Borsa Istanbul Review最新文献

This study examines the practices of the UN Sustainable Development Goals (SDGs) in Asian countries with special reference to listed firms in China, India, Indonesia, Japan, Malaysia, Singapore, and Saudi Arabia. Further, it evaluates the impact of firms’ specific factors on SDGs practices. The original sample consists of 1462 companies for the 2018–2021 financial years. Data are extracted from the Refinitiv Eikon Database. One-way ANOVA and regression analysis are used to estimate the data. Results reveal that there is a significant difference in SDGs practices among the elected countries. Moreover, results reveal that Return on Assets (ROA), Return on Equity (ROE), market value added, leverage, and current ratio have a negative and significant impact on SDGs practices, while the Earnings per Share (EPS) has a positive and significant impact on SDGs practices. This research contributes to the existing literature by making a comparison among the Asian largest economies regarding the achievement of UN sustainable development goals.

This study explores financial literacy (FL) and its influence on market participation among rural residents in China. Using the 2017 China Household Finance Survey, we find that rural residents have low FL and answer only 33% of basic and 20.8% of advanced questions on average. The findings indicate a substantial disparity in their FL skills. The ordinary least squares regression results reveal that advanced FL is statistically positively related to market participation. To mitigate endogeneity concerns, we adopt the instrument variable estimator within the generalized method of moment (IV-GMM). The IV-GMM results indicate that FL positively affects the market participation of Chinese rural households. The probability of market participation increases by over 7% with every unit increase in advanced FL scores. Additionally, the robustness tests confirm the positive correlation between advanced FL and market participation. Furthermore, the impact of FL on stock-market participation is more pronounced among rural residents in economically developed regions and those with greater financial assets.

The study analyzes whether the type of shareholding control (dispersed, shared, or dominant) affects agency conflicts by investigating the relationship between shareholding control, ownership concentration, and firm value. The sample is a panel data comprising 1977 firm-year observations from 167 Brazilian firms in the period 2010–2022. Our results show that shared control creates value, whereas dominant control destroys firm value. Voting rights concentration and cash-flow rights reduce the value of firms with dispersed and shared control. However, at firms with dominant control, these firm characteristics increase firm value. Excess voting rights, in turn, destroy the value of firms with shared and dominant control. Our evidence shows that the type of shareholding control influences the nature and magnitude of agency conflicts and the relationship between ownership concentration and firm value. Thus, within an institutional environment, agency conflicts may differ among firms, depending on the type of shareholding control.

This study explores the relationship between financial firms' environmental, social, and governance (ESG) activities and their financial stability measured by Altman's Z-score. Based on a dataset of listed financial institutions in Korea, our results indicate a positive association between stability and ESG activities. Overall ESG scores and those for the individual environmental, social, and governance pillars potentially enhance financial stability. The environmental pillar plays the most significant role in improving the stability of financial firms. The positive association between ESG activities and financial firms' stability is also seen in nonbanking sectors.

In recent years, economic research has increasingly focused on the increase in local government debt, attracting the attention of government regulators. Using data from 2006 to 2022, this study empirically examines how local government debt affects financing activities. The results reveal local government debt’ s crowding-out effect on financing, particularly for non-state-owned enterprises. Further analysis reveals that this negative impact is driven by ‘passive crowding-out’ rather than ‘active choice’ for enterprises. Local governments can directly influence commercial banks, and commercial banks prefer holding local government debt. Moreover, while new local government debt initially boosts economic growth, the continuous accumulation of debt stock exacerbates the crowding-out effect, impacting overall output. These findings provide insights into the micro-level implications of local government fiscal policies and offer guidance for advancing debt system reforms.

The integration of artificial intelligence in industry and the adoption of green finance emphasizing environmental sustainability through technology has become increasingly prominent. This article scrutinizes the asymmetric nexus between industrial artificial intelligence and green finance in the top ten countries leading in industrial artificial intelligence (China, USA, South Korea, Germany, Japan, Canada, UK, Australia, France, and Italy). Preceding studies applied panel data approaches to examine the industrial artificial intelligence-green finance nexus without considering that not all countries had established such a connection autonomously. Conversely, this paper implements a distinctive approach, ‘Quantile-on-Quantile’, which offers both worldwide and nation-specific foresight into the correlation of the variables. The results demonstrate that industrial artificial intelligence increases green finance at specific segments of the data distribution across diverse economies. These outcomes underscore policymakers’ need to approach the development and enactment of policies regarding industrial artificial intelligence and green finance with careful attention and thoughtful deliberation.

This study examines the moderating effect of regulatory quality on the relationship between financial development and economic growth/economic volatility. We employ the Panel Corrected Standard Error estimation method, supplemented by a robustness check using the Generalized Method of Moments. Our findings offer interesting insights into the relationship between financial development and outcomes for the economy. In developed countries, regulatory quality positively moderates the relationship between banking-based financial development and economic growth. Hence, policymakers should prioritize the maintenance of a high-quality institutional and regulatory environment conducive to both banking-based and market-based growth. Continual efforts to enhance regulatory quality and adopt robust approaches are imperative. Conversely, this study does not detect a significant moderating effect of regulatory quality on the relationship between financial development and economic growth in developing countries. Policymakers in these contexts must accelerate efforts to bolster institutional and regulatory frameworks, emphasizing the enhancement of regulatory quality. Care should be taken to avoid overly stringent regulations, particularly at lower levels of financialization, to prevent potential counter-productivity. Instead, a gradual approach to improving regulatory quality is advisable. Furthermore, policymakers should recognize that regulatory quality mitigates the contribution of banking-based financial development to economic volatility, a phenomenon observed in both developed and developing countries.

This study investigates the impact of foreign direct investment (FDI) on bank stability in the Gulf Cooperation Council (GCC) region, differentiating between Islamic and conventional banks. The results reveal a negative relationship between FDI and bank stability, and Islamic banks can mitigate this impact, enhancing overall stability. Notably, during recent crises (the global financial crisis (GFC) and the COVID-19 pandemic (COVID-19)), FDI's effect on bank stability intensified, and the GFC had a stronger influence than COVID-19. Islamic banks were more resilient to FDI during these crises, highlighting their pivotal role in strengthening the banking system across the member countries in the GCC. The study offers critical insights for regulators, policy makers, and risk managers, advising cautious supervision over FDI in order to preserve monetary and financial stability.

Employee experience refers to the entire journey of an employee within an organization, encompassing interactions from pre-employment to post-employment. In order to gain and maintain a sustainable competitive edge, organizations should incorporate human-centered design and prioritize employee experience in their organizational reforms, taking into account employees' emotions, ambitions, and expectations. This study aims to provide a clearer and operationalized understanding of the employee experience concept and empirically examines its relationship with employee engagement, considering the moderating role of positive affect - a state of pleasant feelings and moods that people often experience in business life-. Data was collected from 1347 employees in the finance sector of Türkiye, revealing that employee experience consists of dimensions such as manager support and collaboration, organizational identification and development, and career-focused human resource (HR) practices. These dimensions are positively associated with employee engagement. The study also examines the moderating role of the employees'positive affect on the relationship between these constructs. Policy implications of the findings are discussed.

Assessing the dynamics of risk premium measures and their relationship with macroeconomic fundamentals is essential for macroeconomic policymakers and market practitioners. This study analyzes the main determinants of sovereign credit default swaps (SCDS) in Latin America at different tenures, focusing on their volatility. Using a component generalized autoregressive conditional heteroskedasticity model, it decomposes volatility into permanent and transitory components. It finds that the permanent component of SCDS volatility in all tenures was higher and more persistent during the Global Financial Crisis than during the recent coronavirus shock.