Bank Ownership Type and Banking Relationships

We formulate and test hypotheses about the role of bank ownership type--foreign, state-owned, and private domestic banks--in banking relationships. Our application uses data from India, an important developing nation. The empirical results are consistent with all of our hypotheses with regard to for...

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Main Authors: Berger, Allen N., Klapper, Leora F., Martinez Peria, Maria Soledad, Zaidi, Rida
Format: Journal Article
Language:EN
Published: 2012
Subjects:
Online Access:http://hdl.handle.net/10986/5408
id okr-10986-5408
recordtype oai_dc
spelling okr-10986-54082021-04-23T14:02:22Z Bank Ownership Type and Banking Relationships Berger, Allen N. Klapper, Leora F. Martinez Peria, Maria Soledad Zaidi, Rida Multinational Firms International Business F230 Banks Other Depository Institutions Micro Finance Institutions Mortgages G210 Financing Policy Financial Risk and Risk Management Capital and Ownership Structure G320 Economic Development: Financial Markets Saving and Capital Investment Corporate Finance and Governance O160 We formulate and test hypotheses about the role of bank ownership type--foreign, state-owned, and private domestic banks--in banking relationships. Our application uses data from India, an important developing nation. The empirical results are consistent with all of our hypotheses with regard to foreign banks. First, these banks tend to establish relationships with relatively transparent firms. Second, firms that have relationships with foreign banks are more likely to enter into multiple banking relationships and to maintain a larger number of such relationships. Finally, firms banking with foreign banks are more likely than others to diversify relationships across bank ownership types. The data are also consistent with the hypotheses that firms with relationships with state-owned banks are relatively unlikely to maintain multiple banking relationships, tend to interact with a smaller number of banks, and less often diversify across ownership types. 2012-03-30T07:32:41Z 2012-03-30T07:32:41Z 2008 Journal Article Journal of Financial Intermediation 10429573 http://hdl.handle.net/10986/5408 EN http://creativecommons.org/licenses/by-nc-nd/3.0/igo World Bank Journal Article
repository_type Digital Repository
institution_category Foreign Institution
institution Digital Repositories
building World Bank Open Knowledge Repository
collection World Bank
language EN
topic Multinational Firms
International Business F230
Banks
Other Depository Institutions
Micro Finance Institutions
Mortgages G210
Financing Policy
Financial Risk and Risk Management
Capital and Ownership Structure G320
Economic Development: Financial Markets
Saving and Capital Investment
Corporate Finance and Governance O160
spellingShingle Multinational Firms
International Business F230
Banks
Other Depository Institutions
Micro Finance Institutions
Mortgages G210
Financing Policy
Financial Risk and Risk Management
Capital and Ownership Structure G320
Economic Development: Financial Markets
Saving and Capital Investment
Corporate Finance and Governance O160
Berger, Allen N.
Klapper, Leora F.
Martinez Peria, Maria Soledad
Zaidi, Rida
Bank Ownership Type and Banking Relationships
relation http://creativecommons.org/licenses/by-nc-nd/3.0/igo
description We formulate and test hypotheses about the role of bank ownership type--foreign, state-owned, and private domestic banks--in banking relationships. Our application uses data from India, an important developing nation. The empirical results are consistent with all of our hypotheses with regard to foreign banks. First, these banks tend to establish relationships with relatively transparent firms. Second, firms that have relationships with foreign banks are more likely to enter into multiple banking relationships and to maintain a larger number of such relationships. Finally, firms banking with foreign banks are more likely than others to diversify relationships across bank ownership types. The data are also consistent with the hypotheses that firms with relationships with state-owned banks are relatively unlikely to maintain multiple banking relationships, tend to interact with a smaller number of banks, and less often diversify across ownership types.
format Journal Article
author Berger, Allen N.
Klapper, Leora F.
Martinez Peria, Maria Soledad
Zaidi, Rida
author_facet Berger, Allen N.
Klapper, Leora F.
Martinez Peria, Maria Soledad
Zaidi, Rida
author_sort Berger, Allen N.
title Bank Ownership Type and Banking Relationships
title_short Bank Ownership Type and Banking Relationships
title_full Bank Ownership Type and Banking Relationships
title_fullStr Bank Ownership Type and Banking Relationships
title_full_unstemmed Bank Ownership Type and Banking Relationships
title_sort bank ownership type and banking relationships
publishDate 2012
url http://hdl.handle.net/10986/5408
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