scholarly journals Concentration in Botswana's banking sector

2003 ◽  
Vol 6 (4) ◽  
pp. 822-847 ◽  
Author(s):  
T Kayawa ◽  
A Amusa
Keyword(s):  
Commercial Banks ◽  
Banking Sector ◽  
Financial Sector ◽  
Market Concentration ◽  
Commercial Banking ◽  
Herfindahl Index ◽  
Input And Output ◽  
Alternative Measures ◽  
Empirical Methodology

This study examines the degree of competition and efficiency within the commercial banking sector of Botswana. By applying the Herfindahl index, the paper provides an empirical methodology for assessing competition and market concentration among commercial banks. The study also utilises alternative measures of bank input and output by developing simple descriptive indices to assess the level of efficiency in Botswana’s banking sector. Overall, the results indicate that the implementation since 1989, of policies to liberalise and reform financial sector activities has contributed to increased competitiveness and efficiency amongst Botswana’s commercial banks.

scholarly journals Corporate governance practices in the banking sector of Bangladesh: do they really matter?

2017 ◽  
Vol 12 (1) ◽  
pp. 27-35 ◽  
Author(s):  
Samiul Parvez Ahmed ◽  
Rahatul Zannat ◽  
Sarwar Uddin Ahmed
Keyword(s):  
Corporate Governance ◽  
Commercial Banks ◽  
Banking Sector ◽  
Global Financial Crisis ◽  
Stock Exchange ◽  
Financial Sector ◽  
Jel Classification ◽  
Data Availability ◽  
Time Period ◽  
Governance Practices

A well governed institution is expected to use its resources optimally and, thus, perform more efficiently and contribute positively to economic development of a nation. However, often, it can be seen that poor management of the stakeholders leads to less than optimal strategic directions for an institution. Due to recent global financial crisis and rising issues of the Bangladeshi banking sector, corporate governance is one of the factors that have gained considerable attention. Recent drive of the governance issues of the banking sector of Bangladesh is expected to bring positive change in the financial sector and, hence, it is crucial to assess whether complying with governance codes leads to desired outcome or not. Specifically, the main purpose of this study is to examine the relationship between performances of commercial banks with corporate governance factor along with some internal and macroeconomic variables. Thus, the listed commercial banks in the Dhaka Stock Exchange (DSE) of Bangladesh were considered for the study. Subsequently, considering data availability of the time period (2011-2014), 29 listed commercial banks in the DSE have been considered and, hence, Ordinary Least Squared (OLS) regression models were used through Eviews 8.0 for analyzing the data. Though the study shows a positive relation between corporate governance and performances of banks, the statistical insignificance of the relation raises concern regarding various issues of corporate governance in the financial sector of Bangladesh. Keywords: corporate governance, financial institutions, performances of commercial banks. JEL Classification: G21, G30, G38, G39, O16

scholarly journals المحددات التي تواجه نظام الرقابة الداخلية في بيئة المصارف التجارية

2017 ◽  
Vol 3 (4) ◽  
pp. 179
Author(s):  
Journals UHD ◽  
Dana Akram Faqe Mahmood ◽  
Shilan Arf Ahmad
Keyword(s):  
Control Systems ◽  
Internal Control ◽  
Commercial Banks ◽  
Banking Sector ◽  
Commercial Banking ◽  
Negative Effects ◽  
Internal Auditor ◽  
Regulatory Systems ◽  
Policies And Procedures ◽  
Banking Institutions

This study was conducted to examine the work of internal control systems in banking institutions. It focused on studying the determinants facing the internal censorship system in the commercial banking sector by identifying the deficiencies and shortcomings in the regulatory systems and their negative effects from financial and administrative failure, the overall weak performances and etc, and also by determining the main reasons and obstacles that prevents the application from development of the internal censorship systems in commercial banks. A practical study had been made on a sample of the commercial banks operating in Sulaymaniyah governorate .In order to achive the goal, five commercial banks were used to collect the data from. The researchers used questionairre while collecting data in which they entered the information and data were processed automatically and through statistical models in order to test hypotheses and prove them. The results of the statistical analysis showed that there is a strong correlation between the variables of the research hypothesis and the internal censorship's objectives and the constraints facing to their application in the commercial banking sector of a degree at (0.607). The results showed that the increase of the determinants of the work of internal censrorship systems affected the achievement of the objectives that pursuied by the internal censorship in commercial banks in specifics. The researchers reccomended that there should be a commitments to the laws , accounting policies and procedures that applied to protect the assets especially by the commercial bank's management and to detect errors , fraud and manipulation to support the independency of the work of internal auditor and activate its role to achieve the objectives targeted by the internal censorship systems in commercial banks.

Market structure-performance hypothesis in Kenyan banking industry

2015 ◽  
Vol 10 (4) ◽  
pp. 697-710 ◽  
Author(s):  
Solomon W. Giorgis Sahile ◽  
Daniel Kipkirong Tarus ◽  
Thomas Kimeli Cheruiyot
Keyword(s):  
Market Structure ◽  
Market Efficiency ◽  
Market Share ◽  
Commercial Banks ◽  
Banking Sector ◽  
Banking Industry ◽  
Developing Economies ◽  
Market Concentration ◽  
Bank Performance ◽  
Content Type

Purpose – The purpose of this paper is to test market structure-performance hypothesis in banking industry in Kenya. Specifically, the structure-conduct-performance (SCP) and market efficiency hypotheses were examined to determine how market concentration and efficiency affect bank performance in Kenya. Design/methodology/approach – The study used secondary data of 44 commercial banks operating from 2000 to 2009. Three proxies to measure bank performance were used while market concentration and market share were used as proxies for market structure. Market concentration was measured using two concentration measures; the concentration ratio of the four largest banks (CR4) and Herfindahl-Hirschman Index, while market share was used as a proxy for efficiency. The study made use of generalized least square regression method. Findings – The empirical results confirm that market efficiency hypothesis is a predictor of firm performance in the banking sector in Kenya and rejects the traditional SCP hypothesis. Thus, the results support the view that efficient banks maximize profitability. Practical implications – The study provides insights into the role of efficiency in enhancing profitability in commercial banks in Kenya. It has managerial implication that profitable banks ought to be efficient and dispels the notion of collusive behavior as a precursor for profitability. Originality/value – The paper fills an important gap in the extant literature by proving insights into what determines bank profitability in banking sector in Kenya. Although this area is rich in research, little work has been conducted in the developing economies and in particular no study in the knowledge has addressed this critical issue in Kenya.

scholarly journals Gender Inequality and Human Resource Management (HRM) Practices in Jordanian Commercial Banks

2020 ◽  
Vol 10 (1) ◽  
pp. 369
Author(s):  
Mohamad Noor Al-Jedaiah
Keyword(s):  
Human Resource Management ◽  
Human Resource ◽  
Gender Inequality ◽  
Commercial Banks ◽  
Banking Sector ◽  
Commercial Banking ◽  
Simple Random Sample ◽  
Women Empowerment ◽  
Hrm Practices ◽  
Independent Variable

This research aims at investigating the inequality practices against women in Jordanian commercial banking sector. To reach this objective, the research studied both HRP and inequalities faced women. The questionnaire was used as a tool to collect data. The HRP used as independent variable, while the inequalities resulted used as dependent variable. Simple random sample was selected of female bankers. The results showed that inequality practices existed in banking workplace. These inequalities resulted from both, the HRP and managers’ evaluation of women in baking sector. The results showed the inequality practices are source of minimizing women empowerment in banking sector.

The Fourth Industrial Revolution and private commercial banks: the good, bad and ugly

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Asif Rahman ◽  
Md. Joynal Abedin
Keyword(s):  
Commercial Banks ◽  
Industrial Revolution ◽  
Banking Sector ◽  
Stock Exchange ◽  
Vital Role ◽  
Commercial Banking ◽  
Digital Products ◽  
Content Type ◽  
Traditional System ◽  
Fourth Industrial Revolution

Purpose This study aims to assess how new and emerging technologies can contribute to achieving the financial goals of the private commercial banking sector in Bangladesh. It considers the perception among the top management about the Fourth Industrial Revolution (4IR) and further measures the readiness of private commercial banks (PCBs) to become resilient. Design/methodology/approach This study attempts to measure the perception and readiness of the commercial banking sector because of the 4IR based on the stratified sampling method. The research is qualitative and selected PCBs listed in the Dhaka Stock Exchange. 4IR in the context of the banking sector in Bangladesh is a problem that has not been studied more clearly, intended to establish priorities, develop operational definitions and improve the final research design. Findings This research has identified a significant gap of study in the preparedness among the private commercial banking sector in Bangladesh to confront the 4IR while indicating the most significant risks and managerial insights. The findings show technologies will dramatically change the nature of work. Traditional system of banking from the branch will be shifting into banking from everywhere. Hence, digital products and services will foster value-driven business. The result of the study also states the readiness of the banking sector is in the preliminary stage and endorses some of the coping approaches. Research limitations/implications Different schools of thought regarding the role of the 4IR and its future consequences have been observed. The corporate sector in Bangladesh has an inclusive lack of understanding regarding the 4IR. Practical implications The insights may provide directions to banking financial institutions of Bangladesh to thrive during the 4IR. This study is intended to assist policymakers, decision-makers and employees of PCBs to increase awareness and preparedness for future challenges that may appear from the 4IR where the 41 competitive PCBs play vital role in turning the fast emerging Bangladesh economy. Originality/value The contribution of this paper associates with academics and bankers to increase understanding of coping in the context of the escalating use of emerging technology-driven banking services within the PCBs in Bangladesh by determining perception and testing different forms of readiness including a variety of important outcomes such as risks.

scholarly journals The Threats of Unsystematic Risks in Jordanian Commercial Banking Sector

2017 ◽  
Vol 9 (9) ◽  
pp. 175
Author(s):  
Ghaith N. Al-Eitan ◽  
Ismail Y. Yamin
Keyword(s):  
Credit Risk ◽  
Commercial Banks ◽  
Banking Sector ◽  
Fixed Effect Model ◽  
Commercial Banking ◽  
Capital Adequacy ◽  
Credit Risk Management ◽  
Effect Model ◽  
The Impact ◽  
The Empirical Analysis

The objective of this study is to empirically examine the effect of unsystematic risks on the performance of commercial banks in Jordan, using panel data for the period of 10 years (2005-2015). The study uses earning per share and dividends as dependent variables to represent Banks’ performance. The empirical analysis based on the fixed effect model selected on the basis of Hausman test. The results indicate that the impact of Non-performing loans on commercial banks’ dividends is positive and significant while the impact of capital adequacy is negative and statistically significant on dividends. The results indicate that the credit risk, liquidity risk, non-performing loan and capital adequacy have significant effect on earnings per share and the effects are negative as expected. Based on the study it is recommended that the Jordanian commercial banks needs enhance the process of credit risk management to determine loan defaulter and impose the appropriate legal action against them.

scholarly journals Does banking sector performance promote economic growth? Case study of Jordanian commercial banks

2017 ◽  
Vol 15 (2) ◽  
pp. 55-64 ◽  
Author(s):  
Ayman Mansour Khalaf Alkhazaleh
Keyword(s):  
Economic Growth ◽  
Commercial Banks ◽  
Banking Sector ◽  
Positive Association ◽  
Political Stability ◽  
Commercial Banking ◽  
Least Square ◽  
Bank Performance ◽  
Significant Positive Association ◽  
Ordinary Least Square

Spurred by the need to evade possible parameter bias associated with earlier works, this study intended to address the subject of whether performance of commercial banking contributes to economic growth. With the aim of answering this question, the present review concentrates on analyzing the association between profitability, deposit and credit facilities as proxy for performance of commercial banks while gross domestic product proxies economic growth. The population of the study is characterized by the Jordanian banking industry; the study enclosed a period of six years from 2010 to 2015 constructed on the annual report of thirteen chosen banks. Using Ordinary Least Square, the regression outcomes found a significant positive association between measures of bank performance and economic growth. Findings demonstrate that measures of bank performance in particular profitability deposits credits have positive relationship with economic growth as measured by GDP. The empirical results suggest that the policy creators should make arrangements to augment and prompt the banking sector in Jordan on account of its key significance in making and advancing development of the economy. It additionally can be inferred that not only commercial banking performance but also other movables such as political stability and technology may assume essential part in the economic prosperity in Jordan.

scholarly journals The Impact of Business Intelligence on Strategic Performance in Commercial Banks Operating in the Sate of Kuwait

2020 ◽  
Vol 13 (8) ◽  
pp. 91
Author(s):  
Hamad Salem Al-Merri
Keyword(s):  
Data Storage ◽  
Business Intelligence ◽  
Commercial Banks ◽  
Analytical Approach ◽  
Banking Sector ◽  
Data Extraction ◽  
Commercial Banking ◽  
Strategic Performance ◽  
The State Of Kuwait ◽  
The Impact

This study aimed to identify the impact of business intelligence on strategic performance in commercial banks operating in the State of Kuwait the researcher used the descriptive analytical approach to introduce both business intelligence and strategic performance. The study population consisted of employees working in top and middle management in commercial banks operating in State of Kuwait. Stratified random sample amounting 363 subjects was used. 270 questionnaires were collected representing 74.3% of the total sample. The study concluded that business intelligence system ensures data processing using data storage techniques and data extraction to obtain consistent and qualified information, thus providing the required knowledge to achieve the strategic goals and objectives by end users and executives in the future. The researcher recommends that Kuwaiti banks should keep pace with developments in the field of business intelligence to be employed in a better way in enhancing its strategic performance, in addition to conduct future studies that follow the analytical approach to deepen its utilization in Kuwaiti commercial banking sector.

scholarly journals Global Stablecoins: Monetary Policy Implementation Considerations from the U.S. Perspective

2021 ◽  
Vol 2021 (020) ◽  
pp. 1-14
Author(s):  
Matthew Malloy ◽  
◽  
David Lowe ◽  
Keyword(s):  
Monetary Policy ◽  
Policy Implementation ◽  
Banking Sector ◽  
Balance Sheet ◽  
Financial Sector ◽  
The United States ◽  
Cash Flows ◽  
Commercial Banking ◽  
Balance Sheets ◽  
Bank Reserves

This note explores the potential effects of the widespread adoption of a global stablecoin (GSC) on key aggregate financial sector balance sheets in the United States. To do this, we map out cash flows of GSC transactions among financial sector entities using a stylized set of 't-accounts'. By analyzing these individual transactions, we infer aggregate and compositional effects on U.S. commercial banking sector and Federal Reserve balance sheets. Through this lens, we also consider how these balance sheet changes could affect monetary policy implementation, the demand for central bank reserves, and the market for U.S. dollar safe assets.

scholarly journals Procesy koncentracji w polskim sektorze bankowym

2004 ◽  
pp. 69-87
Author(s):  
Elżbieta Kacperska ◽  
Jakub Kraciuk
Keyword(s):  
Commercial Banks ◽  
Banking Sector ◽  
Banking System ◽  
Financial Sector ◽  
Foreign Banks ◽  
Financial Policy ◽  
Foreign Investors ◽  
Banking Sector Development ◽  
The World ◽  
Set Up

The financial sector presents the strongest tendency towards capital concentration, what is the effect of its deregulation, liberalization and strong competitiveness. Fusions and foreign investors, who are taking banks over, are accomplishing this concentration. From the beginning of 1993 until the first quarter of 2004, the number of active commercial banks decreased from 87 to 59 and 27 fusions and assumptions were noticed. At the beginning of 2004 foreign investors controlled 46 commercial banks out of 59 operating in Poland. The value of their investments exceeded 7 .2 billions PLN and they owned 76.3% of equity and supplementary funds and 67.4% of assets. Owing to these investments, the banking sector development has started and the investors subsidised existing banks, improved infrastructure and made many innovations. The large foreign banks, which were set up as a result of concentration, made banking system more effective and facilitated development of national economy. On the other hand, the superior contribution of large foreign banks obstructs national financial policy and makes the financial sector sensitive to prosperity fluctuations and a crisis of the world banking system.

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