A working paper published by the International Monetary Fund on October 26 questions why international bank deleveraging has had less of an impact on the availability of domestic credit in Asia compared with other regions.

The authors, Shekhar Aiyar and Sonali Jain-Chandra, says deleveraging by European banks during 2008 led to a large contraction in credit supply in the ‘destination countries'. However, the response in Asian countries was "significantly less" than that of others, the paper says