Page 275 - Special Topic Session (STS) - Volume 3

STS543 Muizz A. et al.
the point estimate of 0.060 (Table 4, Eq 2b) indicates that the average
borrower bought houses that are priced 6.0 ppt higher after an additional
measure, the low-income group, on the other hand, purchased cheaper homes
compared to average borrowers, in line with their affordability (Table 4, Eq 2).

Table 2: DSR for Personal Financing

Table 3: DSR for Residential Property Loan

Table 4: House Price

5. Discussion and Conclusion
In this paper, we assess the impact of macroprudential policies on the DSR
of households, using borrower-level credit registry data. We found that the
policies are generally effective in improving borrowers’ DSR for personal
financing, particularly those in the low-income group who are typically highly
leveraged. However, for residential property loans, we found that
macroprudential policies alone are insufficient, as borrowers’ DSR for
residential property continued to increase after the measures. This can be

264 | I S I W S C 2 0 1 9