Capital regulation, liquidity risk, efficiency and banks performance in emerging economies

IF 2 Q2 BUSINESS, FINANCE Journal of Financial Regulation and Compliance Pub Date : 2022-06-14 DOI:10.1108/jfrc-09-2021-0076
Nicholas Addai Boamah, E. Opoku, Augustine Boakye-Dankwa
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Abstract

Purpose This study aims to examine the descriptive capabilities of efficiency, liquidity risk and capital risk for the cross-sectional and time-series variations in banks’ performance across emerging economies (EEs). It also examines the impact of the 2008 global financial crisis (GFC) on the effects of capital, liquidity and efficiency on banks’ performance. Design/methodology/approach The paper adopts a spatial panel model and collects data across 90 EEs. Findings The study shows that a surge in efficiency and liquidity improves bank performance. In addition, banks that finance credit creation primarily with core deposits perform better. Also, banks in EEs responded to the GFC. The findings show that banks in EEs respond to global events emanating from the developed economies. This indicates that EEs banks are relatively integrated with banks in developed markets. Originality/value Improvement in profit efficiency and effective liquidity and capital risk management enhance the performance of EEs banks.
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新兴经济体的资本监管、流动性风险、效率与银行绩效
目的本研究旨在检验效率、流动性风险和资本风险对新兴经济体银行绩效横截面和时间序列变化的描述能力。它还考察了2008年全球金融危机对资本、流动性和效率对银行业绩的影响。设计/方法论/方法本文采用空间面板模型,收集了90个EEs的数据。研究表明,效率和流动性的激增可以改善银行的业绩。此外,主要以核心存款为信贷创造融资的银行表现更好。此外,欧洲经济区的银行也对GFC做出了回应。研究结果表明,欧洲经济区的银行对发达经济体引发的全球事件做出了反应。这表明欧洲经济体银行与发达市场的银行相对一体化。独创性/价值提高利润效率、有效的流动性和资本风险管理可以提高欧洲经济区银行的绩效。
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来源期刊
CiteScore
2.60
自引率
11.10%
发文量
35
期刊介绍: Since its inception in 1992, the Journal of Financial Regulation and Compliance has provided an authoritative and scholarly platform for international research in financial regulation and compliance. The journal is at the intersection between academic research and the practice of financial regulation, with distinguished past authors including senior regulators, central bankers and even a Prime Minister. Financial crises, predatory practices, internationalization and integration, the increased use of technology and financial innovation are just some of the changes and issues that contemporary financial regulators are grappling with. These challenges and changes hold profound implications for regulation and compliance, ranging from macro-prudential to consumer protection policies. The journal seeks to illuminate these issues, is pluralistic in approach and invites scholarly papers using any appropriate methodology. Accordingly, the journal welcomes submissions from finance, law, economics and interdisciplinary perspectives. A broad spectrum of research styles, sources of information and topics (e.g. banking laws and regulations, stock market and cross border regulation, risk assessment and management, training and competence, competition law, case law, compliance and regulatory updates and guidelines) are appropriate. All submissions are double-blind refereed and judged on academic rigour, originality, quality of exposition and relevance to policy and practice. Once accepted, individual articles are typeset, proofed and published online as the Version of Record within an average of 32 days, so that articles can be downloaded and cited earlier.
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