scholarly journals Factors affecting Non-Performing Loans (NPLs) of banks: The case of Vietnam

2020 ◽  
Vol 10 (2) ◽  
Author(s):  
Vo Minh Long ◽  
Nguyen Thi Yen ◽  
Pham Dinh Long
Keyword(s):  
Commercial Banks ◽  
Fixed Effects ◽  
Inflation Rate ◽  
Research Problem ◽  
Random Effects Model ◽  
Policy Recommendations ◽  
Fixed Effects Model ◽  
Factors Affecting ◽  
Negative Impacts ◽  
Problem Data

This study aims to identify factors affecting Non-Performing Loans (NPLs) of commercial banks in Vietnam. To address the research problem, data of commercial banks in Vietnam from 2008 to 2017 were collected. This study applied a fixed-effects model in comparison with a random-effects model on a panel data of 200 observations. Results from the firmly fixed-effects model indicated that NPLs were positively affected by its lag of the previous year, capital structure, and interest rate. Additionally, returns on asset, inflation rate, and credit growth were found to have negative impacts on NPLs. However, impacts of firm size and gross domestic product were not found across the models. Based on the results, this research suggested several policy recommendations for the management of NPLs in the commercial banks.

scholarly journals The impact of credit risk and macroeconomic factors on profitability: the case of the ASEAN banks

2020 ◽  
Vol 15 (1) ◽  
pp. 21-29
Author(s):  
Myra V. De Leon
Keyword(s):  
Credit Risk ◽  
Fixed Effects ◽  
Inflation Rate ◽  
Ordinary Least Squares ◽  
Gdp Growth ◽  
Fixed Effects Model ◽  
Macroeconomic Factors ◽  
Factors Affecting ◽  
Level Of Significance ◽  
The Impact

This study investigates the effect of credit risk and macroeconomic factors on profitability of 20 ASEAN banks, particularly from Indonesia, Malaysia, Thailand and Philippines, covering the period of 2012 to 2017. The unbalanced panel data were tested for heteroscedasticity and normality. A fixed effects model and a random effects model were utilized followed by simple ordinary least squares (OLS) regression. The obtained results show that credit risk and GDP growth negatively affect Return on Equity (ROE) at 5% level of significance. The inflation rate increases ROE by 0.323%. In terms of influence, inflation has the highest impact on ROE followed by GDP growth and credit risk. Credit risk and GDP growth negatively affect Return on Assets (ROA) at 5% level of significance. ROA was also influenced by an increase in inflation rate. Therefore, this study will help banks and bank managers, depositors, investors, policy makers and governments to identify factors affecting bank profitability.

scholarly journals Factors Affecting the Competitive Capacity of Commercial Banks: A Critical Analysis in an Emerging Economy

2020 ◽  
Author(s):  
Kieu Oanh Dao ◽  
Le Kieu ◽  
Pham Thuy Tu ◽  
V.C. Nguyen
Keyword(s):  
Market Power ◽  
Commercial Banks ◽  
Fixed Effects ◽  
Stock Exchange ◽  
Generalized Method Of Moments ◽  
Banking System ◽  
Least Square ◽  
Fixed Effects Model ◽  
Factors Affecting ◽  
The Impact

This research was conducted to investigate the factors influencing the commercial bank’s competitive capacity in an emerging country. Data were collected from the domestic-owned commercial banks and foreign-owned commercial banks listed on Vietnam’s Stock Exchange over the period of nine years from 2010 to 2018. Three statistic approaches were employed to address econometrics issues and to improve the accuracy of the regression coefficients: Pooled Ordinary Least Square (Pooled OLS), Random Effects Model (REM), and Fixed Effects Model (FEM). To correct the diagnostics and endogeneity in the model, the study uses Generalized Least Square (GLS) and Generalized Method of Moments (GMM). In order to account for the degree of competitive capacity we use Lerner index. Results demonstrate that the impact of bank-specific characteristics on market power in banks is statistically significant, and there are substantial distinguishments of economic consideration among these factors. In addition, a bank with a higher level of competitive capacity in the previous year will outstandingly generate competitive capacity in the current year. Another possibility, a greater level foreign investment into the banks in the host country could further encourage competitive capacity in the banking system. Finally, economic growth rate has no impact on competitive capacity at a significant level of 5% while a positive effect from inflation on bank’s market power could be found.

scholarly journals Factors Affecting the Competitive Capacity of Commercial Banks: A Critical Analysis in an Emerging Economy

2020 ◽  
Vol 11 (4) ◽  
pp. 241 ◽  
Author(s):  
Le Kieu Oanh Dao ◽  
Thuy Tu Pham ◽  
Van Chien Nguyen
Keyword(s):  
Market Power ◽  
Commercial Banks ◽  
Fixed Effects ◽  
Stock Exchange ◽  
Generalized Method Of Moments ◽  
Banking System ◽  
Least Square ◽  
Fixed Effects Model ◽  
Factors Affecting ◽  
The Impact

This research was conducted to investigate the factors influencing the commercial bank’s competitive capacity in an emerging country. Data were collected from the domestic-owned commercial banks and foreign-owned commercial banks listed on Vietnam’s Stock Exchange over the period of nine years from 2010 to 2018. Three statistic approaches were employed to address econometrics issues and to improve the accuracy of the regression coefficients: Pooled Ordinary Least Square (Pooled OLS), Random Effects Model (REM), and Fixed Effects Model (FEM). To correct the diagnostics and endogeneity in the model, the study uses Generalized Least Square (GLS) and Generalized Method of Moments (GMM). In order to account for the degree of competitive capacity we use Lerner index. Results demonstrate that the impact of bank-specific characteristics on market power in banks is statistically significant, and there are substantial distinguishments of economic consideration among these factors. In addition, a bank with a higher level of competitive capacity in the previous year will outstandingly generate competitive capacity in the current year. Another possibility, a greater level foreign investment into the banks in the host country could further encourage competitive capacity in the banking system. Finally, economic growth rate has no impact on competitive capacity at a significant level of 5% while a positive effect from inflation on bank’s market power could be found.

scholarly journals Determinants of Audit Report Lag of Commercial Banks in Nepal

2020 ◽  
Vol 15 (10) ◽  
pp. 108
Author(s):  
Bishnu Prasad Bhattarai
Keyword(s):  
Random Effects ◽  
Commercial Banks ◽  
Comparative Research ◽  
Fixed Effects ◽  
Sampling Technique ◽  
Random Effects Model ◽  
Fixed Effects Model ◽  
Audit Report ◽  
Board Size ◽  
Convenience Sampling

The purpose of the study to analyzed the determinants of audit report lag of commercial banks in Nepal. The secondary balance panel data of seven commercial banks for the period of 2013/2014 to 2017/ 2018, latest five years fresh data for the analysis. The sample have been choice from the convenience sampling technique. The descriptive statistics, correlational and casual comparative research design has been employed. The study has been selected audit report lag as dependent variable and return of total assets (ROA), leverage, size of bank, size of board, and bank age as independent variables. The result has been analysis by three different models like Pooled OLS, Fixed Effects and Random Effects Model with the help of Gretl Statistical Software version 1.9.4. The result of Poled OLS and Random Effects Model has appropriate of this cases. In the Fixed Effects Model has not prediction of statically because there is not any variable significant. The study found that leverage and board size are the determinants of audit report lag in the Nepalese commercial banks perspectives. The study also found that the minimum 18 days to maximum 242 days lag of audit report of sample banks. The study concluded that leverage and board size have major determinants of audit report lag in Nepalese samples banks perspectives.

scholarly journals The determinants of lending interest rates of Jordanian listed commercial banks

Accounting ◽  
2021 ◽  
pp. 719-726
Author(s):  
Ali Mustafa Al-Qudah
Keyword(s):  
Interest Rate ◽  
Interest Rates ◽  
Commercial Banks ◽  
Fixed Effects ◽  
Inflation Rate ◽  
Stock Exchange ◽  
Operating Cost ◽  
Cost Ratio ◽  
Fixed Effects Model ◽  
Amman Stock Exchange

This study aimed to examine the determinants of lending interest rates of 13 Jordanian commercial banks listed on the Amman Stock Exchange for the period 2011-2018. The factors include liquidity, profitability (ROA), bank size, operating cost ratio, deposit interest rate and inflation rate. The fixed effects model was performed as suggested by Hausman test. The results of the fixed effects model show that ROA and bank size had negative significant impacts on lending interest rates. Liquidity had a negative insignificant impact. The results also show that deposit interest rate and inflation had a positive significant impact on lending interest rate of Jordanian commercial banks. Operating cost ratio also had a positive insignificant impact. Thus, the results indicate that ROA, bank size, deposit interest rate and inflation were good determinants of the lending interest rates of Jordanian listed commercial banks. The study suggests that banks should use profitability and the size of the bank as tools to reduce the lending interest rate, as it is one of the factors that can cause a further decrease in the lending interest rates.

The relationship between migraine and infant colic: A systematic review and meta-analysis

Cephalalgia ◽  
2014 ◽  
Vol 35 (1) ◽  
pp. 63-72 ◽  
Author(s):  
Amy A Gelfand ◽  
Peter J Goadsby ◽  
I Elaine Allen
Keyword(s):  
Systematic Review ◽  
Random Effects ◽  
Odds Ratio ◽  
Fixed Effects ◽  
Meta Analysis ◽  
Random Effects Model ◽  
Fixed Effects Model ◽  
Primary Analysis ◽  
Infant Colic ◽  
The Relationship

Context Infant colic is a common and distressing disorder of early infancy. Its etiology is unknown, making treatment challenging. Several articles have suggested a link to migraine. Objective The objective of this article was to perform a systematic review and, if appropriate, a meta-analysis of the studies on the relationship between infant colic and migraine. Data sources Studies were identified by searching PubMed and ScienceDirect and by hand-searching references and conference proceedings. Study selection For the primary analysis, studies specifically designed to measure the association between colic and migraine were included. For the secondary analysis, studies that collected data on colic and migraine but were designed for another primary research question were also included. Data extraction Data were abstracted from the original studies, through communication with study authors, or both. Two authors independently abstracted data. Main outcomes and measures The main outcome measure was the association between infant colic and migraine using both a fixed-effects model and a more conservative random-effects model. Results Three studies were included in the primary analysis; the odds ratio for the association between migraine and infant colic was 6.5 (4.6–8.9, p < 0.001) for the fixed-effects model and 5.6 (3.3–9.5, p = 0.004) for the random-effects model. In a sensitivity analysis wherein the study with the largest effect size was removed, the odds ratio was 3.6 (95% CI 1.7–7.6, p = 0.001) for both the fixed-effects model and random-effects model. Conclusions In this meta-analysis, infant colic was associated with increased odds of migraine. If infant colic is a migrainous disorder, this would have important implications for treatment. The main limitation of this meta-analysis was the relatively small number of studies included.

The Study of the Factors Affecting Urban Residential Land Price

2013 ◽  
Vol 357-360 ◽  
pp. 2854-2858
Author(s):  
Hui Jiang ◽  
Sheng Hua Jia ◽  
Yan Feng Huang
Keyword(s):  
Fixed Effects ◽  
Positive Impact ◽  
Urban Infrastructure ◽  
Living Standards ◽  
Fixed Effects Model ◽  
Land Price ◽  
Residential Land ◽  
Factors Affecting ◽  
Panel Model ◽  
Level Of Economic Development

In this paper, we use the 2005-2010 data of 35 large and medium cities in China to establish a panel model, and fixed effects model is used to estimate the factors that affect the price of urban residential land. The empirical results show that urban infrastructure, the level of economic development, the living standards of residents and the size of the population have a significant positive impact on urban residential land price.

Advertising expenditures in Brazil and its connection with the international economy

2016 ◽  
Vol 9 (1) ◽  
pp. 43
Author(s):  
Fábio Pesavento ◽  
André Marques
Keyword(s):  
Fixed Effects ◽  
Economic Freedom ◽  
Inflation Rate ◽  
The United States ◽  
International Economy ◽  
Fixed Effects Model ◽  
Trade Relations ◽  
Level Of Activity ◽  
Economic Freedom Index ◽  
Significant Patterns

The strong performance of the Brazilian economy during the 2000s allows the expansion of various sectors, including the advertising market, associated with the growth of the domestic market and the intensification of trade relations with other countries. The main objective of this study is to test the Relative Constancy Principle (RCP) in the context of greater integration with international economy, controlling for several factors that may exhibit some influence on the performance of the advertising market. We adopt a panel data of two periods for 49 countries and estimate a linear fixed effects model with dummies, controlling for the heterogeneity and unobserved factors of the countries. The results suggest that the advertising market of China, the United States and India have significant patterns above the average. The study does not support the RCP, yet they identify important regularities in those countries in relation to the advertising market. The level of activity and international reserves have a significant effect on the advertising market in countries; the higher the share of industry and services (urbanization), the higher the expenses on advertising; the inflation rate is nonlinearly related to the advertising market performance; the economic freedom index and the presence of Generations X and Y are associated with a reduction in advertising expenditure.

Model selection between the fixed-effects model and the random-effects model in meta-analysis

2020 ◽  
Vol 13 (4) ◽  
pp. 501-510
Author(s):  
Ke Yang ◽  
Hiu-Yee Kwan ◽  
Zhiling Yu ◽  
Tiejun Tong
Keyword(s):  
Model Selection ◽  
Random Effects ◽  
Fixed Effects ◽  
Meta Analysis ◽  
Random Effects Model ◽  
Fixed Effects Model

scholarly journals Risks Of Sharia Commercial Bank In Indonesia: Analysis Of Internal And External Factors

2019 ◽  
Vol 1 (1) ◽  
pp. 81-94
Author(s):  
Erlinda Kurnia Aufa ◽  
Cita Sary Dja'akum
Keyword(s):  
Commercial Bank ◽  
Commercial Banks ◽  
Fixed Effects ◽  
External Factors ◽  
Capital Adequacy ◽  
Research Approach ◽  
Fixed Effects Model ◽  
Significant Negative Effect ◽  
Negative Effect ◽  
Internal And External Factors

Purpose - This study aims to analyze the effect of inflation, gross domestic product (GDP), capital adequacy ratio (CAR), and financing to deposit ratio (FDR) to non performing financing (NPF) at Islamic Commercial Banks in Indonesia.Method - The research approach used is a quantitative approach. Determination of samples is done by purposive sampling method. The data used is secondary data, obtained from publication reports on the official website of each Sharia Commercial Bank, Bank Indonesia, and the Central Statistics Agency. The population in this study were all Islamic Commercial Banks registered in the Statistics of Islamic Banking in Indonesia for the period 2013-2017. Based on the specified criteria, five Sharia Commercial Banks were obtained as research samples. This study uses panel data regression analysis with the Fixed Effects Model approach which is processed through the Eviews 10 program.Result - The results of hypothesis testing show that partially Inflation has a positive but not significant effect on NPF, GDP has a significant negative effect on NPF, CAR has a negative but not significant effect on NPF, and FDR has a significant negative effect on NPF. Simultaneously inflation, GDP, CAR, and FDR have a significant effect on NPF.Implication - This study uses all data from commercial Islamic bank.Originality - This study analyzes the determining factors that influence financing risks from both internal and external factors.

Sign in / Sign up

Export Citation Format

Share Document