Determinants of bank profitability in developing economies: empirical evidence from the South Asian banking sectors

This study seeks to examine the performance of 77 Bangladeshi, Sri Lankan, and Pakistani commercial banks between 1997 and 2008. The empirical findings suggest that bank specific characteristics – in particular, liquidity, non-interest income, credit risk, and capitalization – have positive and sign...

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Main Author: Sufian, Fadzlan
Format: Article
Language:English
Published: Taylor and Francis (Routledge) 2012
Subjects:
Online Access:http://irep.iium.edu.my/27049/
http://irep.iium.edu.my/27049/
http://irep.iium.edu.my/27049/
http://irep.iium.edu.my/27049/1/09584935%252E2012%252E696089.pdf
id iium-27049
recordtype eprints
spelling iium-270492012-12-03T02:23:14Z http://irep.iium.edu.my/27049/ Determinants of bank profitability in developing economies: empirical evidence from the South Asian banking sectors Sufian, Fadzlan HG Finance HG1501 Banking This study seeks to examine the performance of 77 Bangladeshi, Sri Lankan, and Pakistani commercial banks between 1997 and 2008. The empirical findings suggest that bank specific characteristics – in particular, liquidity, non-interest income, credit risk, and capitalization – have positive and significant impacts on bank performance, while cost is negatively related to bank profitability. As for the impact of macroeconomic indicators, the results suggest that economic growth has positive and significant impact, while inflation has no significant impact on bank profitability. During the period under study, the empirical findings indicate that private investment is positively related to bank profitability, while private consumption expenditure exhibits negative impact. However, the impact is not uniform across the countries studied. Taylor and Francis (Routledge) 2012-09 Article PeerReviewed application/pdf en http://irep.iium.edu.my/27049/1/09584935%252E2012%252E696089.pdf Sufian, Fadzlan (2012) Determinants of bank profitability in developing economies: empirical evidence from the South Asian banking sectors. Contemporary South Asia, 20 (3). pp. 375-399. ISSN 1469-364X (O), 0958-4935 (P) http://www.tandfonline.com/doi/full/10.1080/09584935.2012.696089 10.1080/09584935.2012.696089
repository_type Digital Repository
institution_category Local University
institution International Islamic University Malaysia
building IIUM Repository
collection Online Access
language English
topic HG Finance
HG1501 Banking
spellingShingle HG Finance
HG1501 Banking
Sufian, Fadzlan
Determinants of bank profitability in developing economies: empirical evidence from the South Asian banking sectors
description This study seeks to examine the performance of 77 Bangladeshi, Sri Lankan, and Pakistani commercial banks between 1997 and 2008. The empirical findings suggest that bank specific characteristics – in particular, liquidity, non-interest income, credit risk, and capitalization – have positive and significant impacts on bank performance, while cost is negatively related to bank profitability. As for the impact of macroeconomic indicators, the results suggest that economic growth has positive and significant impact, while inflation has no significant impact on bank profitability. During the period under study, the empirical findings indicate that private investment is positively related to bank profitability, while private consumption expenditure exhibits negative impact. However, the impact is not uniform across the countries studied.
format Article
author Sufian, Fadzlan
author_facet Sufian, Fadzlan
author_sort Sufian, Fadzlan
title Determinants of bank profitability in developing economies: empirical evidence from the South Asian banking sectors
title_short Determinants of bank profitability in developing economies: empirical evidence from the South Asian banking sectors
title_full Determinants of bank profitability in developing economies: empirical evidence from the South Asian banking sectors
title_fullStr Determinants of bank profitability in developing economies: empirical evidence from the South Asian banking sectors
title_full_unstemmed Determinants of bank profitability in developing economies: empirical evidence from the South Asian banking sectors
title_sort determinants of bank profitability in developing economies: empirical evidence from the south asian banking sectors
publisher Taylor and Francis (Routledge)
publishDate 2012
url http://irep.iium.edu.my/27049/
http://irep.iium.edu.my/27049/
http://irep.iium.edu.my/27049/
http://irep.iium.edu.my/27049/1/09584935%252E2012%252E696089.pdf
first_indexed 2023-09-18T20:40:13Z
last_indexed 2023-09-18T20:40:13Z
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