Economic and Financial Structure Influenced by Negative Interest Rates Policy

บทคัดย่อ

This paper is called Academic article that describing about the implementation of the negative interest rate monetary policy during the period of 2015-2016 using qualitative method to discuss the effect on economic units, financial institutions and the negative interest rate monetary implementation in specific countries. Two main objectives are: i) to investigate which group in the future is mostly affected from the negative interest rate policy; and ii) to suggest the policy maker aspects that are less favorable of this new policy including to make them realize what affect those decision have in the future. The study concludes that the financial institutions are impacted by the negative interest monetary policy the most. Profit margins decrease and the overall risk level that insurance companies and pension funds take increases. The policymaker seem to harm financial institutions and increase overall risk levels indirectly due to the fact that insurance companies and pension funds have to take more risk to please their customers.