scholarly journals Greek banking sector in the economic crisis and M&As as a solution

2019 ◽  
Vol 15 (2) ◽  
pp. 37-44 ◽  
Author(s):  
Michail Pazarskis ◽  
George Drogalas ◽  
Alkiviadis Karagiorgos ◽  
Efthalia Tabouratzi
Keyword(s):  
Mergers And Acquisitions ◽  
Economic Crisis ◽  
Banking Sector ◽  
Statistical Tests ◽  
Capital Adequacy ◽  
Total Capital ◽  
National Bank ◽  
One Year ◽  
Greek Banks ◽  
The Impact

This study examines the impact of thirteen mergers and acquisitions in the Greek banking sector which took place during the period of economic crisis: 2008-2014. More specifically, the sample of this study consists of all the mergers and acquisitions that led to the four remaining Greek banks (the acquirers of the above-mentioned transactions) which are: National Bank of Greece, Piraeus Bank, Eurobank and Alpha Bank. These specific banks were chosen due to the fact that after the M&As transactions we were able to compare their financial data. This comparison was made by using eight ratios for statistical tests one-year pre- and post-merger. The results of the study indicate statistically significant improvement in three capital structure and viability ratios, as well as a slight improvement on a liquidity ratio, while there is statistically insignificant change or no improvement on the profitability and efficiency ratios. In conclusion, there was some improvement in terms of capital adequacy and loan structure as far as the total capital employed of the merged institutions is concerned, but without improving the profitability of the banks during the economic crisis in Greece.

scholarly journals Финансовая устойчивость банковского сектора Казахстана

2020 ◽  
pp. 124-132
Author(s):  
D. Kerimkulova ◽  
G. Alina ◽  
M. Zholamanova ◽  
Д.Д. Керимкулова ◽  
Г.Б. Алина ◽  
...  
Keyword(s):  
Financial Stability ◽  
Banking Sector ◽  
Equity Capital ◽  
Capital Adequacy ◽  
Theoretical Development ◽  
National Bank ◽  
Second Tier ◽  
Relationship Of ◽  
The Impact

Today, the banks’ financial stability remains one of the most important problems in both scientific and practical aspects. Various factors play a role in achieving financial stability. The most important of which are the adequacy and quality of equity capital, which also serves as an indicator of financial stability. Based on this, this article examines the relationship of the Bank's equity capital with indicators of financial stability. Based on the study of previously published literature, the authors show the degree of scientific and theoretical development of the problem by both domestic and foreign scientists. Based on the materials of the Kazakhstan’ second-tier banks, was conducted a statistical analysis of the domestic second-tier banks equity capital for 2014-2019. A detailed analysis of the structure, quality and capital adequacy ratios of the banking sector of Kazakhstan for a five-year period was carried out. The article also examines the impact and role of the regulator-the National Bank on the financial stability of the country's banking sector. На сегодняшний день финансовая устойчивость банков остается одной из важных проблем как в научно-теоретическом так и практическом аспекте. В достижении финансовой устойчивости играют роль различные факторы. Важными из которых являются достаточность и качество ссудного портфеля, что также служит индикатором финансовой устойчивости. Исходя из этого в данной статье рассмотрена взаимосвязь собственного капитала банка с показателями финансовой устойчивости. На основании изучения ранее изданной литературы авторы показывают степень научно-теоретической разработанности проблемы как отечественными, так и зарубежными учеными. На материалах банков второго уровня Республики Казахстан проведен статистический анализ собственного капитала отечественных банков второго уровня за 2014-2019 годы. Проведены детальный анализ структуры, качества и рассчитаны коэффициенты достаточности собственного капитала банковского сектора Казахстана за пятилетний период. В статье также рассматривается влияние и роль регулятора – Национального Банка на финансовую стабильность банковского сектора страны. На основе анализа литературы и практической ситуации обосновываются задачи и перспективы деятельности банков по стабилизации финансового состояния и повышению качества собственного капитала. Авторы также проводят аналитический обзор текущей ситуации в банковском секторе в целом, деятельности Национального банка по повышению финансовой устойчивости банковского сектора и результатов оценки качества активов.

scholarly journals Does the target market affect bank performance? Evidence from the geographic diversification of city commercial banks in China

2021 ◽  
Vol 15 (1) ◽  
Author(s):  
Xiaonan Li ◽  
Chang Song
Keyword(s):  
Commercial Banks ◽  
Banking Sector ◽  
Capital Adequacy ◽  
Bank Performance ◽  
Chinese Government ◽  
Target Market ◽  
Geographic Diversification ◽  
Cross Sectional ◽  
The Impact ◽  
Geographical Diversification

AbstractAfter the opening up of the banking sector to domestic and foreign capitals which is approved by the Chinese government, the China Banking Regulatory Commission (CBRC) has permitted city commercial banks to diversify geographically. Since this deregulation in 2006, city commercial banks began to geographically diversify to occupy the market and acquire more financial resources. To examine the causal relationship between geographical diversification and bank performance, we construct an exogenous geographical diversification instrument using the gravity-deregulation model and a policy shock. We find that bank geographical diversification negatively affects bank performance. Moreover, we conduct some mechanism tests in the Chinese context. We find that the target market with several large- and medium-sized banks and a high level of local protectionism in the target market decreases the performance of city commercial banks. Finally, cross-sectional analyses show that the impact of geographical diversification on banks’ performance is more notable among city commercial banks that are younger, and have a lower capital adequacy ratio and a higher non-performing loan ratio.

scholarly journals Assessing the Impact of Corporate Governance Index on Financial Performance in the Romanian and Italian Banking Systems

2021 ◽  
Vol 13 (10) ◽  
pp. 5535
Author(s):  
Marco Benvenuto ◽  
Roxana Loredana Avram ◽  
Alexandru Avram ◽  
Carmine Viola
Keyword(s):  
Corporate Governance ◽  
Financial Performance ◽  
Banking Sector ◽  
Research Question ◽  
Interactive Effect ◽  
Banking System ◽  
Capital Adequacy ◽  
Banking Systems ◽  
Governance Index ◽  
The Impact

Background: Our study aims to verify the impact of corporate governance index on financial performance, namely return on assets (ROA), general liquidity, capital adequacy and size of company expressed as total assets in the banking sector for both a developing and a developed country. In addition, we investigate the interactive effect of corporate governance on a homogenous and a heterogeneous banking system. These two banking systems were chosen in order to assess the impact of corporate governance on two distinct types of banking system: a homogenous one such as the Romanian one and a heterogeneous one such as the Italian one. The two systems are very distinct; the Romanian one is represented by only 34 banks, while the Italian one comprises more than 350 banks. Thus, our research question is how a modification in corporate governance legislation is influencing the two different banking systems. The research implication of our study is whether a modification in legislation, thus in the index of corporate governance, is feasible for two different banking sectors and what the best ways to increase the financial performance of banks are without compromising their resilience. Methods: Using survey data from the Italian and Romanian banking systems over the period 2007–2018, we find that the corporate governance has a significant, positive and long-lasting effect on profitability and capital adequacy in both countries. Results: Taking the size of the company into consideration, the impact of the Index of Corporate Governance (ICG) on a homogenous banking system is positive while the impact on a heterogeneous banking system is negative. Conclusions: Our study provides evidence of the impact of IGC on financial performance and sheds light on the importance of the size of the company. Therefore, one can state that the corporate governance principles applied do not encourage the growth of large banks in heterogeneous banking sectors, thereby suggesting new avenues of research associated with new perspectives.

scholarly journals EVALUATION OF FUNCTIONAL PERFORMANCE OF THE BANKING SYSTEM OF UKRAINE IN CONDITIONS FINANCIAL INSTABILITY

2021 ◽  
Author(s):  
Nataliia Danik ◽  
Kateryna Novak ◽  
Anastasiia Yakovenko
Keyword(s):  
Economic Crisis ◽  
Financial Stability ◽  
Structural Changes ◽  
Banking Sector ◽  
Synergistic Effects ◽  
Banking System ◽  
Scientific Article ◽  
Financial Instability ◽  
Industrial Complex ◽  
The Impact

The article covers the problems of the functioning of the banking sector of Ukraine during 2018-2021, as one of the main sectors of the financial market and the national economy as a whole. When analyzing the state of the banking sector, regularities and general trends in the functioning of the banking sector of Ukraine have been established, and appropriate calculations have been made. The impact of global financial crises on the activities of banking structures, which must operate in conditions of constant financial instability, is described. Today, the whole world, including Ukraine, is on the verge of a global financial and economic crisis. This raises the question of whether Ukrainian banks have the necessary margin of resilience to vulnerabilities to the financial and economic crisis. In recent years, the functioning and development of the banking system has been characterized by increased financial stability, the level of bank capitalization, liquidity, some improvement in asset quality, reducing risks in banking, as well as the presence of positive structural changes. Today, Ukraine's banking system operates in a complex socio-economic and legal environment, most of which - macroeconomic instability, irrational structure of the industrial complex, the crisis of science and technology, imperfect fiscal and monetary policy, low level of effective demand - complicate sustainable development banking sector and increase competitiveness. In conditions of instability, intensification of turbulent processes, the development of the banking system requires new innovative approaches to determining the mechanisms of effective functioning and stable development based on a system-synergetic approach, which led to the choice and relevance of the chosen topic of this scientific article. Efficiency of banks is a multicomponent, multifaceted, multidimensional system characteristic that depends on many factors and is an effective indicator of performance of functions and achievement of goals and objectives of banks development provided financial stability based on financial stability and dynamic balance, achievement of multiplicative and synergistic effects.

scholarly journals Editorial

2007 ◽  
Vol 6 (2) ◽  
pp. v-vi
Author(s):  
Leena James
Keyword(s):  
Information Technology ◽  
Public Sector ◽  
Social Movement ◽  
Banking Sector ◽  
Work Process ◽  
The Public ◽  
Customer Base ◽  
Public Sector Banks ◽  
National Bank ◽  
The Impact

The eleventh issue of Ushus brings to you a wide variety of scholarly articles encompassing socio-economic and managerial issues. The first paper "Information technology and banking sector with reference to customer satisfaction" focuses on the impact of automation of the public sector banks as per the reflections of the bank officials and the customers. The crest of the article lies in the fact that the customers are being able to keep abreast with the exchange of automation in the modern banking practices and the survey brings out their perception towards it and throws some light on the effective ways to deal with this crisis. The study concludes with the analytical results that public sector bank customers have a positive inclination towards technological upgradation but the banks need to be more flexible in their work process and focus on marketing themselves in order to entrap a larger customer base. The paper titled "Administration of micro-credit by national bank" talks about the successful micro-finance initiatives taken by NABARD how aptly they had been implemented and evolved as a sustainable social movement over a decade now.

scholarly journals Impact of Financial Ratios on Stock Price: Evidence from Indian Listed Banks on NSE

2021 ◽  
Vol 11 (4) ◽  
pp. 5132-5144
Author(s):  
Nitish Rane ◽  
Pooja Gupta
Keyword(s):  
Stock Prices ◽  
Stock Price ◽  
Banking Sector ◽  
Study Data ◽  
Capital Adequacy ◽  
Financial Ratios ◽  
Annual Reports ◽  
Earnings Per Share ◽  
Net Interest Margin ◽  
The Impact

This study aims to examine the impact of financial ratios on the stock prices of companies listed on NIFTY Bank. Nifty Bank is a sub-index of NIFTY 50 and has various listed banks included based on the criteria given by NSE. This study data has been taken from the period 2010-2019 and taken from the company annual reports. The analysis is done using panel data regression and other tests to verify the best model for the dataset. The results obtained from this study show that the capital adequacy ratio and the dividend payout ratio do not impact the stock price. In contrast, earnings per share, net NPA ratio, and basic earnings per share, net profit margin, and net interest margin exhibited a relationship with the stock price. In the Indian context, there is less research available on this topic, and the idea chosen for the study is original. Along with this, the data collected for the study and the code used for analysis is original work. New investors can use the results of this study in the Indian stock market to analyze a stock and take proper investment decisions. Another practical usage of this study is that banking sector companies can improve their ratios to attract new investors.

scholarly journals Impact of Implementation of Goods and Service Tax on Indian Banking Sector

2018 ◽  
pp. 18-32
Author(s):  
Revathi R. ◽  
Madhushree ◽  
P. S. Aithal
Keyword(s):  
Economic Growth ◽  
Banking Sector ◽  
Value Added ◽  
Tax System ◽  
Tax Rate ◽  
Bank Branches ◽  
Goods And Services ◽  
The Government ◽  
One Year ◽  
The Impact

The banking sector is one of the biggest and revenue generating sector in our economy. Indiais a country with impressively splendid banks with sufficient capital and well-regulated rulesand regulations. One of the biggest transformations that the sector faced during this period isGST i.e., Goods and Service Tax, a new tax regime introduced in the midnight of 1 July2017. Now the new tax regime has become one year old and there are so many changeswhich happened in the banking sector during this one-year periods. Introduction of GST tothe banking sector was one the highly risky and challenging role for the government. GST isa replacement to the Value Added Tax (VAT) which was implied on goods and services. Themain purpose of studying the impact of implementation of GST is to avoid double taxationon goods and services. It is a self-regulated tax system with a simplifies tax regime whichreduces the multiplicity of tax. The purpose of this study is to know the challenges faced bythe Banking sector and its effects on the customers after the implementation of the GST.New tax regime made an incredible step by the abolish of centralized registration of thebanks. Now all the bank branches have to register under GST in each state for the smoothfunctioning. The tax rate has created an impression in the banking sector that the sector iscontributing much toward the economic growth of the country. Tax slabs is anotherimportant and critical thing discussed in this paper which has substantially increasedcompared to the old tax regime. Data for the study have been collected from secondary datasources such as journals, internet, and news articles. Using the ABCD qualitative analysistechnique, advantages, benefits, constraints, and disadvantages for both banks and thecustomers for payment of GST are identified.

scholarly journals The Impact of Non-Monetary Benefits on Employee Performance in Commercial Banks of Hyderabad, Sindh, Pakistan

2019 ◽  
Vol 6 (3) ◽  
pp. 16-19
Author(s):  
Abdul Ghafoor Kazi ◽  
Rafia Almani Baloach ◽  
Bilal Ahmed Khan ◽  
Mehwish Syeda
Keyword(s):  
Career Development ◽  
Multiple Regression ◽  
Banking Sector ◽  
Employee Performance ◽  
Statistical Tests ◽  
Reliability Test ◽  
Independent Variables ◽  
Flexible Working ◽  
Private Banking ◽  
The Impact

The purpose of this research was to analyze the impact of Non-monetary rewards on employee job performance in private banking sector of Hyderabad Pakistan. The study focused on factors such as recognition, career development, flexible working schedule (independent variables) and employee performance (dependent variable). The relationship between dependent and independent variables are empirically verified through statistical methods. The statistical tests like reliability test and multiple regression statistics were used for data analysis. Primary method was adopted for the collection of data in the form of questionnaire. Total respondents were 50 that were physically contacted. In reliability test all variables (03 independent and one dependent variable) were found reliable with good and excellent remarks. The value of Beta indicated positive relationship with dependent variable i.e. employee performance. In multiple regression analysis, independent variables recognition, career development and flexible working schedule were found insignificant.

scholarly journals Role of Business Intelligence in Banking Sector for Achieving Competitive Advantage- An Empirical Analysis

2021 ◽  
Vol 19 (1) ◽  
Keyword(s):  
Competitive Advantage ◽  
Business Intelligence ◽  
Quantitative Research ◽  
Banking Sector ◽  
Statistical Tests ◽  
Firm Strategy ◽  
Middle Level ◽  
Mediating Role ◽  
The Impact

With recent advancements in information technology, organizations’ capability to acquire and analyze data for efficient decision making has increased. Good strategies promote alignment among processes and technology in use, which may result in better firm performance. However, there has been little focus on how firm strategies and business intelligence (BI) systems might play their part in forming organizational information and getting a competitive edge. Therefore, the purpose of conducting this study is to investigate the impact of firm strategy on firm competitive advantage with mediating role of BI adoption and moderating role of BI capabilities. For this, a quantitative research methodology was used, and data was collected from 300 middle-level managers in Pakistan's telecom sector. Statistical tests such as descriptive statistics, correlation, reliability analysis, one-way ANOVA, confirmatory factor analysis, and mediation analysis through Hayes process were performed using SPSS and AMOS. The findings revealed a positive link between firm strategy and competitive advantage, with business intelligence adoption serving as a mediating factor. Business intelligence capabilities positively moderate the relationship between BI adoption and competitive advantage. Hence, all proposed hypotheses (H1, H2, and H3) were approved. The contribution and Limitation of the study are also discussed.

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