Download or read book A STUDY ON FACTORS THAT AFFECTING THE FINANCIAL PERFORMANCE OF COMMERCIAL BANKS IN MALAYSIA written by YAMUNADEVI SELIYAN (TP036335) and published by . This book was released on 2016 with total page 100 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Financial Performance of Commercial Banks During Financial Crisis written by Zahariah Sahudin and published by LAP Lambert Academic Publishing. This book was released on 2012 with total page 68 pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper is analyzing the financial performance of selected Commercial Banks in Malaysia during the period of 2004-2008, during the financial crisis. It examines the impact of financial crisis to banks financial performance by employing the financial ratio analysis. The results indicate that that the selected commercial banks does not affected much by the financial crisis, it can be prove by finding results shows a significantly increase in the financial performance of commercial banks in Malaysia occurred during world economic turbulence. The paper is important to analyze the performances of commercial bank in Malaysia because the commercial banks are lending of economic growth in Malaysia. Thus the financial performances of commercial banks are positively reflected by the economic changes for the previous economic downturn but in the case of commercial banks in Malaysia, they are a slightly different. It shows that the financial crisis does not hit much to banking sector. This is proved by the statement issued by The Association of Banks in Malaysia (ABM) said that Malaysia's banking sector remains strong and well capitalized despite the turmoil in the global financial markets.

Download or read book Factors Influencing Commercial Bank Performance written by Ji Rui and published by . This book was released on 2012 with total page 71 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book The Influence of Bank and Board Characteristics written by Rochania Ayu Yunanda and published by . This book was released on 2011 with total page 272 pages. Available in PDF, EPUB and Kindle. Book excerpt: The banking industry has a significant role in an economy which serves as an intermediary to mobilize fund from the surplus units to the deficit units. Examining its performance could be beneficial to the stakeholders in assessing its profitability, liquidity and solvency. Good corporate governance is needed to ensure that the banks are accountable and provide reliable information regarding its financial performance. Indonesia as one of the developing countries is heading towards the implementation of good corporate governance. The Board of Commissioners has a foremost function in supervising the company's business activities in Indonesia. This study examined the factors influencing the financial performance of commercial banks in Indonesia. The study argued that financial performance could be influenced by the presence of good corporate governance. Furthermore, the study examined whether the size and the independence of the Board have significant roles in determining banking financial performance of commercial banks in Indonesia. This study examined the financial performance of 30 commercial banks including eight banks which provided both conventional and Islamic banking services and two fully-fledged Islamic banks. The dependent variables of this study comprised eight (8) financial ratios which are classified into three (3) categories namely profitability, liquidity and risk and solvency. The independent variables consisted of two groups i.e. bank characteristics (bank size, bank age, types of banks and Non Performing Loans (NPL)) and Board characteristics (Board size and Board independence). The study found that asset size has a statistically significant relationship with profitability only. Age was found to be a factor influencing profitability and liquidity. However, it did not show a statistically significant influence. In general, the results showed that commercial banks involved in Islamic banking and conventional banks have almost similar financial performance. These results are acceptable since both types of banks operated in the same industry and in the same country. NPL is found to have a statistically negative significant relationship with profitability and liquidity ratios. Lastly, the results indicated that size of the Board has a positive relationship with financial performance, but the study does not support the prediction that independent directors strengthen the company performance. The findings of the study will be useful to academicians, bankers, and regulators. Discussions relating to the factors influencing performance are provided. Other than that, the results suggested that corporate governance guidelines should reconsider determining and stating the number of Board members and composition of Board independence. The regulators should emphasize more on the specific roles of each Board, especially the Board of Commissioners.

Download or read book The Perceived Importance and Factors Influencing Disclosure in the Financial Reports of Commercial Banks in Malaysia written by Farahiyah Badri and published by . This book was released on 2006 with total page 250 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book THE FACTORS AFFECTING THE LIQUIDITY RISK OF MALAYSIA S COMMERCIAL BANKS written by YEOH SZE JIA (TP043941) and published by . This book was released on 2019 with total page 148 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Factors Affecting Net Interest Margin of Commercial Banks in Malaysia written by Kamarizah Zainol Abidin and published by . This book was released on 2012 with total page 86 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Factors Affecting the Performance of Financial Sector in Malaysia written by and published by . This book was released on 2012 with total page 63 pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper is to analyze and determine the factors that affecting the financial sector performance in Malaysia for the period of five years, from year 2006 to 2011. From the study, the result shows that, the performance of Malaysian financial sector is stable and quite profitable because of systematic Malaysian financial systems regulations and the strong financial capital. However, the global financial crisis occured during year 2008 to 2009 was affected the financial sector globally and affected the financial institution's service quality.

Download or read book Factors Influencing the Efficiency of Commercial Banks in Sri Lanka written by Samangi Bandaranayake and published by . This book was released on 2014 with total page 29 pages. Available in PDF, EPUB and Kindle. Book excerpt: The important status of the commercial banking sector in the financial environment of the economy has encouraged the researchers to inquire into the determinants of bank efficiency. This study focuses on two aspects related to bank efficiency in Sri Lanka. One is to identify the influence of bank-specific and operating environment factors on bank efficiency. The second is to find whether the ownership types of banks matter in explaining bank efficiency. To this end, two efficiency measures have been employed: Net Interest Margin (NIM) and Return on Assets (ROA). The selected sample consists of fourteen licensed commercial banks. Based on the data during the sample period 2001-2011, the estimation of parameters has been done using the random effect panel data approach. There are a few important findings. First, the estimation results associated with the two efficiency measures are somewhat different. Second, except for a few cases, we observe the expected sign of the parameters. Third, the determinants of efficiency vary across the ownership type of the banks. Fourth, in terms of the significance of the proposed determinants, ROA is a more suitable efficiency measure for state banks while NIM is a better measure for private and foreign commercial banks. Finally, there is a tendency for operating environmental factors becoming significant when efficiency is measured in terms of NIM and bank-specific factors are more important in explaining efficiency when ROA is selected as the proxy.

Download or read book The Bank Credit Analysis Handbook written by Jonathan Golin and published by John Wiley & Sons. This book was released on 2013-03-18 with total page 748 pages. Available in PDF, EPUB and Kindle. Book excerpt: A hands-on guide to the theory and practice of bank credit analysis and ratings In this revised edition, Jonathan Golin and Philippe Delhaise expand on the role of bank credit analysts and the methodology of their practice. Offering investors and practitioners an insider's perspective on how rating agencies assign all-important credit ratings to banks, the book is updated to reflect today's environment of increased oversight and demands for greater transparency. It includes international case studies of bank credit analysis, suggestions and insights for understanding and complying with the Basel Accords, techniques for reviewing asset quality on both quantitative and qualitative bases, explores the restructuring of distressed banks, and much more. Features charts, graphs, and spreadsheet illustrations to further explain topics discussed in the text Includes international case studies from North America, Asia, and Europe that offer readers a global perspective Offers coverage of the Basel Accords on Capital Adequacy and Liquidity and shares the authors' view that a bank could be compliant under those and other regulations without being creditworthy A uniquely practical guide to bank credit analysis as it is currently practiced around the world, The Bank Credit Analysis Handbook, Second Edition is a must-have resource for equity analysts, credit analysts, and bankers, as well as wealth managers and investors.

Download or read book The Impact of Credit Risk Management on Financial Performance A Study of State Commercial Banks in Sri Lanka written by Rajkumar Perinpanathan and published by . This book was released on 2017 with total page 35 pages. Available in PDF, EPUB and Kindle. Book excerpt: This study analyzed the impact of credit risk management on the financial performance of state commercial banks of Sri Lanka and also attempted to establish if there exists any relationship between the credit risk management determinants by use of CAMEL indicators and financial performance of state commercial banks in Sri Lanka. A causal research design was undertaken in this study and this was facilitated by the use of secondary data which was obtained from the annual reports from the respective banks. The study used multiple regression analysis in the analysis of data and the findings have been presented in the form of tables and regression equations. The study found out that there is a strong impact between the CAMEL components on the financial performance of State commercial banks in Sri Lanka. The study also established that capital adequacy, asset quality, management efficiency and liquidity had negative relationship with financial performance (ROE) whereas earnings had a strong positive relationship with financial performance. This study concludes that CAMEL model can be used as a proxy for credit risk management.

Download or read book Factors Influencing Perfomance of the Banking Sector in GCC Countries written by Abdullah Ahmed Bamaas and published by . This book was released on 2013 with total page 132 pages. Available in PDF, EPUB and Kindle. Book excerpt: This Study used a panel data of 72 commercial banks located in GCC countries, 28 Islamic banks and 44 conventional banks observed over the period 2007 - 20 II. The aim of the study is to investigate the internal ,and the external factors which influence the GCC banking sectors' profitability, as well as compare between Islamic and conventional banks to see which one is perfonning better in GCC banking sector. This study used regression models that relate bank profitability ratio against eleven explanatory variables which consist of six variables for bank's specific characteristics and five variables for macroeconomic conditions. In this paper, the ratio of return on asset (ROA) and the ratio of return on equity (ROE) were used as proxy of profitability. The results indicate that there are four major internal factors which influence profitability in GCC banking sector. Those four factors are size, bank diversification, capitalization which showed a positive significant influence and credit risk which showed a negative influence on profitability of GCC banking Sector. In tenns of macroeconomic factors, the results show that GCC banking sector was more profitable in pre-crisis period compared to post crisis period. The findings of the paper also revealed that Islamic and conventional banks were similar in terms of the internal factors that influence profitability, except for credit risk, which shows negative significant influence on Islamic banks' profitability. Though, Islamic banks and conventional banks in GCC banking sector had been exposed to similar factors, the comparison study of this paper showed that conventional banks outperfonned the Islamic banks in GCC banking sector. In conclusion, it is wished that this study could provide not only banks manger but also regulators of the central banks in GCC countries, with better comprehension and guideline to promote and enhance the GCC banking sector particularly the financial position of Islamic banks.

Download or read book Liquidity Risk and Performance of Banking System in Malaysia written by Ameira Sohaimi and published by . This book was released on 2017 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt: Recent financial crisis raised the issue of understanding the liquidity risk of financial assets and institutions. This paper studies the ability that exposure and sensitivity to liquidity risk has in banking system in Malaysia.Purpose - This paper aims to analyze the liquidity risks and disclosure as well as to draw the relationship between liquidity risks and financial performance measures using deposits, cash, liquidity gap and also non-performing loans as the indicator to the banking system in Malaysia and evaluate the effect on banks' capital and reserve.Design/methodology/approach - Data are retrieved from the utilizing journals, books, Thompson Data Stream, balance sheet, income statements and report by Bank Negara Malaysia for the period 1997-2012. Multiple regressions are applied to assess the impact of liquidity risk on banks' capital and reserve. Findings - The results of the multiple regressions showed that liquidity risk affects banks capital and reserve significantly, with non-performing loan (NPLs), as the exacerbating the liquidity risk. They have a negative relationship with deposit, cash and liquidity gap.Research limitations/implications - The period studied in this paper is one year, due to availability of data. However, the sample period does not impair the findings since the sample includes 56 banks, which constitute the main part of the Malaysian banking system. Moreover, only NPLs do not used to measure of performance. Economic factors contributing to liquidity risk are not covered in this paper.Originality/value - This is paper are refer to journal who is research about the Pakistani banking system but the result from that journal are not influence the result in this paper. This paper helps in understanding the factors of liquidity risk and performance of banking system. Consequently, understanding their impact on the bank's capital and reserve of the banking system. Paper type - Research paper.

Download or read book Money and Banking in Malaysia written by and published by . This book was released on 1994 with total page 632 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Operating Factors in Financial Performance written by Alice Zakayo, Linet Moraa Amenya, Eunice Wangari Ndirangu, Umesh Kumar and published by Cari Journals USA LLC. This book was released on 2023-04-06 with total page 101 pages. Available in PDF, EPUB and Kindle. Book excerpt: TOPICS IN THE BOOK Effect of Lending on the Financial Performance of Commercial Banks Listed at the Nairobi Securities Exchange Impact of Gross Domestic Product on the Growth of Bond Markets in Kenya Effect of Online Banking on Performance of Microfinance Banking in Kenya Are Indian ADR Premiums Mispriced?

Download or read book Determinants of Commercial Bank Interest Margins and Profitability written by Asl? Demirgüç-Kunt and published by World Bank Publications. This book was released on 1998 with total page 52 pages. Available in PDF, EPUB and Kindle. Book excerpt: March 1998 Differences in interest margins reflect differences in bank characteristics, macroeconomic conditions, existing financial structure and taxation, regulation, and other institutional factors. Using bank data for 80 countries for 1988-95, Demirgüç-Kunt and Huizinga show that differences in interest margins and bank profitability reflect various determinants: * Bank characteristics. * Macroeconomic conditions. * Explicit and implicit bank taxes. * Regulation of deposit insurance. * General financial structure. * Several underlying legal and institutional indicators. Controlling for differences in bank activity, leverage, and the macroeconomic environment, they find (among other things) that: * Banks in countries with a more competitive banking sector-where banking assets constitute a larger share of GDP-have smaller margins and are less profitable. The bank concentration ratio also affects bank profitability; larger banks tend to have higher margins. * Well-capitalized banks have higher net interest margins and are more profitable. This is consistent with the fact that banks with higher capital ratios have a lower cost of funding because of lower prospective bankruptcy costs. * Differences in a bank's activity mix affect spread and profitability. Banks with relatively high noninterest-earning assets are less profitable. Also, banks that rely largely on deposits for their funding are less profitable, as deposits require more branching and other expenses. Similarly, variations in overhead and other operating costs are reflected in variations in bank interest margins, as banks pass their operating costs (including the corporate tax burden) on to their depositors and lenders. * In developing countries foreign banks have greater margins and profits than domestic banks. In industrial countries, the opposite is true. * Macroeconomic factors also explain variation in interest margins. Inflation is associated with higher realized interest margins and greater profitability. Inflation brings higher costs-more transactions and generally more extensive branch networks-and also more income from bank float. Bank income increases more with inflation than bank costs do. * There is evidence that the corporate tax burden is fully passed on to bank customers in poor and rich countries alike. * Legal and institutional differences matter. Indicators of better contract enforcement, efficiency in the legal system, and lack of corruption are associated with lower realized interest margins and lower profitability. This paper-a product of the Development Research Group-is part of a larger effort in the group to study bank efficiency.

Download or read book Financial Structure and Bank Profitability written by Asl? Demirgüç-Kunt and published by World Bank Publications. This book was released on 2000 with total page 30 pages. Available in PDF, EPUB and Kindle. Book excerpt: Countries differ in the extent to which their financial systems are bank-based or market-based. The financial systems of Germany and Japan, for example, are considered bank-based because banks play a leading role in mobilizing savings, allocating capital, overseeing investment decisions of corporate managers, and providing risk management vehicles. The systems of the United States, and the United Kingdom are considered more market-based. Using bank-level data for a large number of industrial and developing countries, the authors present evidence about the impact of financial development, and structure on bank performance. They measure the relative importance of bank or market finance by the relative size of stock aggregates, by relative trading or transaction volumes, and by indicators of relative efficiency. They show that in developing countries, both banks and stock markets are less developed, but financial systems tend to be more bank-based. The richer the country, the more active are all financial intermediaries. The greater the development of a country's banks, the tougher is the competition, the greater is the efficiency, and the lower are the bank margins, and profits. The more under-developed the stock market, the greater are the bank profits. But financial structure per se does not have a significant, independent influence on bank margins, and profits.