This research expands the limited literature on the distributional impact of macroprudential policy (MaPs) on firm credit growth. It builds on it by studying a much larger and granular sample than any of the previous studies. Additionally, this paper is among the first to examine how institutional and financial development, along with banking sector characteristics, influence the effects of MaP actions on firm credit growth. The findings aim to inform targeted policy decisions that address financial imbalances and promote sustainable economic growth, while minimizing unintended consequences.