banks, but from European banks with expertise in securities trading. Dr. Radev explains the result by saying that in times of low economic growth, banks fail to find a sufficient number of profitable financing projects and redirect their available funds to higher-yielding securities. Another interesting result is that the shares of the big British banks did not collapse immediately after the Brexit Referendum, which shows that the problem of "too big to fail" still exists in the British banking system, which was also at the root of the Global Financial Crisis of 2008-2009. The presence of operations and subsidiaries in the EU-27 also had a favorable effect on the shares of British banks immediately after the referendum.