Bank Transparency: a Microeconomic and Macroeconomic Assessment

Since the recent financial crises, the issue of transparency has gained a great popularity. In this article we question about banking transparency through a literature reviewing. We develop the benefits of banking transparency at macroeconomic and regulatory level and at microeconomic level. The first explores how banking transparency assures market stability by reducing financial crisis risks, lowers corruption level and increases regulation’s efficiency. The microeconomic level is devoted to the bank client relationship by highlighting how banking transparency reduces client banking exclusion and manager’s overconfidence (“manager Hubris”). This paper raises finally the issue of transparency limits: transparency is not a panacea.