This might be due to regulatory rules and
procedures that limit a bank's "value at risk (Cornelius, 1999). When prices fall
in a market, the value-at-risk models used by international banks can generate
the direct requirement that the bank reduce its exposure to that country
(Folkerts-Landau and Garber, 1998.) Unless the borrower defaults when the
loans are not rolled over, this constitutes a capital outflow