This article examines the extent of web utilization as a tool for the disclosure of corporate information on the website and exhibits the association between bank-specific attributes such as size, ...age, profitability, market discipline, listing status, leverage, foreign ownership, and type of sector in relation to the web disclosures of 87 public, private, and foreign sector Indian commercial banks. To achieve the objective, a checklist index of 143 items of information was developed. To examine the hypotheses of the study, a panel regression model was estimated on the data of 87 Indian commercial banks. Panel regression results indicate that size, market discipline (CAR), profitability, listing status, type of ownership, and type of sector have a significant relationship with the level of web disclosure, and banks are more likely to use the websites to disclose information. On the contrary, age, leverage, and market discipline (NPA) have insignificant relationship with the web-based disclosure level, and Indian banks have not shown any relationship with the disclosure score. The study will help the managers to meet the actual and potential informational needs of the investors; for the investor, it will help to assess investment decisions in a better way.
Various efforts are made to quantify and explain risk taking behavior including systematic risk with in financial institutions. This study is about determining various factors affecting commercial ...banks systematic risk in Pakistan. Sample included in the study consisted of twelve commercial banks listed in PSX (Pakistan Stock Exchange), these banks hold 81.3% market share of customer deposits. Data was collected from 2010 to 2016. The systematic risk for this study was calculated through stock beta (SB) and value at risk (VaR). To determine systematic risk the independent variables used are liquidity, firm size, asset quality, firm growth, return on assets, business mix, operating efficiency and loan growth. The result shows that liquidity, asset quality, return on assets and firm size have significant impact on systematic risk of banks in Pakistan.
In today’s corporate world, board diversity is a much-talked-about topic, and gender diversity is an important appearance of board diversity. Gender diversity refers to the existence of women on ...corporate boards of directors. This paper aimed to analyze the effect of board gender diversity on the performance of commercial banks in Bangladesh for the period 2017-2022. This study uses an instrumental variables regression analysis to investigate the relationship between board gender diversity and commercial banks' performance in Bangladesh. The results indicate that the inclusion of male and female directors is positively related to the financial performance of firms, as measured by the return on assets and the return on equity. Limited empirical studies have been conducted on the relationship between board gender diversity and commercial banks' financial performance in the emerging banking sector. Therefore, there is still no consensus regarding the link between board gender diversity and commercial banks' financial performance based on the mixed and sometimes inconsistent results in prior research. Therefore, this study extends the current literature in the context of Bangladesh, showing that a male and female board member can enhance the banks' financial performance.
Measuring and improving the efficiency of the Chinese commercial banking system has recently attracted increasing interest. Few studies, however, have adopted the two-stage network DEA to explore ...this issue in the Chinese context. Because the entire operational process of the banking system could be divided into two sub-processes (deposit producing and profit earning), the evaluation of the sub-process efficiencies could be used to assist in identifying the sources of the inefficiency of the entire banking system. In this study, we utilize the network DEA approach to disaggregate, evaluate and test the efficiencies of 16 major Chinese commercial banks during the third round of the Chinese banking reform period (2003–2011) with the variable returns to scale setting and the consideration of undesirable/bad output. The main findings of this study are as follows: (i) the two-stage DEA model is more effective than the conventional black box DEA model in identifying the inefficiency of banking system, and the inefficiency of the Chinese banking system primarily results from the inefficiency of its deposit producing sub-process; (ii) the overall efficiency of the Chinese banking system improves over the study period because of the reform; (iii) the state-owned commercial banks (SOBs) appear to be more overall efficient than the joint-stock commercial banks (JSBs) only in the pre-reform period, and the efficiency difference between the SOBs and the JSBs is reduced over the post-reform period; (iv) the disposal of non-performing loans (NPLs) from the Chinese banking system in general explains its efficiency improvement, and the joint-equity reform of the SOBs specifically increases their efficiencies.
•We utilize network DEA approach to evaluate efficiencies of the Chinese commercial banks.•Operational process of banking system is divided into deposit producing and profit earning sub-processes.•Evaluation of sub-process efficiencies is used to identify sources of inefficiency of whole banking system.•The Chinese banking reform improves its overall efficiency over the study period.•Efficiency differences between the state-owned and joint-stock commercial banks are reduced over the study period.
The study focused on the determinants of commercial bank deposits in Zimbabwe's banking sector during the multiple currency period (2009 to 2017). A total of 13 registered banks were used in this ...study. Results from the random effects model exhibited that number of branches, deposit interest rate, liquidity and economic growth were positively significant in influencing the commercial banks' deposits. The results infer that both bank-specific (internal) factors and macroeconomic (external) factors affect the deposit mobilisation ability of commercial banks in Zimbabwe under a multi-currency system. The study recommended that commercial banks open more branches to be more accessible to society. The Reserve Bank of Zimbabwe (RBZ) is encouraged to prudently supervise and regulate commercial banks so that liquidity crunch and related risks can effectively be managed. Commercial banks are recommended to increase the deposit interest rates to attract more deposits, thereby increasing their capacity to finance capital projects. Keywords: Bank-specific factors, Commercial bank deposits, Deposit mobilisation, Macroeconomic factors, Multiple currency system, Panel data approach, Zimbabwe.
The study aimed to analyze the impact of entrepreneurial orientation in achieving organizational excellence through strategic flexibility. This research is a quantitative study. The population of ...this study consists of all managers in the upper and middle management at the Jordanian Commercial Banks. The study conducted a comprehensive survey, by using its population as a sample, which totals 1023 managers. The data collection tool is a questionnaire that consists of 29 items was developed. The results show that the level of availability of entrepreneurial orientation, organizational excellence, and strategic flexibility has reached a high degree at Jordanian Commercial Banks. Other findings show that entrepreneurial orientation in its combined dimensions (innovative entrepreneurial orientation, proactive entrepreneurial orientation, and risk-taking entrepreneurial orientation) has a statistically significant impact on achieving organizational excellence through strategic flexibility in Jordanian commercial banks. From the findings, the authors conclude that strategic flexibility plays a partial mediating role between entrepreneurial orientation (with all its dimensions) and organizational excellence. At the same time, strategic flexibility fails to play a mediator role between entrepreneurial orientation dimensions and organizational excellence.
Background: The purpose of this study was to examine the relationship between Corporate Social Responsibility and the Financial performance of Centenary Bank, main branch by examining the ...relationship between philanthropic responsibility and financial performance, establishing the relationship between economic responsibility and financial performance, and assessing the relationship between ethical responsibility and financial performance of Centenary bank. Methodology This study followed a descriptive correlational and cross-sectional survey design and adopted a quantitative paradigm. The researcher collected data from a sample of 132 employees using a self -administered questionnaire. Results: The study findings revealed that 52% of the corporate social responsibility activities of the centenary bank are economical, followed by 37% of the corporate social responsibility were ethical and 11% of its corporate social responsibilities were philanthropic. There was a significant relationship (r=0.4, sig=0.00) between philanthropic responsibility and the financial performance of Centenary bank. There was also a negative significant (r= -0.374, sig=0.045) relationship between economic responsibility and the financial performance of Centenary bank. There was a positive significant relationship between ethical responsibility and the financial performance of Centenary bank. Conclusion: Generally, there is a relationship between corporate social responsibility and the financial performance of the Centenary bank. Recommendation: Centenary banks should engage in philanthropic activities to maintain a good reputation through supporting the Kabaka run and providing piped water, and scholarships to unprivileged children. Centenary bank should also be effective in communicating with stakeholders, ensuring the safety of customer balances, and offering quality customer service to attract more customers for its financial growth. Centenary bank should also reduce its expenditure on non-productive activities like bonuses and travel allowances for senior staff to reduce the significant unnecessary expenditure.
This study sought to establish the intervening effect of savings mobilization on the relationship between bancassurance and financial performance of commercial banks in Kenya. The study employed both ...primary and secondary data. Primary data was gathered by semi-structured questionnaires. The respondents were 27 commercial banks undertaking bancassurance. Data analysis was carried out by descriptive statistics and regression analysis by applying the Baron and Kenny (1986) model. Findings indicated that savings mobilization had no significant intervening effect on the relationship between bancassurance and financial performance of commercial banks. This suggests that the customer deposits relating to bancassurance mobilized by commercial banks in Kenya are not significant enough to have positive impact on pre-tax profits, return on assets and the ratio of non-interest income to total income. Managers of commercial banks need to come up with strategies to increase the savings mobilization dimension of bancassurance.
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