Bank Size

This study is aimed to measure and evaluate the profitability and liquidity of Saudi commercial banks. The subject of study is selected due to the increasing number of business transactions and development financing in the Saudi Arabian economy and the increasing variation and sophistication of bank services.The study is based on the secondary data which has been collected from balance sheet and income statements of banks, their websites, and related web pages of Saudi stock exchange (Tadawul) and Saudi Arabian Monetary Agency (SAMA) on the internet. Hypotheses testing finding exposed that there is no relationship between the total assets of bank and its profitability. Moreover, there is relationship between customer deposits and the amount of personal loan. Also, there is relationship between numbers of branches and banks liquidity (customer deposits).Based on the result above, researchers recommend Saudi banks to take the opportunity of enter the Islamic banking service. Bank who will take this opportunity will attract new customer which will generate attractive profit with reasonable level of risk. In addition, banks need to be more close to a customer by opening new branches in rural areas, small cities and populated areas. Furthermore, banks may simplify banking services for their customers.

Purpose - The objective of the study is to investigate the relationship between the credit information sharing and the funding cost of banks of the top ten “AA rating” commercial banks of Pakistan as the Commercial banks also play a significant role in the economy of every country. Design/Methodology - In this study, panel data were analyzed from 2011 to 2017. We selected the top ten “AA rating” banks from Pakistan credit rating agency (PACRA) website, and data related to another related variables are obtained from financial statements of the respective banks. Generalized Method of Moments (GMM) statistical technique was employed to measure the relationship among related variables. Findings - The result of the study shows that there is a negative and significant relationship between credit information sharing, operation efficiency, and funding cost. On the other side, profitability has a positive and significant relationship with the funding cost of the bank. Practical Implications ...

The purpose of this study is to obtain empirical evidence of the influence of bank size, capital buffer and efficiency on liquidity risk. The research sample is a Conventional Commercial Bank that has a bank asset ratio value above 2% of total national banking assets and publishes financial statements in full during 2004-2019. Data analysis techniques in this study are panel data regression of EViews software. The results showed that bank size has a positive and significant influence on liquidity risk. Capital buffer has a positive and significant influence on liquidity risk. Efficiency that measured byBOPO ratio have a positive and significant influence on liquidity risk.

One of the main purposes of banks' risk management is to control credit and liquidity risk which are the main sources of risk. This research explores factors affecting liquidity risk of commercial banks operating in Jordan, spanning from 2003 through 2017. The sample of the study includes all commercial banks by employing pooled OLS and panel 2SLS econometric techniques. Findings of the study show that bank size, return on assets (ROA), capital adequacy ratio (CAR), risk, non-performing loans (NPL), T-equality and T-liability have a positive impact on liquidity risk. While return on equity (ROE) shows the negative and significant impact on the liquidity risk. This study suggests that authorities should trace and monitor the determined internal factors that have a negative impact on the liquidity of banks to minimise bank run chances.

Given the recent developments in the Nigerian banking industry, only a profitable banking sector is better able to withstand negative shocks and contribute to the stability of the financial system. This assertion compels an in depth investigation of the determinants of the profitability of deposit money banks in Nigeria. Our data set is made up of 147 bank level observations over a 10-year period from 2001 to 2010 in respect of 15 banks that satisfied the study requirements. Data were obtained from the annual reports and accounts of the sampled banks. Pooled OLS (Pooled ordinary least square) stated in a multiple regression form was used to estimate the coefficients. Major outcomes of the analysis include that increase in size (higher total assets) may not necessarily lead to higher profits due to diseconomies of scale; higher capital-assets ratio and loans and advances contribute strongly to bank profitability. Overall, the paper suggests bank size, capital and asset composition as the major endogenous determinants of bank profitability in Nigeria.

The main purpose of this study is to measure up to what extent the independent factors defined by capital adequacy ratio, non-performing loans ratio, cost-income ratio, liquidity ratio, and loans-todeposits ratio impact the financial performance of sixteen commercial banks operating in the United Arab Emirates using panel data for the period of 2013-2019. The secondary data was collected from banks and examined by applying standard descriptive statistics and the random effect model for hypothesis testing. It is concluded from the regression outcomes that non-performing loans ratio and cost-income ratio have a significant negative impact on commercial banks profitability in the United Arab Emirates, while capital adequacy ratio, liquidity ratio, and loans -to-deposits ratio all have a very weak positive relationship on the return on assets but they are not determinants of bank's profitability due to the insignificant statistical impact on it. It is therefore suggested that to enhance financial performance and minimize the risk of non-performing loans in the future, banks must watch very carefully the loans' performance and analyze thoroughly the clients' credit history and ability to pay back their debts prior to any approval of loan applications. Furthermore, banks should continuously improve their assets utilization, liquidity, and techniques of managing operating costs, improve the impact of capital adequacy, and the use of deposits for lending activities from a weak positive impact to a significant positive impact on their profitability. The researchers recommend that future studies on credit risk management influence on banks' financial performance should consider more independent variables and longer periods of study such as twenty or thirty years to have more accuracy and generalized results.

Tier 3 commercial banks in Kenya play a vital role in the country's economic growth by facilitating the supply of money and supporting economic ventures. However, these banks face significant challenges that affect their financial performance, with financial risk being a critical factor. Financial risk involves potential losses arising from inadequate revenue generation, operational failures, market volatility, or regulatory changes, and primarily manifests in credit, market, operational, and liquidity risks. The objective of the study was to assess the influence of financial risk on the financial performance of Tier 3 commercial banks in Kenya, with a focus on the moderating role of bank size. A cross-sectional survey research design was adopted, targeting branch managers, executive managers, finance managers, credit managers, and other key personnel from Tier 3 banks. Data collection involved questionnaires for primary data and a secondary data collection sheet for financial performance metrics, analyzed using descriptive and inferential statistics. The study found that financial risk negatively affects financial performance, highlighting the need for effective risk management strategies. To mitigate financial risks, Tier 3 banks should implement robust risk-rating systems, continuous monitoring frameworks, and leverage financial innovations such as advanced analytics and digital tools to enhance decision-making. Strengthened internal controls, balanced loan portfolios, and adherence to prudential guidelines were also recommended to improve financial performance. Additionally, the study emphasized the importance of bank size as a moderating factor, underscoring the need for strategies aligned with the scale of operations. Future research could explore sector-specific risks and the role of emerging financial technologies in risk management for more granular insights.

Tier 3 commercial banks in Kenya play a vital role in the country's economic growth by facilitating the supply of money and supporting economic ventures. However, these banks face significant challenges that affect their financial performance, with financial risk being a critical factor. Financial risk involves potential losses arising from inadequate revenue generation, operational failures, market volatility, or regulatory changes, and primarily manifests in credit, market, operational, and liquidity risks. The objective of the study was to assess the influence of financial risk on the financial performance of Tier 3 commercial banks in Kenya, with a focus on the moderating role of bank size. A cross-sectional survey research design was adopted, targeting branch managers, executive managers, finance managers, credit managers, and other key personnel from Tier 3 banks. Data collection involved questionnaires for primary data and a secondary data collection sheet for financial performance metrics, analyzed using descriptive and inferential statistics. The study found that financial risk negatively affects financial performance, highlighting the need for effective risk management strategies. To mitigate financial risks, Tier 3 banks should implement robust risk-rating systems, continuous monitoring frameworks, and leverage financial innovations such as advanced analytics and digital tools to enhance decision-making. Strengthened internal controls, balanced loan portfolios, and adherence to prudential guidelines were also recommended to improve financial performance. Additionally, the study emphasized the importance of bank size as a moderating factor, underscoring the need for strategies aligned with the scale of operations. Future research could explore sector-specific risks and the role of emerging financial technologies in risk management for more granular insights.

This study analyzes the relationship between net sales revenue and Integrated Marketing Communications (IMC) viz. advertising, sales promotion, personal selling and direct marketing. It attempts to find the existence of a long-term relationship between the two variables and goes on to analyze the impact of one variable on the other and its possible implications. Seven year quarterly data of ten firms in the Indian Cement industry when analyzed reveals that there is no evidence of cointegration between the above mentioned variables, but the Vector Autoregression (VAR) model suggests that although past sales do not influence current advertising, advertising and sales promotion have a significant effect on the sales of cement after one year. The Impulse Response Function (IRF) and Forecast Error Variance Decomposition (FEVD) also support this view.

This article attempts to analyse the impact of bank size, both absolute and systemic, on performance in terms of returns and risk and business model in terms of activity mix. The sample includes 550 firm year observations of commercial banks in India between 2006 and 2016, spanning a time period of 11 years. On the performance front, the results indicate that neither of the size measures affects the return on assets or ROE of either public or private sector banks. On the other hand, the absolute size reduces the risk of bank insolvency. At the business model level, the proportion of fee-based and net-interest income decreases with increasing absolute size and increases with increasing systemic size. Conversely, the proportion of interest income increases with increasing absolute size and decreases with increasing systemic size. This highlights the banks’ increasing reliance on non-traditional sources of income with increasing systemic size in the Indian context.

This study assessed the effect of credit risk management on financial performance of listed commercial banks in Tanzania. The study adopted a cross-sectional research design. The study employed a simple random sampling strategy in selecting 98 respondents from three Commercial banks listed. Data were analyzed using both descriptive and inferential statistics. The study findings indicated that; It was established that the variation in Return On Equity can be explained by the independent variables (Risk monitoring, Risk control and report, Risk Analysis and evaluation, Risk Identification) by 85.5 per cent. The study also established that the variation in Return On Asset can be explained by the independent variables (Risk monitoring, Risk control and report, Risk Analysis and evaluation, Risk Identification) by 82.6 percent. There is strong and positive relationship among variables in the study (R=0.872). The study concluded that at NMB Bank Plc (NMB), CRDB Bank Plc, and Commercial Bank Plc (DCB), Risk Management had a significant effect on financial performance. This implies that risk management strategies had great contribution on financial performance in the selected listed Commercial Bank in Tanzania. The study recommends that the listed commercial banks should continue implementing proper risk management to guide their operations. Internal controls are key to the operations of the Commercial banks. To ensure effective controls, the banks' management specifically the senior audit manager, accountants should facilitate conduction of regular checks on the ability of the strategies in place for risk management in regards to efficient risk assessment. Therefore, the commercial banks should regularly check on their operations and the policies to deal with threats to examine whether these meets all the banks' requirements to safeguard the banks from losses. Prior to approving any loan applications, banks must do a thorough analysis of the clients' credit histories and repayment capacity in order to improve financial performance and reduce the risk of non-performing loans in the future.

This study aims to measure the main determinants influencing bank efficiency. We suggest that the bank efficiency ratio, obtained from the income statement, is positively related to the size of a bank in terms of total assets. However, we believe that such a relationship cannot be maintained for banks over a certain size. By the use of the regression analysis method, we analyze the link between bank efficiency and bank size, using a sample of 3952 banks in the European Union. Our results show that the efficiency ratio stops improving for banks with total assets over $25 billion. Previous literature, using different analysis techniques, does not reach an agreement on this point. Furthermore, our study identifies further variables which negatively affect the efficiency of banks, such as competition and lending diversification, or affect them positively, such as the wholesale funding ratio and income diversification. Our findings imply the need for different bank policies depending on total assets, in order to limit the size and activities of banks.

This study focuses on establishing the effect of credit risk management on the profitability of the Centenary Bank Kabale Branch. Credit Risk Management was operationalized as credit risk identification, risk assessment, and risk control, while profitability was operationalized as Return on Equity, Return on Assets, and Non-Performing Loans. Research methodology: The study population comprised of 140 respondents. A sample size of 103 respondents was obtained using the Krejcie and Morgan 1970 table for sample determination. This study adopted a mixed method approach. Quantitative data were collected using Self-Administered Questionnaires and analyzed using Pearson's linear correlation coefficient. Qualitative data were collected through in-depth interviews and analyzed using content analysis. Results: The findings indicate that the majority of the respondents were male, aged 31-40 years, and bachelor's degree holders. Risk identification (r=0.882), risk assessment (r=0.776), and risk controls (r=0.829) have a significant positive relationship with profitability at the central bank. Limitations: The limitations include bias from the respondents and the study being conducted in only one branch, making generalization difficult. Contribution: These investigations have informed Centenary Bank managers of the importance of credit risk identification, risk assessment, and risk control. Managers should focus on mitigation measures to reduce risks, create a credit risk assessment team to evaluate risks, establish strategies, and prioritize risk management practices by implementing policies in place. The findings contribute to the literature on credit risk management in terms of the central bank. Novelty: Previous similar research only studied how environmental accounting is implemented in a hospital and did not compare its implementation before, during, and after a pandemic.

This article discusses the relationship between micro-prudential variables and bank risk. For this purpose, we collect panel data on 21 Danish banks accounting for 88% of total market share in Denmark from 2000 to 2015 and reflect upon the contribution of these different variables to bank individual, systematic and systemic risks. Our results suggest that the factors size, capitalization, funding structure, organizational complexity and degree of market-based activities are key risk determinants. Moreover, we find evidence that the Danish case is relatively peculiar with respect to the effects of bank size and of degree of market-based activities: Bank size contributes positively to systematic and systemic risks, but not to individual risk. Degree of market-based activities contributes to counteract individual risk, but on the other hand intensifies systematic and systemic risks. The Danish case could be taken as an example for other small economies with a highly concentrated bankin...

This study is aimed to identify the effect of credit risk management on profitability of commercial banks of Ethiopia over the period of 2008-2018 G.C. The study employed quantitative research approach with explanatory research design. The secondary data source was employed. The result of regression analysis was applied to investigate the effect of explanatory variables on the profitability. The findings of this study show that, capital adequacy, loan to deposit ratio and loan provision ratio have positive and statistically significant effect on profitability of selected commercial banks in Ethiopia. In opposite direction, non-performing loan, loan to total asset ratio and cost per loan have negative and statistically significant effect on profitability. The profitability measured through ROA was best explained by explanatory variables incorporated in the model. Hence, the researcher suggested that the profitability of commercial banks can be improved through improving credit risk m...

This study sought to examine the effect of capital on the financial performance of commercial banks in Kenya. The specific objectives of the study were to determine the effects of core capital, subordinate capital and risk weighted capital on the financial performance of commercial banks in Kenya. The study adopted a descriptive research design. The target population was the listed commercial banks in Kenya as licensed by the Central Bank of Kenya as of 2014. The study was based on secondary data retrieved from the banks’ annual audited financial reports spanning 5 years between 2010 and 2014. The study was based on quantitative data. The study findings showed that the core capital to total risk weighted assets for the Tier I banks decreased from year 2010 to year 2014 while that of the Tier II banks decreased from year 2010 to year 2014. The findings also showed that the total capital to total risk weighted assets for the Tier I banks decreased from year 2010 to year 2014 while tha...

The operating environment for commercial banks in Kenya has become very dynamic and highly competitive. The witnessed cases of bank failure and poor financial performance have made commercial banks develop strategies to improve their financial performance, remain competitive, and meet the regulator's compliance requirements. Mergers and Acquisitions Strategies are on the rise as a strategy aimed to alleviate the ailing sector. In light of this, the purpose of this study was to examine the impact on financial performance of commercial banks in Kenya as a result of mergers and acquisitions Strategies. Operating efficiency and market share impact on the financial performance of commercial banks in Kenya formed the specific objectives. The study objectives were supported by synergies theory, resourcebased view theory and agency theory. The study adopted a correlational descriptive research design, including cross-sectional data analysis. By the year 2017, 30 commercial banks in Kenya had considered mergers and acquisitions strategies were considered as the population of this study. An average of three-year ratios was computed in both pre-merger and postacquisition periods inorder to assess the impact financial performance. The years of the deal were excluded. The mean difference between the pre-Mergers and Acquisitions Strategies and post-Mergers and Acquisitions Strategies

Nowadays Modern economy cannot be thought without banks. The banks of Bangladesh have great contributions to the development of this country. This study concentrated on the commercial banks in Bangladesh to determine the effect of liquidity and bank size on the profitability of the banks during the year 2011-2015. Seven commercial banks were selected and descriptive as well as correlations analysis statistics were used to conduct the study. Data from the annual reports of the banks were analyzed. The results stated that loan to asset ratio and bank size had a positive relation with return on asset (ROA) which was the indicator of profitability. The results also showed that deposit to asset ratio had a negative impact on the ROA of the selected banks. Although there were relationships among liquidity, bank size and profitability but liquidity and bank size did not have a significant influence on the profitability of the banks.

Penelitian ini dilakukan untuk menguji faktor-faktor yang berpengaruh terhadap nilai institusi perbankan (Bank BUKU IV). Penelitian ini dilkukan terhadap Bank BUKU IV periode 2017-2021. Analisis data yang digunakan untuk mengkur pengaruh variabel independen ke variabel dependen menggunakan uji regresi linier berganda. Penelitian ini menggunakan teori keagenan dan teori signaling serta dan sebelum uji pengaruh salah satu dari variabel independen yaitu nilai efisiensi diukur melalui Data Envelopment Analysis (DEA). Penelitian ini menggunakan tobin-q untuk mengukur nilai perusahaan. Hasil penelitian ini memberikan bukti empiris bahwa efisisensi, CAR (Capital Adequacy Ratio), NPL (Non Performing Loan) berpengaruh terhadap nilai perusahaan.

This study aims to examine the effect of managerial ability on financial reporting quality. The samples of this study are listed banks in the Indonesia Stock Exchange during the period of 2010 to 2016. with total observations are 210 firmyears. Managerial ability is measured using Data Envelopment Analysis (DEA). Earnings persistence and earnings predictability are used to measure financial reporting quality. By using panel data regression, the results show that managerial ability has a negative effect on financial reporting quality, for both measures. This may be due to when the manager has higher ability, he/she tends to be opportunistic and take actions (such as opportunistic earnings management) and thus earnings become less persistent as well as less predictable (low financial reporting quality).

Given the recent developments in the Nigerian banking industry, only a profitable banking sector is better able to withstand negative shocks and contribute to the stability of the financial system. This assertion compels an in depth investigation of the determinants of the profitability of deposit money banks in Nigeria. Our data set is made up of 147 bank level observations over a 10-year period from 2001 to 2010 in respect of 15 banks that satisfied the study requirements. Data were obtained from the annual reports and accounts of the sampled banks. Pooled OLS (Pooled ordinary least square) stated in a multiple regression form was used to estimate the coefficients. Major outcomes of the analysis include that increase in size (higher total assets) may not necessarily lead to higher profits due to diseconomies of scale; higher capital-assets ratio and loans and advances contribute strongly to bank profitability. Overall, the paper suggests bank size, capital and asset composition as the major endogenous determinants of bank profitability in Nigeria.

We fragment the cost of bank failures within the national Deposit Insurance Fund into three components that include the resolution cost of the less-essential banks, the administrative rescue cost of the larger and more influential financial institutions, and the complete legislative bailout cost of the systemically vital banks. We develop a forecasting model that can help regulators to comprehend the expected systemic cost of future bank failures both over reasonably short-terms and through extended periods of time. The current theory can assist policy makers in better designing the reserves within the Deposit Insurance Fund and the exclusive premiums charged from banks that routinely subsidize these reserves.

The broad objective of this research was to determine the effect of board structure on the performance of financial institutions in Kenya and also to find out what the intervening and mediating influence of the tenure of the CEO and firm’s characteristics on this relationship might be. The specific objectives included; to examine the influence of board structure on performance of financial institutions in Kenya; to determine the intervening influence of CEO tenure on the association among board structure and performance of financial sector firms in Kenya; to examine the moderating effect of the firms’ characteristics on the association among board structure and performance of financial institutions in Kenya; and to ascertain the joint effect of board structure, CEO tenure and firms’ characteristics on performance. Secondary data was collected for a ten-year period from 2006 to 2015. Moderated and stepwise regression models and correlation analysis were adopted for the investigation ...

The unfavorable economic situation, that prevailed in the first five years from the financial crisis that it invaded in Greece in 2010, caused very serious problems regarding the organization of the Greek banking sector. This resulted in the in-depth restructuring of the Greek banking system with acquisitions and mergers in order to create large systemic and crisis-resistant banks, in order to be able to face the looming upcoming profitability problems. The purpose of this study is to evaluate the profitability ratios of the both target and bidder banks that they took place in the wave of acquisitions during the financial crisis and to find out if there is any improvement of profitability to the remained bidder systemic Greek banks. For this reason, we examine and analyze the profitability using the DuPont method three years before the acquisition and three years after the acquisition. Essentially, we study whether the major acquisitions carried out by the Greek systemic banks durin...

This study examines the influence of bank-specific and macroeconomic factors on commercial banks profitability in Ghana. The study employed the ordinary least square regression model to analyse the data obtained from the annual financial statements of five commercial banks from 2010 to 2015. The empirical results suggest that bank size, liquidity, capital adequacy, asset management, expense management, and real interest rate are positively related to profitability. GDP growth and inflation rate on the other hand, are related negatively to profitability. However, only bank size, liquidity, and expense management have a significant effect on commercial banks profitability. It can be observed that commercial banks profitability in Ghana is largely determined by bank-specific factors, whereas macroeconomic factors have an insignificant impact on banks profitability for the period considered. Therefore, it is crucial for management of commercial banks in Ghana to efficiently manage the factors that contribute to their profitability in order to enhance superior performance.

The low availability of Loans and Advances from deposit money banks in Nigeria to individuals and firms has been a long standing issue. Consequently, this study investigated the determinants of Loans and Advances in Nigeria focusing attention on liquidity ratio, Interest rate, rate of inflation, loan deposit ratio and cash reserve ratio. Data from deposit money banks in Nigeria showing performance indices was obtained through secondary sources of the Central Bank of Nigeria (CBN) Statistical Bulletin over the period 1994-2013. The data was analysed using Ordinary Least Square Regression Technique and the findings revealed that Liquidity ratio, rate of inflation, Loan deposit ratio and Cash reserve ratio had negative statistical significance with loans and advances while Interest rate had negative statistical insignificance with loans and advances. It was recommended amongst others that government should put in place a policy that will reduce liquidity ratio, Interest rate, rate of i...

A growing body of research focuses on banking organizational issues, emphasizing the difficulties encountered by hierarchically organized banks in lending to borrowers/projects with high intensity of soft information. However, as the two extreme cases of hierarchical and non-hierarchical organizations are typically contrasted, what actually shapes the degree of hierarchy and how to measure it remain fairly vague. In this paper we compare bank size and distance between bank's branches and headquarter as possible sources of organizational frictions. In particular, we study the impact of distance and bank size on the firms' likelihood of introducing innovations and financing constraints on a sample of Italian SMEs. Our results show that firms located in provinces where the local banking system is functionally distant are less inclined to introduce innovations and are more likely to be credit rationed. Conversely, we find that the market share of large banks is only rarely statistically significant and when it is, the economic impact on the probability of introducing innovation and credit rationing is appreciably smaller than that of functional distance.

The unfavorable economic situation, that prevailed in the first five years from the financial crisis that it invaded in Greece in 2010, caused very serious problems regarding the organization of the Greek banking sector. This resulted in the in-depth restructuring of the Greek banking system with acquisitions and mergers in order to create large systemic and crisis-resistant banks, in order to be able to face the looming upcoming profitability problems. The purpose of this study is to evaluate the profitability ratios of the both target and bidder banks that they took place in the wave of acquisitions during the financial crisis and to find out if there is any improvement of profitability to the remained bidder systemic Greek banks. For this reason, we examine and analyze the profitability using the DuPont method three years before the acquisition and three years after the acquisition. Essentially, we study whether the major acquisitions carried out by the Greek systemic

The intended aim of study is to identify the influence of bank specific and macroeconomic factors on profitability of commercial banks in Pakistan over the period of 2007 to 2011. Return on assets and return on equity are used as dependent variable. Deposit to assets, bank size, capital ratio, net interest margin and nonperforming loans to total advances are utilized as bank specific measures. Inflation, real gross domestic product and industry production growth rate are macroeconomic factors. By employing descriptive statistics, correlation and regression analysis researcher conclude that bank size, net interest margin, and industry production growth rate has positive and significant impact on the ROA and ROE. Nonperforming loans to total advances and inflation have negative significant impact on Return on assets while real gross domestic product has positive impact on ROA. Capital ratio has positive significant impact on ROE.

Despite commercial entities amplifying financial innovation there is need for empirical inquiry on their contributions towards economic development through financial inclusion and deepening. Financial deepening is the capacity of financial institutions to enhance access to its services. Financial innovations have reduced turnaround time for banking services such as withdrawals, deposit and loan approval process. Despite this documented evidence its contribution to economic development through financial deepening is barren empirical ground. Hence, this paper investigated the relationship between financial innovations adoption and financial deepening of listed commercial banks in Kenya. The study was anchored on technology acceptance model. Expo facto research design was adopted, census of 12 listed commercials was considered for five years. A significant relationship between financial banking innovations and financial deepening was reported. Also, there was significant moderating effect of bank size on the relationship between financial innovations adoption and financial deepening of listed commercial banks.

The main purpose of this study is to investigate the relationship between financial stability and banking soundness in Jordan. For this purpose, the study mainly uses the FMOLS approach in addition to other analysis techniques and tools. The outcomes of the descriptive analysis show that the Jordanian financial system seems stable, and the indicators of banking soundness signal a steady and solid banking sector. The cointegration tests indicate that the considered variables have a long-term equilibrium relationship; the variables move together in the long term. The empirical results reveal that the majority of the banking soundness indicators have a positive impact on financial stability. This asserts that a sound banking sector plays a vital role in maintaining a stable financial system. However, the findings also indicate that a steady interest rate policy is one of the significant requirements for sustaining the stability of financial systems. Moreover, the response of financial ...

The logit analysis is one of the more recent and advanced techniques, used in social sciences to model discrete results. The basis of this analysis is the theory of discrete choice. This theory has to do with the sense of discrete behavioral responses of individuals' actions and market economy the government when faced with two or more results. First, we have analyzed the theoretical and practical characteristics of the logit model and its application in various economic fields. Second, we have examined a sample of 30 retail firms who are active in the period 2010-2012-30 companies had had their shares permanently suspended or delisted because of a default. According to the characteristics of commercial businesses, in our study are taken into account many financial ratios, to be representative of the financial situation of these businesses. In this study, we concluded that from the 22 financial ratios taken in consideration only 8 are statistically important. As in many other studies carried out previously for the phenomenon of bankruptcy prediction was confirmed that the financial statements received from the financial statements of businesses serve to forecast this phenomenon. Logit analysis recorded an improvement in the reliability and accuracy of forecasting the phenomenon of bankruptcy compared with multivariate discriminatory analysis. Logit analysis is more reliable because it requires the assumption of normal distribution of variables, which is one of the basic assumptions of the multivariate discriminatory analysis.

The purpose of this study is to analyze some of the more important internal factors that affect the profitability of commercial banks in Albania. The aim of this paper is to find out the relationship between the internal factors and bank profitability. Bank profitability is measured by Return on Assets (ROA) as a function of some important determinants taken in consideration in this research. Through this paper I would like to show how practical results seem to be equal to the empirical results. This paper analyzes the profitability of commercial banks in Albania over the time period from 2005 to 2012 for 12 commercial banks in Albania organize by 95 observations. This paper uses regression analysis fixed effect model to implicate the results with the respective hypotheses. The factors taken into consideration are Bank size, Loans, Deposit, Credit Risk, Interest income etc. The result from the analysis shows that, few of internal variables have significant influence on a bank's to total assets and some other have no significant effect on bank profitability.

Many banks are competing to achieve bank cost efficiency for business continuity amidst the competition in the banking sector. So banks need to review cost-efficiency regularly. The purpose of this study was to analyze determinants of bank cost efficiency. Variable use bank size, capital adequacy, return on asset, group of the bank, credit risk, economic growth, and inflation on bank cost efficiency in Indonesia.  Determination of bank input and output variables using a bank intermediation approach. This study used panel data on 38 banks in Indonesia for the period 2012-2018. This paper used the Stochastic Frontier Analysis (SFA) analysis method. The results of this study reveal four things. First, bank size has a negative effect bank cost efficiency. Second, credit risk has a positive effect on bank cost efficiency. Third, capital adequacy has a positive effect on bank efficiency. Fourth, the small core capital bank group has a negative effect on bank cost efficiency. Bank external...

This study investigates the bank specific and macroeconomic determinants of commercial bank lending in Malaysia using a sample of 27 banks covering the period from 2005 to 2014. This study also examines the impact of macro prudential policy measure implemented in 2010 on the lending activities of Malaysian commercial banks. Employing random effects estimation, the findings demonstrate that bank size and volume of deposit positively influence commercial bank lending in Malaysia, while liquidity negatively influences the lending activities. With regard to macroeconomic determinants, this study does not find any conclusive evidence to support the influence of gross domestic product (GDP), lending rate and cash reserve requirement on commercial bank lending activities in Malaysia. Moreover, the findings of this study also reveal that the macro prudential policy measure which was implemented in 2010 to curb the high level of household indebtedness does not give any significant impact on ...

This study sought to assess the effect of inflation on financial sector performance by employing panel data from five Ghanaian banks with reference period from 2004 to 2013. Pooled, random effects and generalized method of moment (GMM) models were employed to estimate the effect of inflation on performance of the financial sector. The quadratic function was employed to estimate threshold beyond which it is detrimental to the performance of the financial sector. The study concludes that inflation in the Ghanaian economy will continue to have a positive effect on financial sector development unless it reaches a threshold of 15 percent. The study recommends a threshold level not above 15 percent of inflation to accelerate the development of the financial sector. Keywords: inflation, performance, financial sector, panel data, Ghana

This research has aimed to analyze the determinants of capital structure among insurance companies in Kosovo, based on a data retrieved from 11 insurance companies during the period 2009-2012. For this purpose, the debt ratio is taken as a dependant variable whereas company size, growth, life, fixed assets and liquidity ratio were taken as independent variables. The result of RE model shows that these variables are in positive relationship with the debt ratio. On the other hand, the company size, the fixed assets ratio, liquidity ratio, company life and growth had considerable effects on debt equation. Based on the research results, the insurance companies should have a high consideration for asset increase because the size of company is an important factor that has a positive effect on debt/equity ratio.

The intended aim of study is to identify the influence of bank specific and macroeconomic factors on profitability of commercial banks in Pakistan over the period of 2007 to 2011. Return on assets and return on equity are used as dependent variable. Deposit to assets, bank size, capital ratio, net interest margin and nonperforming loans to total advances are utilized as bank specific measures. Inflation, real gross domestic product and industry production growth rate are macroeconomic factors. By employing descriptive statistics, correlation and regression analysis researcher conclude that bank size, net interest margin, and industry production growth rate has positive and significant impact on the ROA and ROE. Nonperforming loans to total advances and inflation have negative significant impact on Return on assets while real gross domestic product has positive impact on ROA. Capital ratio has positive significant impact on ROE.

This research has aimed to analyze the determinants of capital structure among insurance companies in Kosovo, based on a data retrieved from 11 insurance companies during the period 2009-2012. For this purpose, the debt ratio is taken as a dependant variable whereas company size, growth, life, fixed assets and liquidity ratio were taken as independent variables. The result of RE model shows that these variables are in positive relationship with the debt ratio. On the other hand, the company size, the fixed assets ratio, liquidity ratio, company life and growth had considerable effects on debt equation. Based on the research results, the insurance companies should have a high consideration for asset increase because the size of company is an important factor that has a positive effect on debt/equity ratio.

The present research named "Financial inclusion and financial performance of microfinance institutions in Rwanda: Case of CLECAM EJOHEZA KAMONYI (2011-2014)", had the main objective of evaluating the implementation of financial inclusion in microfinance institutions in Rwanda. The study used the techniques of questionnaire addressed to a sample of 162 calculated from a total population 11.121 CLECAM EJOHEZA KAMONYI members in collection of primary data and the technique of documentation for secondary data. During the treatment and analysis of data, the frequency calculation and tabulation, the IMF Factsheet and multiple regressions have been used. The major findings show that 70.4% of all respondents have been pushed by quick service and appropriate products to join LECAM EJOHEZA KAMONYI. 18.1% of all respondents choose this institution because it operates near for them while 11.5% of respondents said that they choose this institution for other reasons. 63.6% of all respondents said that the product and services respond to their needs on the level of excellent, 36.4% of all respondent are satisfied by the products and services on a very good the level. CLECAM EJOHEZA KAMONYI performs financially. In 2014, the portfolio at risk was 2.2%, the Operating Self-Sufficiency arrived at 143%, the portfolio yield was 25.6% while Operating expense ratio was 17%. The evolution of deposit depends on the number of members of CLECAM EJOHEZAKAMONYI, but the number of branches does not affect the deposits. The Operating expense depends on the number of branches but not on the number of members. The evolution of members has effect on evolution of share capital but the number of branches does not affect the evolution of paid up share capital. The deposits are correlated positively to net income at 92.6%.

The study examined the effect of Non-Performing Loans (NPLs), Capital Adequacy, Corporate Governance on Bank Stability in Nigeria from 2006-2021. Ten (10) commercial banks represent the sample size for this study. This study made use of secondary data obtained from annual reports and accounts of the Deposit Money Banks under study and NDIC annual report and accounts. The independent variables used are Non-performing loans ratio, capital adequacy ratio while corporate governance was further decomposed into Internal Control (INTC) and External Control (EXTC) and the dependent variable is bank stability measured by Z-score. Data were presented using descriptive statistics, multicollinearity test, validity test, panel unit root test, cointegration test, and correlation matrix. Multiple regression analysis was used to analyze the data with the aid of E-Views version 9.0. The result of this study revealed that Non-Performing Loans Ratio (NPLR), Capital Adequacy Ratio (CAR) and Internal Control (INTC) has a positive and insignificant effect on Z-Score of listed deposit money banks in Nigeria while External Control (EXTC) has a negative and significant effect on Z-Score of listed deposit money banks in Nigeria at 5% level of significance. The study conclude that non-performing loans, capital adequacy and corporate governance has a positive insignificant

A growing body of research is focusing on banking organizational issues, emphasizing the difficulties encountered by hierarchically organized banks in lending to informationally opaque borrowers. While the two extreme cases of hierarchical and non-hierarchical organizations are typically contrasted, what shapes the degree of hierarchy and how to measure it remain fairly vague. In this paper we compare bank size and distance between a bank's branches and headquarter as possible sources of organizational frictions, by studying their impact on small firms' likelihood of introducing innovations. Results show that SMEs located in provinces where the local banking system is functionally distant are less inclined to introduce innovations, while the market share of large banks is only slightly correlated with firms' propensity to innovate.

This paper investigates the impact of bank-specific, industry-specific, and macroeconomic variables on bank profitability before, during, and after the financial crisis of 2008. For this purpose, 73 UK commercial banks are selected on the basis of availability of required information. The empirical data for these banks are collected for the period from 2006 to 2012 from Bankscope and Data-stream databases. The regression and correlation analyses are performed on the data and concluded that bank size, capital ratio, loan, deposits, liquidity, and interest rate have positive impact on ROA and ROE while GDP and inflation rate have negative impact. The findings of this study can help UK banks, government, investors, policymakers, and shareholders for decision making and improving the performance of financial institutions in the future.

Islamic banks are financial institutions just like conventional banks. However, Islamic banks do not deal with interest and are based on participation. These institutions raise funds and employ them within the scope of Islamic (Shariah) principles where the bank and the depositor share the business, thus sharing the profits and losses. This paper focuses on making a comparative between three Islamic banks in Turkey and five Islamic banks in the United Kingdom in terms of financial performance. More so, it aims to investigate whether or not Islamic banks in Turkey are more profitable, less risky, liquid, operationally efficient, and have a good management quality compared to the Islamic banks in UK. The time span used in this study is one period. The period is four years from 2013 until 2016. Our study used time series data (pooled Least Squares) (PLS) as panel regression on nine financial ratios (CAMEL) to examine the financial performance of these banks according to their profitability, Capital adequacy, Asset quality (riskiness and solvency), Management quality, Earning diversification (operationally efficient), and Liquidity. However, our results are insignificant for UK and significant in Turkey in terms of asset quality and management quality.

The intended aim of study is to identify the influence of bank specific and macroeconomic factors on profitability of commercial banks in Pakistan over the period of 2007 to 2011. Return on assets and return on equity are used as dependent variable. Deposit to assets, bank size, capital ratio, net interest margin and nonperforming loans to total advances are utilized as bank specific measures. Inflation, real gross domestic product and industry production growth rate are macroeconomic factors. By employing descriptive statistics, correlation and regression analysis researcher conclude that bank size, net interest margin, and industry production growth rate has positive and significant impact on the ROA and ROE. Nonperforming loans to total advances and inflation have negative significant impact on Return on assets while real gross domestic product has positive impact on ROA. Capital ratio has positive significant impact on ROE.

The intended aim of study is to identify the influence of bank specific and macroeconomic factors on profitability of commercial banks in Pakistan over the period of 2007 to 2011. Return on assets and return on equity are used as dependent variable. Deposit to assets, bank size, capital ratio, net interest margin and nonperforming loans to total advances are utilized as bank specific measures. Inflation, real gross domestic product and industry production growth rate are macroeconomic factors. By employing descriptive statistics, correlation and regression analysis researcher conclude that bank size, net interest margin, and industry production growth rate has positive and significant impact on the ROA and ROE. Nonperforming loans to total advances and inflation have negative significant impact on Return on assets while real gross domestic product has positive impact on ROA. Capital ratio has positive significant impact on ROE.

The intended aim of study is to identify the influence of bank specific and macroeconomic factors on profitability of commercial banks in Pakistan over the period of 2007 to 2011. Return on assets and return on equity are used as dependent variable. Deposit to assets, bank size, capital ratio, net interest margin and nonperforming loans to total advances are utilized as bank specific measures. Inflation, real gross domestic product and industry production growth rate are macroeconomic factors. By employing descriptive statistics, correlation and regression analysis researcher conclude that bank size, net interest margin, and industry production growth rate has positive and significant impact on the ROA and ROE. Nonperforming loans to total advances and inflation have negative significant impact on Return on assets while real gross domestic product has positive impact on ROA. Capital ratio has positive significant impact on ROE.

Corporate restructuring has become a common phenomenon around the world. Unprecedented number of companies across the world have reorganised their divisions, restructured their assets, streamlined their operations and spun-off their divisions in a bid to spur the company performance. It has enabled numerous organisations to respond quickly and more effectively to new opportunities and unexpected pressures so as to re­ establish their competitive advantage. In the recent past difficult operating conditions have motivated companies to restructure by retrenching staff and downsizing their scope of operations. Restructuring is considered to be the type of change which may be rapid and could involve a good deal of upheaval in an organization, but which does not fundamentally change the paradigm. The objective of this study was to establish the implication of restructuring on the performance and long-term competitiveness within the Kenyan banking sector. It also sought to establish the si...