Measuring the Competitiveness of Islamic Banking in Indonesian Dual Banking System

Directory of Open Access Journals (Sweden)

Ir Ascarya

2008-08-01

Full Text Available Islamic banks in many countries have emerged as important component of financial system that contributes to the growth and development of the country’s economy. They have proven to be a viable and competitive component of the overall financial system. In the dual banking system, Islamic banks have to be competitive to survive. One of the key to competitiveness is efficiency. This study will measure and compare the efficiency of Islamic and conventional banks in Indonesia using Data Envelopment Analysis (DEA methodology. DEA is a non-parametric, deterministic methodology for determining the relative efficiency and managerial performance, based on the empirical data on chosen inputs and outputs of a number of decision making units. DEA allows us to compare the relative efficiency of banks by determining the efficient banks as benchmarks and by measuring the inefficiencies in input combinations (slack variables in other banks relative to the benchmark. Intermediation approach will be applied. This study will identify the sources and level of inefficiency for each of the inputs and outputs of Islamic banks and conventional banks in Indonesia. The result shows that in overall, Islamic banking is relatively more efficient than conventional banking. This means that Islamic banks are competitive enough to compete with conventional banks. Islamic banking is technically more efficient, but less scale efficient than conventional banking. Internal inefficiency is the main source of disintermediation of conventional banking in Indonesia. Furthermore, accelerated expansion, organically and inorganically, is needed to improve scale and overall efficiencies of Islamic banking in Indonesia.Keywords: Banking, Islamic Banking, Efficiency, Data Envelopment Analysis

Developing Islamic Banking Performance Measures Based on Maqasid Al-Shari’ah Framework: Cases of 24 Selected Banks

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Mustafa Omar Mohammed

2015-08-01

Full Text Available Islamic banking has achieved remarkable growth that has surpassed the growth of the conventional banking system. Yet, studies show that the performances of Islamic banks (IBs seem to be trailing behind the conventional banks (CBs. Is the poor performance of IBs the result of mismatch between their objectives and their performance measurement criteria or it is a reflection of their true performances? The objectives of Islamic banking had not been formally addressed. Mustafa and Taib (2009 derived the objectives of Islamic banking from Abu Zahara’s theory of the objectives of Shari’ah (Maqasid al-Shari’ah and, based on these Shari’ah objectives, developed a model of Islamic banking performance measures. They named it as Performance Measures based on Maqasid al-Shari’ah framework or the PMMS model. This paper has tested the PMMS model on a sample 24 banks (12 IBs and 12 CBs. The twenty four banks were also evaluated using the traditional conventional financial measures. Mann-Whitney U-Test results show IBs faring well in their performances when measured using the PMMS model than when they are measured using the conventional banking performance yardstick. Policy prescriptions and recommendations for further studies are provided at the concluding section of the paper.

Women in Jordanian banks and performance: Financial accounting measurement

OpenAIRE

Muhannad Akram Ahmad; Seif Obeid Alshbiel

2016-01-01

This study highlights the gender diversity issues in the banking sector taking into consideration their impact on the performance measured by profitability (ROA). As the banking sector has widely been ignored from the previous studies due to their strict system, this study empirically examined the impact of the CEO gender and board with a female director on the performance of the Jordanian commercial banks in a period from 2004 to 2013. The multiple regression analysis shows that the banks wi...

Financial Performance Bank BNI Syariah Company

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Diana Widhi Rachmawati

2018-05-01

Full Text Available ABSTRACT PT Bank BNI Syariah, one of them working are a big banking company is almost covering all over the country until now looked at  pretty good company asset which are owned, so author conduct research in the title “Financial Performance PT Bank BNI Syariah in Solvability Ratio”. Financial Statement Analysis is aplication from tools and technical analysis financial report general aim and data to be related and estimation produce useful conclutions in business analysis. Financial Performance Analysis research used analysis methode is solvability ratio. General aim to give information finance performance PT Bank BNI Syariah development.  Special goals is finance performance PT Bank BNI Syariah from Solvability Ratio”. This Sample is: PT Bank BNI Syariah. Final result which is research obtained it says finance performance  PT Bank BNI Syariah from Solvability Ratio quite solvable, because this three point inside it contained increased.  This development hope PT Bank BNI Syariah, to be remain consistent with trying to do breakthrough a company goals   Key Words  :  Financial Performance PT Bank BNI Syariah

Organizational Behavior from the Perspective of the Paradigm Strategy-Structure-Performance (SSP in the Banking System

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Gabriel CROITORU

2018-05-01

Full Text Available The purpose of this article is not to design and propose legislative initiatives in the banking industry, but to develop a methodological approach to the organizational structure of banks. The first objective is to highlight the theoretical correlation of the strategy-structure-performance paradigm with the neoclassical theory of the organization and the other theories that have started from it and to determine the theoretical roots of the organizational division in the banking financial field and to highlight the implementation strategy changes in banking, their impact on the organizational structure of banks, as well as on the performance recorded in the Romanian banking system. In addition, it was intended to measure the effect of increasing the importance of consumers’ opinions and the implementation of new IT technologies in banking on the same strategies. We believe that these contributions can be of great help to better understanding the underlying causes of the transformations that are taking place and will take place in both banking and non-banking organizations in Romania. They can thus even foresee and cross difficult situations and economic time

The Response of Performance to Merger Strategy in Indonesian Banking Industry: Analyses on Bank Mandiri, Bank Danamon, and Bank Permata

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Murti Lestari

2010-05-01

Full Text Available This study analyzes the responses of performances of BankMandiri, Bank Danamon, and Bank Permata to merger strategy.This paper harnesses the quantitative approach with structuralbreak analysis method and impulse response function. Theplausible findings indicate that the merger of Bank Permataproduces a better performance response in comparison to theconsolidation of Bank Mandiri and the merger of Bank Danamon.The merger of Bank Permata does not result in performanceshocks, and the structural break does not prevail either. On theother hand, the consolidation of Bank Mandiri and the mergerof Bank Danamon result in structural breaks, particularly in thespread performance. In order to return to the stable position, themergers of Bank Mandiri and Bank Danamon require a longertime than does the merger of Bank Permata. This researchindicates that for large banks, the mergers and acquisitions(retaining one existing bank will deliver a better performanceresponse than will the consolidations (no existing bank. Keywords: impulse response function; merger; structural break

Banking System Shocks and REIT Performance

OpenAIRE

Olliges, Jan-Willem; Raudszus, Malte H.; Mueller, Glenn R.

2013-01-01

The purpose of this study is to directly contrast the REIT market’s stock return response to bank failures versus bank bailouts. The non-negativity constraints of the GARCH model measuring risk dynamics are mitigated by the use of the EGARCH model. EGARCH accounts for non-symmetrical effects of risk adjustments in response to return shocks. Previous research shows that bank failures cause a positive abnormal return effect for REITs. This confirms the expectation that during crises, market par...

Bank performance and corporate culture

OpenAIRE

Stentella Lopes, F.S.

2015-01-01

This thesis has three chapters and focuses on the performance of banks and on corporate culture. The first two chapters focus on bank performance and economic expectations. Specifically, the first chapter sheds light on the consistency between investors’ reaction to merger announcement and bankers’ expectation on merger gains. The second chapter analyses the link between high expectations for future economic success and bank performance. The third chapter focuses on corporate culture and it s...

Banking system trust, bank trust, and bank loyalty

NARCIS (Netherlands)

van Esterik-Plasmeijer, P.; van Raaij, W.F.

2017-01-01

Purpose The purpose of this paper is to test a model of banking system trust as an antecedent of bank trust and bank loyalty. Six determinants of trust and loyalty are included: competence, stability, integrity, customer orientation, transparency, and value congruence. The study provides insights

Bank Diversification Effects on Bank Performance and Risk Profile of Bank in Indonesia

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Anthony Lukmawijaya

2015-05-01

Full Text Available We investigate the relationship of Indonesian bank diversification towards its long term performance and risk profile with Indonesian bank data from 2009 to 2013. Non-interest income to total operating income of the bank measures its bank diversification level. Bank value is measured by the adjusted Tobin's Q and risk profile which is broken down into total risk, idiosyncratic risk, and systematic risk. The result shows that bank non-interest income diversification has a positive influence on its franchise value. There is, however, no strong evidence that diversification can lower a bank's risk profile.

Commercial Banks Performance 2008–2012

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Simona Vidzbelytė

2013-09-01

Full Text Available A country’s image, economic development process and GDP growth is significantly influenced by its banking sector performance. Banking’s success largely depends on public confidence. Only a small part of the banking services customers understand the indicators and ratios which are used to assess bank’s activities. Therefore, there is a need to analyze banks performance results in Lithuania. The paper presents a principal component analysis model applied on banks performance ratios in Lithuania. The main purpose of this article is to analyze basic indicators used in banks performance evaluation by principal component method. The obtained results represent the main components with the highest influence on Lithuanian commercial banks performance results in 2008–2012 year period. The main findings of the study indicate that commercial banks in Lithuania have been affected by different factors during 2008–2012 periods. It has been noted that Scandinavian capital commercial banks‘ performance results have been influenced by similar factors, have had similar structure of the factors, which has been more stable in comparison with small and/or Lithuanian capital banks. Conclusions and recommendations help banks’ board to improve their competitiveness and financial results, thus it also helps them to make appropriate decisions. It is also useful for an academic community to understand the structure of main components in banking sector.

Data bank for a data retrieval system

Energy Technology Data Exchange (ETDEWEB)

Vernikovskii, V V

1980-01-01

The data bank of the computerized data retrieval system is an organic and constituent part of the system; the level of technology and performance of the data retrieval system as a whole depend on the results of its design and operation. The data bank integrates a storage system for the entire set of data, as well as implementing an organization of a feasible storage mode for the system dictionary, computer processing procedures, user forms, system archieves and other service information. Functions of the data bank are computerized by means of a database control system. The retriveal system data bank was designed for the OKA database control system; the selection and evaluation of the feasibility of the OKA database control system, in turn, were one stage in the design of the system as a whole. The OKA database control system has been used to computerize data retrieval functions in the computerized data retrieval system, and also to maintain the system data bank in updated status.

ASSESING THE DETERMINANTS OF BANK LIQUIDITY. CASE STUDY ROMANIAN BANKING SYSTEM

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Florin Alexandru LUCA

2016-06-01

Full Text Available The financial crisis has highlighted the importance of liquidity risk for the banking system. Therefore, this study focuses on identifing the determinants of liquidity of Romanian banks. The data cover the period from 2006 to 2013 and take into account only bank-specific factors. The empirical study was applied on 16 Romanian banks and based on previous studies and uses different liquidity ratios, encompassing different points of view on liquidity. Regarding the explanatory variables considered in this analysis, they include various items of internal character concerning: capital adequacy, asset quality, profitability, efficiency of financial intermediation and the size of the banks. The results of our regression analysis indicate that bank liquidity is positively related to capital adequacy of banks and bank profitability and negatively related to the rate of non-performing loans, net interest margin and the size of the bank.

12 CFR 345.26 - Small bank performance standards.

Science.gov (United States)

2010-01-01

... 12 Banks and Banking 4 2010-01-01 2010-01-01 false Small bank performance standards. 345.26... GENERAL POLICY COMMUNITY REINVESTMENT Standards for Assessing Performance § 345.26 Small bank performance standards. (a) Performance criteria—(1) Small banks that are not intermediate small banks. The FDIC...

Internet Banking integration within the banking system

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Constantin Marian MATEI

2008-01-01

Full Text Available Internet Banking developed due to increasing demand of online banking transactions. The biggest advantages of Internet Banking consist of complex banking solutions, 24 hours availability, quick and secure access to the back-end application through Internet. These advantages are due to the use of SOA (service-oriented architecture. SOA appeared as a necessity of companies to integrate big and independent portions of applications, in order to obtain an homogeneous functionality of the system. For the Internet Banking applications, SOA proved to be the optimal architectural solution, for a smoth integration between banking services from the front-end to the back-end.This paper intend to offer an insite analyse of the Internet Banking applications architecture integrated with other banking systems. A SOA oriented analyse will establish the scope of the integration architecture.

12 CFR 228.26 - Small bank performance standards.

Science.gov (United States)

2010-01-01

... 12 Banks and Banking 3 2010-01-01 2010-01-01 false Small bank performance standards. 228.26... bank performance standards. (a) Performance criteria—(1) Small banks that are not intermediate small... performance is evaluated pursuant to the following criteria: (1) The bank's loan-to-deposit ratio, adjusted...

12 CFR 25.26 - Small bank performance standards.

Science.gov (United States)

2010-01-01

... 12 Banks and Banking 1 2010-01-01 2010-01-01 false Small bank performance standards. 25.26 Section... § 25.26 Small bank performance standards. (a) Performance criteria—(1) Small banks that are not... lending performance is evaluated pursuant to the following criteria: (1) The bank's loan-to-deposit ratio...

On Zombie Banks and Recessions after Systemic Banking Crises: Government Intervention Matters

NARCIS (Netherlands)

Homar, T.; van Wijnbergen, S.

2013-01-01

Systemic banking crises often continue into recessions with large output losses (Reinhart & Rogoff 2009a). In this paper we ask whether the way Governments intervene in the financial sector has an impact on the economy's subsequent performance. Our theoretical analysis focuses on bank incentives to

MARKET STRUCTURE AND PERFORMANCE OF TUNISIAN BANKS

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Ines Ayadi

2013-04-01

Full Text Available The objective of this research is to examine the relationship between market structure and the performance of the Tunisian banking system over the period 1990-2009. The Data Envelopment Analysis (DEA method was used to assess the scores of x-efficiency and scale efficiency, the hypotheses of the market power theory and those of the efficient structure theory were tested. Our Results have shown that x-efficiency has had a positive and significant effect on the performance of the Tunisian commercial banks as well as the hypothesis of x-efficiency.

ONLINE BANKING IN THE ROMANIAN BANKING SYSTEM

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IMOLA DRIGĂ

2014-12-01

Full Text Available In the world of banking, the development of IT has a huge effect on development of more flexible payments methods and more user-friendly banking services. Recently, modern electronic banking services, internet and mobile banking, have rejuvenated banking transactions. Electronic banking over the Internet is one of the newest e-banking services with several benefits both for banks and for customers. The paper aims to provide an overview of online banking services highlighting various aspects globally as well as in the Romanian banking system. Even if there already are several studies on web banking, this topic still remains a resourceful area for academic research in the next decade.

Women in Jordanian banks and performance: Financial accounting measurement

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Muhannad Akram Ahmad

2016-08-01

Full Text Available This study highlights the gender diversity issues in the banking sector taking into consideration their impact on the performance measured by profitability (ROA. As the banking sector has widely been ignored from the previous studies due to their strict system, this study empirically examined the impact of the CEO gender and board with a female director on the performance of the Jordanian commercial banks in a period from 2004 to 2013. The multiple regression analysis shows that the banks with female CEOs underperform their counterparts run by male CEOs. The reason could be due to their harmonious relationships orientation; that is, women do not tend to invest in risky investments. However, female director plays insignificant roles on the performance which supports the evidence of tokenism as argued by the psychological social theory

Bank performance and corporate culture

NARCIS (Netherlands)

Stentella Lopes, F.S.

2015-01-01

This thesis has three chapters and focuses on the performance of banks and on corporate culture. The first two chapters focus on bank performance and economic expectations. Specifically, the first chapter sheds light on the consistency between investors’ reaction to merger announcement and bankers’

Stress Testing of the Montenegrin Banking System with Aggregated and Bank-Specific Data

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Vuković Sanja

2014-05-01

Full Text Available There are many different approaches to the process of stress testing and two of them will be investigated in this paper. The first one is a stress test performed on aggregated data i.e. the banking system as a whole. The variable of interest in both exercises is the Loan Loss Provision ratio (hereinafter: the LLP. The main goal of the thesis is to find an answer to the following question: what are the macroeconomic variables that influence LLP the most and how will LLP, as a variable of interest, behave in a situation when all these variables were to experience negative performance at the same time? The resilience of the banking system to such scenario will be tested through the capital adequacy ratio. In order to find out more about the management practices of banks, microlevel data on banks were also used in the analysis. The focus was to see which of the variables are able to explain the LLP ratio for each bank individually and how is this information helpful for possible improvements in the banking sector. The relations between these variables will be able to explain some of the banks’ losses and some of the banks’ practices regarding credit activities. The analysis there will provide for some recommendations for the banks but also for the Central Bank and its way to influence the practices in the banking sector.

Domestic Systemically Important Banks: A Quantitative Analysis for the Chinese Banking System

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Yibing Chen

2014-01-01

Full Text Available This paper serves as a response to the official assessment approach proposed by Basel Committee to identify domestic systemically important banks (D-SIBs in China. Our analysis presents not only current levels of domestic systemic importance of individual banks but also the changes. We also consider the systemic risk of the whole banking system, by investigating how D-SIBs and non-D-SIBs are correlated before and after the recent financial crises using Copula. We find that the systemic importance of major banks is decreasing, while some banks becoming more systemically important should require tight regulations. D-SIBs as a whole subsystem display stronger correlation with non-D-SIBs than the individual D-SIBs, which alerts the regulatory to pay attention to “too-many-to-fail” problems. Contagion effects between D-SIBs and non-D-SIBs exist during the subprime crisis, but did not exist during the European debt crisis. This yields good signal of a more balanced banking system in China.

Corporate Governance and Financial Performance of Banks: Evidence from Nigeria

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Ogege S.

2014-06-01

Full Text Available Banks are the backbones of any economy therefore it is of immense importance for economies to possess a healthy and buoyant banking system with effective corporate governance practices. In Nigeria, the Central Bank replaced the past governance codes with the CBN code (2012. Therefore this study examines corporate governance and financial performance in Nigerian banks, using this new code. The main issues in this study are: what is the relationship between board size and financial performance of banks in Nigeria? What is the effect of the proportion of non- executive directors on the financial performance of banks in Nigeria? To what extent is the corporate governance disclosure of banks in Nigeria in compliance to CBN governance code (2012? Does a relationship actually exist between banks that disclose on corporate governance and their financial performance in Nigeria? These questions were answered by examining the yearly published reports of the listed banks in Nigeria. In examining whether or not there is a relationship between corporate governance and the financial performance of the banks, this research employed the regression analysis method to determine the relationship. However, the variables that was employed for corporate governance are: board size, board composition (the ratio of non-executive directors to total directors, and corporate governance disclosure index. Variables used in this study for examining the financial performance of these banks were the financial accountant measure for performance. These measures are return on equity (ROE and return on asset (ROA. In examining the level of compliance of the banks in this study to the CBN (2012 governance code, the research employed the content analysis method. Employing the content analysis, a disclosure index was formed and the annual report for each bank was examined using the CBN code of corporate governance (2012 as a guide. The results of the study showed that a positive

ROMANIAN BANKING SYSTEM EVOLUTION AND BASEL II REQUIREMENTS

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Mihaela NICOLAU

2006-01-01

Full Text Available Before 1989, Romanian Banking System was structured in the specific way of a centralized economy. Restructuring of the banking system took its first step at the end of 1990 when the newly- established bank, Banca Comercială Română, took over retail operations performed previously by the NBR. Simultaneously, some privately-owned banking companies were established and foreign banks’ branches were integrated into the domestic banking activity, the number of banks almost trebling. The unfriendly economic environment, the poor quality of bank managers and shareholders and cumbersome legal procedures led to an increase in tensions, the poor quality of credit portfolio representing the major difficulty of the banking sector. In the past years, NBR tried to control more thebanking activity by implementing international settlements. More over, since Romania is one of the European Union countries, it is absolutely necessary the harmonization of entire economic and financial system to EU regulations. The paper try to present the position of Romanian banking system in the framework of all these transformations.

The Determinants of Banking Performance: Empirical evidence from Tunisian Listed Banks

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Khalfaoui Hamdi

2015-06-01

Full Text Available This paper aims to identify the determinants of performance of the Tunisian banking sector. The results found, following an empirical study using panel data of Tunisian banks listed on the stock market over the period 2000-2013, show that credit risk, liquidity, total assets and disclosure of information relating to credit are the main determinants of banking performance.

Strategic environment and bank performance; (Empirical study of bank listed in Indonesian stock exchange period 2011-2015

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Mursalim Nohong

2017-03-01

Full Text Available This study aimed to explain the interaction between macroeconomic and the internal environment with the performance of banks in Indonesia. The analysed data obtained from 10 banks for 5-year observation period by using descriptive and inferential analysis through PLS program. The results showed that the BI rate is the most significant indicator in measuring changes in the macro environment, the efficiency ratio indicators for internal environment variables and indicators ROA for the variable performance. Further analysis showed that changes in the macro environment do not significantly influence the efficiency and performance of the banking system. However, efficiency is measured by using a ratio BOPO significant effect on performance.

Croatian banking sector research: relationship between ownership structure, concentration, owners’ type and bank performance

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Igor Tomičić

2012-12-01

Full Text Available Banks are important financial intermediaries of any national economy, and corporate governance has an important role in banking sector; especially due to processes of the globalization and the internationalization, and also because of the sensitivity of the activities between the interest groups. The objective of this paper is to examine the relationship between ownership structure, concentration, owners’ type and bank performance. The authors made a research of banks' ownership structure using publicly available data. Using statistical tools authors discovered relationships between bank ownership structure and bank performance indicators (average asset, total asset, average equity, profit (loss before taxes, profit (loss after taxes, ROAA, ROAE. Further they discuss the relationships between ownership structure and a number of consequences for the bank performance. The authors discovered significant correlation between bank ownership structure and performance indicators variables that are described in the paper.

Bank Ownership, Board Characteristics and Performance: Evidence from Commercial Banks in India

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Jayati Sarkar

2018-02-01

Full Text Available We study the effect of board governance in state-owned and private banks by undertaking a study of commercial banks in India that has both bank groups. Covering a ten-year period from 2003 to 2012 that witnessed a large number of governance reforms in India, the results of our empirical analysis provide evidence of strong ownership effects with board independence exhibiting a significant positive correlation with the performance of private banks and a significant but negative correlation with the performance of state-owned banks. The effect of CEO duality is negative in state-owned banks where incidence of CEO duality is high. We find that a longer CEO tenure has significant positive effects on bank outcomes with these effects strengthening in the later years of CEO tenure. Our results have governance implications for strengthening the composition of board of directors and CEO tenure especially in state-owned banks.

Operational Efficiency of Bank Loans and Deposits: A Case Study of Vietnamese Banking System

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Tram Nguyen

2018-01-01

Full Text Available This paper examines whether there is a causal relationship between bank loans and deposits in the Vietnamese banking system and the efficiency of the use of loans and deposits by the Vietnamese banks. In a country such as Vietnam, where inter-bank money markets are relatively underdeveloped, one would expect a reasonably strong relationship between deposits and loans. A pooled cross-sectional sample of financial ratios is collected from annual reports of 44 Vietnamese banks covering the period 2008–2015. The explanatory power of instrumental variables in relation to the endogenous variables is tested. A deterministic frontier model based on corrected ordinary least squares, estimated by three-stage least squares on a simultaneous equations model, is employed to derive the frontiers for the sampled banks as well as to estimate the causality between bank loans and deposits. Our findings suggest that, in an underdeveloped banking system such as Vietnam, bank deposits have a positive and significant impact on bank loans, but the reverse relationship is not significant. It is further suggested that in deposit-taking and loan-creating activities, Vietnamese banks performed moderately well over the period examined; however, in the near future, they should start to focus more on deposit-taking activities.

Internet Banking integration within the banking system

OpenAIRE

Constantin Marian MATEI; Catalin Ionut SILVESTRU; Dragos Stefan SILVESTRU

2008-01-01

Internet Banking developed due to increasing demand of online banking transactions. The biggest advantages of Internet Banking consist of complex banking solutions, 24 hours availability, quick and secure access to the back-end application through Internet. These advantages are due to the use of SOA (service-oriented architecture). SOA appeared as a necessity of companies to integrate big and independent portions of applications, in order to obtain an homogeneous functionality of the system....

Development of the NSRR experimental data bank system, (1)

International Nuclear Information System (INIS)

Ishijima, Kiyomi; Uemura, Mutsumi; Ohnishi, Nobuaki

1981-01-01

To promote collection, arrangement, and utilization of the NSRR experimental data, development of the NSRR experimental data bank system was intended. Fundamental parts of the NSRR experimental data bank system, including the processing program DTBNK, have been completed. Data of the experiments performed so far have been collected and stored. Outline of the processing program and the method of utilization and the present status of the data bank system are discussed. (author)

Technical Efficiency Performance of Conventional Banks

OpenAIRE

Endri, Endri

2012-01-01

This study aims to measure the performance of the technical efficiency of the conventional commercial banks during the period 2008-2009 by using non-parametric method of Data Envelopment Analysis (DEA). Test results showed that the total of all conventional commercial banks during the period 2008-2009 has not shown that optimal performance in which the level of technical efficiency is still below 100 percent. Appalling conditions, the efficiency of national banks experienced a decline of 73.5...

Structural and Qualitative Analysis of the Romanian Banking System

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Anisoara Niculina APETRI

2010-12-01

Full Text Available The banking sector, the predominant component of the Romanian financial system, had a relatively stable structure in the period 2005-2009 and has experienced significant consolidation, particularly in the years 2005-2006, this being sustained mainly by the restructuring and privatization process, but also by Romania's EU accession perspective and the competitive environment in this area. Given the new status of Romania as EU member country, the competition in the banking system has increased significantly, leading to both structural changes, but also to changes in levels of analysis indicators of banking structure and performance. Following this analysis, it appears that, recently, our country's banking system saw a dynamic and unprecedented diversification resulting from the economic development of the society and adaptation to EU requirements, and we can say that in Romania there is, now, a modern and competitive banking system, which provides circulation of the domestic economy and provides banking products and services in accordance with trends in the European banking sector.

Comparison of the Performance of SOEs Banks and Private Banks and its Influece to the Stock Prices

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Husnul Insan

2017-09-01

Full Text Available Banking industry is one of the industries which show the presence of tight competition. The competition itself can be seen from the number of banks which operates in Indonesia in 2014, that is 119 banks. The aim of doing this research is to analyze the different financial performances between Significant effect on the level of 5% and Private banks, and also to analyze the variable influence of bank finance performances to the stock price. The analyzing method which will be used on this research is radar and regression analyzing graphic illustration techniques. The result of this research shows that financial performances of SEOs Banks is better than Private Banks according to the profitability, productivity, and growth potential aspect, while on the aspect of liquidity, private banks has a better performance than SOEs banks. In terms of solvability, both banks have the same financial performances. According to the regression analysis, it is known that the bank financial performance on CAS and NIM variable has a positive and significant influence to the stock prices, while on LDR, CRR, CAR, DRR, and ROA variables they have a negative and significant influence to the stock prices. This shows that the investors have made those variables as a benchmark in their investing policies and they tend to pursue the stocks from SOEs banks rather than private banks, because generally SOEs banks have a better financial performance than private banks.Keywords: regression analysis, bank, stock prices, financial performances, radar method

INDONESIA PUBLIC BANKS PERFORMANCE EVALUATION USING FUZZY LOGIC

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Sugiarto Sugiarto

2016-10-01

Full Text Available Return on Asset (ROA is a variable that has the greatest ability in predicting public banks stock prices in Indonesia. The coefficient of determination of ROA on public banks stock prices in Indonesia reached 54.8%. ROA has a significant positive influence on public bank stock prices in Indonesia. Fuzzy logic process on the performance of the 15 public banks in Indonesia have been carried out using the data of ROA for the period 2010 up to 2013. Bank reference performance according to ROA is based on Bank Indonesia Letter No. 6 / 23DPNP / 2011. The performance of each bank was analyzed by conventional methods and as a comparison used fuzzy logic. The evaluation with fuzzy logic method able to provide added value to the currently enforced performance evaluation method. There is significant difference in conclusion between the determination of fuzzy logic models and conventional method

The effects of shadow banking on the traditional banking system in Zimbabwe

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Virimai Mugobo

2015-11-01

Full Text Available The growth of shadow banks changed the face of banking in Zimbabwe. Their inconsistent product nature and complexity of form has been a cause for concern to regulatory authorities. The interrelationship between their financial intermediary role and that of formal banks has made them good substitutes to formal banking. This study conducts a statistical analysis of the country’s monetary aggregates and the total formal bank loan-to-deposits balances. The findings of this analysis show that the shadow banking system has always been a critical element of the formal banking sector which resulted from market needs and it completes the banking system. The shadow banking system does not pose direct threat to the formal banking system but it was a result of failure to attract savers who found shadow banks as a good alternative.

Global Banking System Regulatory Environment

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Oleh Mozhovyi

2017-03-01

Full Text Available The international and domestic experience shows that the main factors of financial destabilization during the financial crises are in the banking sector. The article reveals that the vulnerability of the financial system is connected with functions, deposit and credit transactions, risks distribution and ensuring liquidity; banks act as a major factor in stabilisation measures in the current context of globalization processes, since the economic stability of banking activities relates directly to all the entities and only stable banking system can withstand the crisis phenomena. Therefore, as a result of the analysis, it is proved that not only reduction of risks of banks is needed, but also introduction of the effective supervision system over implementation of the requirements and standards to prevent these risks. According to modern international approaches, banks use the so-called prudential supervision, which is based on the risk management assessment policy on the part of the Bank’s management, and regulatory bodies contribute to implementation of such policy. The authors have concluded that not only modern specificity of banks, but also the impact of supervision systems and regulation of modern trends in development of the banking should be analysed. Application of the general regulatory principles and banking risks methodology is required. The task of supervision is distribution of reliable risk management practices in the banking system, taking into account national peculiarities of development.

REVENUE DIVERSIFICATION, PERFORMANCE, AND BANK RISK: EVIDENCE FROM INDONESIA

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Mutiara Nur Hafidiyah

2016-12-01

Full Text Available This paper examines the effect of revenue diversification on bank performance and bank risk by studying 101 conventional commercial banks in Indonesia over the period of 2010-2014 resulting in 505 observations. By employing panel least square technique, our results show that revenue diversification negatively affects bank performance. Moreover, it is found that diversified banks are riskier than specialized banks. The risk is diminished when state-owned banks diversify their business. Joint venture banks are riskier than other banks when they engage in non-interest income activities.

Empirical Assessment on Financial Regulations and Banking Sector Performance

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Igbinosa S.

2017-09-01

Full Text Available This study examines financial regulation and banking sector performance in Nigeria. Specifically, the study determines the impact of reforms on banking sector performance and also assesses the nexus between capital adequacy and banking sector performance. Time series data for the period 1993 to 2014 was used. As an analytical tool, the study uses unit root test to determine the stationary state of the variables. We also employed the Johansson co-integration and error correction model (ECM statistical techniques to establish both short-run and long-run dynamic relationships between the endogenous and exogenous variables. The empirical findings indicate that financial regulation significantly impacts the banking sector performance while financial regulation has both short-run and long-run dynamic relationships with the banking sector performance in Nigeria. It was found that the four-period lag of capital adequacy negatively affects banking sector performance and is not statistically significant. The paper suggests that the Central Bank of Nigeria (CBN should continually make public the impacts that the various financial regulations and reforms have on the performance of Nigerian banks. Majority of the policies on financial regulation by the apex bank (CBN need to be long-run which can enable confidence of stakeholders, shareholders and the general public in the Nigerian banking industry when critically evaluated.

The Financial Performance of the Companies Approached from the Perspective of Commercial Banks

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Mirela SICHIGEA (GANEA

2015-09-01

Full Text Available Assessment of financial performance of a company aims at highlighting the economic potential and its financial capacity to generate future cash flow. To support the granting of a loan any commercial banking institution goes through several steps of the formal and informal analysis of the applicant. Within the analysis takes into account a system of indicators charactering the last and future performance of the company. The paper presents the steps taken by a commercial bank in the lending process with customizing the system of indicators used by Raiffeisen Bank in characterizing the financial performance of businesses ranging from small and medium enterprises (SMEs.

Measuring the performance of Islamic banks using maqāsid based model

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Mustafa Omar Mohammed

2015-12-01

Full Text Available The vision and mission of Islamic banks were supposed to reflect the adherence of their activities and aspiration to Maqāṣid al-Sharī‘ah. However, there are contentions that Islamic banks have been converging towards conventional banking system. Efforts have been expended to reverse the tide and harmonise Islamic banking to its Sharī‘ah objectives. Hitherto, the existing conventional yardsticks have failed to measure the impact of the harmonisation exercise on Islamic banks’ performance. Therefore, using maqāṣid based yardstick to measure the performance of Islamic banks becomes imperative. This study has made use of al-Imām al-Ghazālī’s theory of Maqāṣid al-Sharī‘ah and Ibn ‘Āshūr’s reinterpretation, adopting content analysis and Sekaran (2000 behavioral science methods to develop a Maqāṣid Based Performance Evaluation Model (MPEM to measure the performance of Islamic banks. Experts’ opinions have validated the model and its acceptability. Suggestions are provided to policy makers and future research.

The Impact of Internet Banking on Bank Performance and Risk: The Indian Experience

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Pooja MALHOTRA

2009-11-01

Full Text Available The paper describes the current state of Internet banking in India and discusses its implications for the Indian banking industry. Particularly, it seeks to examine the impact of Internet banking on banks’ performance and risk. Using information drawn from the survey of 85 scheduled commercial bank’s websites, during the period of June 2007, the results show that nearly 57 percent of the Indian commercial banks are providing transactional Internet banking services. The univariate analysis indicates that Internet banks are larger banks and have better operating efficiency ratios and profitability as compared to non-Internet banks. Internet banks rely more heavily on core deposits for funding than non-Internet banks do. However, the multiple regression results reveal that the profitability and offering of Internet banking does not have any significant association, on the other hand, Internet banking has a significant and negative association with risk profile of the bank

The System-Synergetic Approach to Development of Banking Systems under Conditions of Financial Instability

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Karcheva Ganna T.

2015-03-01

Full Text Available The aim of the article is to study the theoretical and practical aspects of using the system-synergetic approach to the development and functioning of banking systems under conditions of financial instability. It has been grounded that the theoretical foundations for the development of banking systems are based on the system approach, according to which the banking systems belong to a class of special complex dynamic, self-motivated and open systems with an integrated structure of subsystems and functions. The study of such systems should include two aspects — system-cybernetic and system-synergetic ones. It has been proved that under stationary conditions the banking system development goes on in accordance with the systemcybernetic model, which suggests the presence of a management subsystem, which functions are performed by the central bank. Under conditions of financial instability, in the pre-crisis, crisis and post-crisis periods to study the development of banking systems the system-synergetic approach taking into account the multi-variant and alternative development of the banking system at bifurcation points is used. The criteria of the banking system entering the phase of bifurcation based on assessing the volatility of the current liabilities and possibility of building an analytical trend have been determined. The methodical approaches to evaluating the synergistic effects and level of financial stability of the banking system have been suggested, experimental calculations have been made.

French bank mergers and acquisitions performance

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Houda Ben Said

2017-11-01

Full Text Available In this paper, we empirically investigate the impact of mergers and acquisitions on French bank performance. Performance is measured by potential gains in efficiency and value creation. We first analyzed efficiency using the data envelopment analysis (DEA under input oriented with variable returns to scale to obtain the efficiency scores. Second, we analyzed the impact on French bank value creation following mergers-acquisitions operations of a set of control variables (model 1 and explicative variables measuring strategic similarities between bidders and targets (model 2. The sample studied is composed of French bank mergers-acquisitions happening between 1996 and 2006 and implying one of the 14 greatest French banking groups. Empirical result showed that mergers and acquisitions have been traduced by an improvement in the overall efficiency by 17.82% and a shareholder value reduction by 5.14%

How Bank Capital Structure Affects Business Performance---- Empirical evidence from Chinese Commercial banks

OpenAIRE

Luo, Ting

2010-01-01

In the end of 2006, China realizes the opening of financial market, thus Chinese commercial banks have to face the global competitors. How to exist and develop in the market with fierce competition has been more and more significant to Chinese commercial banks. Because commercial banks’ business performance is the overall reflection of banks’ competence, so they should consider improving the bank business performance. Thus this study aims to discuss how commercial banks’ capital structure aff...

Rational inefficiency and non-performing loans in Chinese banking: A non-parametric bootstrapping approach

OpenAIRE

Matthews, Kent; Guo, Jianguang; Zhang, Nina

2007-01-01

The existing Chinese banking system was born out of a state-planning framework focussed on the funding of state-owned enterprises. Despite the development of a modern banking system, numerous studies of Chinese banking point to its high level of average inefficiency. Much of this inefficiency relates to the high level of non-performing loans held on the banks books. This study argues that a significant component of inefficiency relates to a defunct bureaucratic incentive structure. Using boot...

BANKING SYSTEM STABILITY: COMMERCIAL AND CO-OPERATIVE BANKS

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Dumitru-Cristian OANEA

2014-04-01

Full Text Available Commercial banks and co-operative banks are credit institutions, but there are some differences between the main operations proceeded by each of them. Based on these specific characteristics, we want to identify the manner in which financial crisis affected their activity. As we all know, the financial crisis had a major impact in the United States, the “natal” country of the crisis, because great banks such as Lehman Brothers or Merrill Lynch have bankrupted. Even if the Romanian banking system was not affected by such catastrophic situations, surely the financial crisis had a significant impact on it. This topic is worth to be analysed, because we would be able to identify the risk differences between these two types of business: commercial banks versus co-operative banks.

A Study of Supervision of China's Commercial Banks from the Perspective of the Trinity-Characteristics of Bank Supervision System

Institute of Scientific and Technical Information of China (English)

LV Jianglin; HUANG Guang

2015-01-01

Based on the theoretical analysis,this paper applies the entropy method to establish a comprehensive index system for the evaluation of the overall level of risk control and comprehensive efficiency of the supervision of China's commercial banks.Considering the trinity-characteristics of bank supervision system consisting of the People's Bank of China(PBC),the CBRC and the financial offices of local governments,the following conclusions have been drawn:the amount of penalties on banking illegal transactions is not correlated with the supervision efficiency of China's commercial banks;the capital adequacy ratio,the loan to deposit ratio,the percentage point of the non-performing loan rate of urban commercial banks higher than that of the national joint-stock banks are negatively correlated with the supervision efficiency of China 's commercial banks;the total asset variation of the PBC and the different loan balance in local and foreign currency of the banks are positively correlated with the supervision efficiency of China's commercial banks,but the effect is minor.Therefore,China should give the capital adequacy ratio a full play in the bank supervision,accelerate the construction of supervision information system and improve the supervision function of the local governments.

Efficiency, Customers' Satisfaction and Deposit Money Banks' Performance in Nigeria

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Powel Maxwell Worimegbe

2018-03-01

Full Text Available Aim/purpose - The study seeks to explore the technical efficiency of Nigerian banks using production approach and; to establish the relationship that exists between technical efficiency, customers' satisfaction and bank performance in the face of a volatile economy. Design/methodology/approach - Data used in achieving the research objectives were from both primary and secondary sources. The Data Envelopment Analysis (DEA and Structural Equation Model (SEM were employed in the analysis of data. 600 hundred questionnaires from 18 deposit money banks. Findings - The study reveals that technical efficiency leads to customers' satisfaction. The findings also show that customers' satisfaction affects bank performance. Further- more, efficiency influences banks' financial performance and this indicates that banks that pursue improved financial performance using a singular approach may be fundamentally misguided. Research implications/limitations - The study has important implications because it suggests that Deposit Money Banks should concentrate effort firstly on efficiency before customers' satisfaction. Bank managers should also seek better way of meeting customers need thereby increasing their customers' satisfaction and increasing bank financial performance. The study is limited in scope since it does not look at other approaches in measuring bank efficiency; further studies should consider using intermediation, user-cost, asset, modern and value-added model approaches in measuring bank efficiency. Originality/value/contribution - The study focuses solely on deposit money banks in Nigeria and empirically analyses the effect of efficiency, customers' satisfaction on financial performance of deposit money banks in Nigeria(original abstract

Dividend Performance in the United Arab Emirates Banking Sector

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Mukdad Ibrahim

2016-10-01

Full Text Available The purpose of this study was to analyze the dividend performance of eight UAE based banks between the years 2001 and 2005. The analysis was undertaken by examining three sets of financial ratios that are routinely used to measure bank dividend performance. The main ratios that were employed put a particular focus on the banks’ ability to pay dividends in relation to market value of its share, earnings and ability to cover the payments. Descriptive statistical analysis was used to rank the performance, measuring the dispersion and the stability-variability of the indicators. Conclusions were then drawn from the computation of the descriptive analysis of ratios that allowed the author to make an effective comparison of said banks. This type of analysis was used to summarize the performance of each bank based on three criteria, mean, standard deviation and coefficient of variation of each banks performance. The findings showed that eight banks performed reasonably well during the period studied, but have different strategies in paying their dividends across the years under study. The analysis reveals that these banks have been affected by both internal and external factors.

Corporate governance and bank performance: Evidence from Bangladesh

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Mohammad Badrul Muttakin

2012-01-01

Full Text Available The study investigates the relationship between the corporate governance structure and performance of listed banks in Bangladesh. We find that board independence and board size have a significant positive impact on performance. However, female directors appear to have no impact on performance. Our evidence indicates that the extent of the managerial ownership level has a significant negative impact on bank performance. These results suggest that better corporate governance mechanisms are imperative for every banking company and should be encouraged for the interest of the investors and other stakeholders.

E-BANKING AND BANKS’ PERFORMANCE IN ROMANIA

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Lavinia M. GUȚU

2015-04-01

Full Text Available Banks are important entities in the economy as they have a significant role in maintaining and encouraging the development of economic sectors. This is possible through the work of refocusing resources from those who have surplus to those who are in a deficit situation. Therefore, like any other company, the performance is highly desirable for banks. It is therefore essential to identify which are the main factors influencing the achievement of this goal. From this perspective, this paper aims to analyze the microeconomic factors affecting the financial performance of banks in Romania. Special attention will be paid to Internet technology or ICT as part of new banking technologies because, so far, in Romania, there are few studies of this kind.

Performance of ALVAND 1. capacitor bank

International Nuclear Information System (INIS)

Torabi-fard, A.; Farahani, M.; Ebrani, M.; Rostami, R.; Daghighian, F.

1978-01-01

This report describes the specifications of the capacitor bank for the ALVAND I, Linear theta pinch experiment and the results of some tests performed on it. A one-meter-wide module includes the basic components such as capacitors, Spark gaps, and crowbar triggers. Complementary parts such as ground system, pressurised dry air system and safety system were added. With a rise-time of about three micro-seconds and a total current of six million amperes it is possible to produce ion temperature in excess of one kev for a few microseconds. Different probes were used to measure the magnetic field and the total current

The Consolidation on Banking Supervision in the Context of a Pan European Banking System

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Teodora Barbu

2007-03-01

Full Text Available The diversity of national banking systems in the European banking system and the absence of consolidated supervision creates the premises for a series of interrogations whose essence is the same: Is it possible to discuss about a Pan European Banking System? The starting point in answering this question was the efforts to create a single banking market, which took place in 1973-1999, and the impact of integration on the European Banking Industry. Among the most representative aspects, it must be emphasized the necessity of consolidating banking supervision at an European level, considering that the International Banking Community studies the problematic of banking regulations at a global level. The two dimensions of the prudential and European bank supervision device – the geographic and the institutional – demand the creation of a structural reform in order to ensure the functioning of a Pan European system of banking supervision and regulations. The considerations on the Consolidation of European Banking Supervision draws into discussion the Financial Supervision Authority which has generalized as an applicable model in numerous European countries and has been mentioned as an alternative of Pan European banking supervision. In the process of the integration of the banking sector, the Basel II Accord represents an opportunity in reaching a convergence of national regulations and practices in matters of risk management, considering that these actions are in line with the preoccupations of realizing a Pan European banking system. Thus, the creation of Pan European banking system involves actions in more directions: legal, institutional, operational meant to ensure the consolidation of banking supervision.

Provincial corruption and local development bank performance

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Murharsito Murharsito

2017-03-01

Full Text Available This paper investigates the effect of provincial corruption on the performance of local development bank, specifically to the profitability and credit quality. We use the data of 26 local development banks in 2012 and 2013. For the provincial corruption measurement we use “Public Institution Openness Index”. Results of this study are first, corruption significantly has a negative effect on the profitability of local development bank. Second, corruption doesn’t affect the credit quality of local development bank. These results are expected to enrich the within country corruption effect to the economic studies, particularly to the local development bank which is infrequently investigated.

Quality system in Malaysian National Tissue Bank

International Nuclear Information System (INIS)

Go Boon Thong; Firdaus, M. N.; Abd Rani Shamsudin

1999-01-01

Quality System in Malaysian National Tissue Bank is based on the Quality Manual which has been drawn up by the chairman, who is the Dean, School of Medical Sciences. The Quality Manual include general standard for Tissue Banking in University Science of Malaysia which describe and explain a set of general standard similar to the EATB standard. The primary aim of the quality system is to produce a safe and effective tissue graft for successful clinical use and to ensure the safety of tissue bank operators. The Quality Manual also related the role of a Technical Manual, which explain the standard of technical aspect of tissue bank in a Quality Assurance. The safe working environment and Good Laboratory Practice is highlight in Quality System. Documentation of tissue bank activities is the key to the administration to tissue bank. Finally Quality System in tissue banking will never be complete without a Tissue Bank Auditing System which allow the tissue bank coordinator and staff to look into the problem and further enhance the progress of the tissue bank

Business cycle effects on commercial bank loan portfolio performance in developing economies

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Jack Glen

2011-04-01

Full Text Available This paper studies the effects of business cycles on the performance of commercial bank loan portfolios across major developing economies in the period 1996–2008. We measure loan performance via loan loss provisions (that is, recognized expenses related to expected losses in bank income statements. Our results indicate that while economic growth is the main driver of loan portfolio performance, interest rates have second-order effects. Furthermore, we find the relationship between loan loss provisions and economic growth to be highly non-linear only under extreme economic stress: GDP growth needs to decline by more than 6 percentage points (pp, in absolute terms in order to generate an increase in loan loss provisions equivalent to median emerging market bank profits; while a decline of more than 10 pp in growth implies significant capital losses, of at least 20 percent, for the median emerging market bank. In addition, we find higher loan loss provisions are associated with private sector leverage, poor loan portfolio quality, and lack of banking system penetration and capitalization.

Dominant shareholders, board structure and bank performance: Evidence from Serbia

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Stančić Predrag

2012-06-01

Full Text Available We investigate relation between board structure (size and composition and bank performance in 18 Serbian commercial banks with a dominant shareholder in 2006-2010. We analyze this relation using OLS regression analysis on an unbalanced panel dataset of 75 observations. We find no significant relation between proportion of independent directors on the board and bank performance. We also find no significant relation between bank market performance and board size. We find that bank profitability, measured by ROA and ROE, increase as the number of directors on the board decreases. This result is statistically significant after controlling for endogenous variables and unobserved macroeconomic effects. We conclude that Serbian banks with dominant shareholder should put limits on board size. The relation between bank performance and ownership concentration ratio is always negative, but significant only in case of ROA and ROE.

Determinants of Banking System Fragility : A Regional Perspective

NARCIS (Netherlands)

Degryse, H.A.; Elahi, M.A.; Penas, M.F.

2012-01-01

Abstract: Banking systems are fragile not only within one country but also within and across regions. We study the role of regional banking system characteristics for regional banking system fragility. We find that regional banking system fragility reduces when banks in the region jointly hold more

Fuzzy Approach in Ranking of Banks according to Financial Performances

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Milena Jakšić

2016-01-01

Full Text Available Evaluating bank performance on a yearly basis and making comparison among banks in certain time intervals provide an insight into general financial state of banks and their relative position with respect to the environment (creditors, investors, and stakeholders. The aim of this study is to propose a new fuzzy multicriteria model to evaluate banks respecting relative importance of financial performances and their values. The relative importance of each pair of financial performance groups is assessed linguistic expressions which are modeled by triangular fuzzy numbers. Fuzzy Analytic Hierarchical Process (FAHP is applied to determine relative weights of the financial performances. In order to rank the treated banks, new model based on Fuzzy Technique for Order Performance by Similarity to Ideal Solution (FTOPSIS is deployed. The proposed model is illustrated by an example giving real life data from 12 banks having 80% share of the Serbian market. In order to verify the proposed FTOPSIS different measures of separation are used. The presented solution enables the ranking of banks, gives an insight of bank’s state to stakeholders, and provides base for successful improvement in a field of strategy quality in bank business.

Electronic Banking And Bank Performance In Nigeria

African Journals Online (AJOL)

2013-03-01

Mar 1, 2013 ... deploying information Technology in banks therefore can ... profitability indices and other control of financial ..... impact of e-banking on bank profitability ..... [13] Nikolai L. and Bazlay J.D (1997) Intermediate Accounting, South-.

Relationship between macroeconomic aggregates and bank performance

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Mitrović Ranka

2016-01-01

Full Text Available The aim of the paper is relations between some macroeconomic aggregates and performance of banks. This paper show analysis of trends in gross domestic product, exchange rates, interest rates, inflation load, developments in the balance of payments. On the business side, performance is achieved insight into the liquidity, capital adequacy, and the amount of non-performable loans. The aim of the research is to refute or confirm the interconnectedness of movement values of macroeconomic aggregates and bank performance. The analysis confirmed the association of two set variables. The negative value movements of macroeconomic aggregates directly or indirectly have an impact on the quality of performance of the banking sector. Therefore, it is necessary to define an adequate strategy of the economy, would not it safer to carry out the process of adapting to new developments in the market, such as the global financial crisis, the rise in unproductive enterprises, distrust customers etc.

Multicriterial ranking approach for evaluating bank branch performance

NARCIS (Netherlands)

Aleskerov, F; Ersel, H; Yolalan, R

14 ranking methods based on multiple criteria are suggested for evaluating the performance of the bank branches. The methods are explained via an illustrative example, and some of them are applied to a real-life data for 23 retail bank branches in a large-scale private Turkish commercial bank.

European Bank Efficiency and Performance : The effects of supranational versus national bank supervision

NARCIS (Netherlands)

Galema, R.J.; Koetter, M.

2016-01-01

This chapter explores European bank efficiency and performance. First, the authors provide an overview of the key estimation methods for efficiency and discuss selected applications to the European banking sector. Second, they apply stochastic frontier analysis to investigate the extent to which the

Early Warning Models for Systemic Banking Crises in Montenegro

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Željka Asanović

2013-06-01

Full Text Available The purpose of this research is to create an adequate early warning model for systemic banking crises in Montenegro. The probability of banking crisis occurrence is calculated using discrete dependent variable models, more precisely, estimating logit regression. Afterwards, seven simple logit regressions that individually have two explanatory variables are estimated. Adequate weights have been assigned to all seven regressions using the technique of Bayesian model averaging. The advantage of this technique is that it takes into account the model uncertainty by considering various combinations of models in order to minimize the author’s subjective judgment when determining reliable early warning indicators. The results of Bayesian model averaging largely coincide with the results of a previously estimated dynamic logit model. Indicators of credit expansion, thanks to their performances, have a dominant role in early warning models for systemic banking crises in Montenegro. The results have also shown that the Montenegrin banking system is significantly exposed to trends on the global level.

Intervention in systemic banking crises

NARCIS (Netherlands)

Homar, T.

2016-01-01

Systemic banking crises often continue into recessions with large output losses. Governments and central banks intervene to preserve the key functions of the financial system and to mitigate the adverse impact of financial distress on economic growth. This thesis investigates how effective

THE BANKING UNION – THE SOLUTION TO REDUCE THE EUROPEAN BANKING SYSTEM RISKS?

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ALINA LIGIA DUMITRESCU

2014-11-01

Full Text Available The banking union has been seen as "a panacea" for solving the system risks of the EU banking system. This paper objectives are to find out if is the banking union, with is strong and week sides, will be right answer to solve the actual issues that EU banking system has as: the fragmentation in the EU single market, the deterioration in asset quality, the need for recapitalization and the quality of banks’ loan portfolios. According with most of the experts the banking union will strength the process of economic integration. On the other side, the non-euro area member states are questioning about "equal rights and obligations for all Member States" inside the banking union. But, with all pros and cons of the banking union, the ECB's making decisions and tasks can be questioned, although its role of supervisor can not be disputed. The most important thing is that the banking union breaks the vicious circle between banks and sovereign debts, and ends "to big to fail"

Human Resource Valuation and the Performance of Selected Banks ...

African Journals Online (AJOL)

Human Resource Valuation and the Performance of Selected Banks in ... the researcher gathered data from Nigerian banks listed in the Nigeria Stock ... Conclusively, human resources cost approach to corporate performance measurement ...

Measuring Bank Financial Performance Between Pre and Post Acquisition of Bii Maybank in Indonesia

OpenAIRE

Sorongan, Marselly

2013-01-01

Banking institutions are one of the key sectors within the financial system. For this reason, the government opens investment opportunities on a large scale to attract foreign investors. This is evident with the increasing number of the Indonesian banking companies which have been taken over by foreign institutions; for instance the acquisition of PT. Bank Internasional Indonesia by Maybank. A Financial report is a tool for analyzing the development of the bank's performance of pre and post-a...

The new bank note distribution system

OpenAIRE

Gerrit Bilkes

1997-01-01

In this article, the author outlines the recent changes made to the way Canada's bank notes are distributed. The new system allows financial institutions to exchange notes directly with one another at designated points across the country, rather than through Bank of Canada agencies, as was previously the case. The institutions communicate with the Bank of Canada through a computerized inventory-management system. Two Bank of Canada operations centres monitor note quality and supply new notes ...

Intellectual capital and financial performance: A study of the Turkish Banking Sector

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Nasif Ozkan

2017-09-01

Full Text Available The purpose of this study is to analyze the relationship between the intellectual capital performance and financial performance of 44 banks operating in Turkey between 2005 and 2014. The intellectual capital performance of banks is measured through the value added intellectual coefficient (VAIC methodology. The intellectual capital performance of the Turkish banking sector is generally affected by human capital efficiency (HCE. In terms of bank types, development and investment banks have the highest average VAIC. When VAIC is divided into its components, it can be observed that capital employed efficiency (CEE and human capital efficiency (HCE positively affect the financial performance of banks. However, CEE has more influence on the financial performance of banks compared to HCE. Therefore, banks operating in the Turkish banking sector should use their financial and physical capitals if they wish to reach a higher profitability level.

The Effect of Capital Adequacy on Banks' Performance: Evidence ...

African Journals Online (AJOL)

Journal of Business Research ... This study estimates the effect of capital adequacy on bank earnings and profitability in Nigeria. ... regulatory framework in the management liquidity and bank capital to shore-up bank performance in Nigeria.

The Consolidation on Banking Supervision in the Context of a Pan European Banking System

OpenAIRE

Teodora Barbu; Georgeta Vintila

2007-01-01

The diversity of national banking systems in the European banking system and the absence of consolidated supervision creates the premises for a series of interrogations whose essence is the same: Is it possible to discuss about a Pan European Banking System? The starting point in answering this question was the efforts to create a single banking market, which took place in 1973-1999, and the impact of integration on the European Banking Industry. Among the most representative aspects, it must...

Bank Mergers Performance and the Determinants of Singaporean Banks’ Efficiency: An Application of Two-Stage Banking Models

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Fadzlan Sufian

2007-01-01

Full Text Available An event study window analysis of Data Envelopment Analysis (DEA is employed in this study to investigate the effect of mergers and acquisitions on Singaporean domestic banking groups’ efficiency. The results suggest that the mergers have resulted in a higher post-merger mean overall efficiency of Singaporean banking groups. However, from the scale efficiency perspective, our findings do not support further consolidation in the Singaporean banking sector. We find mixed evidence of the efficiency characteristics of the acquirers and targets banks. Hence, the findings do not fully support the hypothesis that a more (less efficient bank becomes the acquirer (target. In most cases, our results further confirm the hypothesis that the acquiring bank’s mean overall efficiency improves (deteriorates post-merger resulted from the merger with a more (less efficient bank. Tobit regression model is employed to determine factors affecting bank performance, and the results suggest that bank profitability has a significantly positive impact on bank efficiency, whereas poor loan quality has a significantly negative influence on bank performance.

Moderating Effects of Bank Ownership on the Relationship between Securitization Uptake and Financial Performance of Commercial Banks in Kenya

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Paul Munene Muiruri

2015-06-01

Full Text Available Securitization is a process in which commercial banks can raise low-cost financing by assigning asset risks to investors’ appetite for risk. This has been one of the most dominant and fastest growing means of capital creation in the United States and the world over. After introduction of securitization, the banking industry in Kenya has recovered from a long period of poor performance. The aim of this study is to aim of study was to tests for the moderating effects of bank ownership on relationship between securitization uptake and financial performance of forty three commercial banks in Kenya, over a five-year period from 2009 to 2013. The researchers dominantly relied on secondary data from most recent annual published financial statements and banks supervision records at the Central Bank of Kenya. The data was complimented by use unstructured personal interview from 172 banks key officials; the mortgage, credit, risk and compliance and debt recovery who were identified by simple random sampling from each of 43 banks. The data were cross validated with information from secondary sources; five years annual published financial statements and bank supervision records at the Central Bank of Kenya so as to avoid premature conclusions. In line with the previous studies, the results indicate that the banks’ financial performance had been almost progressing over the operational periods considered for the study. The commendable performance in profitability of the banks was attributable to securitization uptake among banks. The study recommends banks to use securitization in ensuring they have adequate capital and bank managers to be allowed to invest their liquid assets so that can generate more income to boost their performance.

Comparison of the financial performance of Islamic and conventional bank in Malaysia during and after economic crisis

Science.gov (United States)

Kadir, Norhidayah A.; Jaffar, Aidatullaini; Abdullah, Nur Lina; Harun, Nurzalina

2013-09-01

This paper is a continuation of our former work. In this paper, we compare the financial performance of the two banking systems that exist in Malaysia over two periods of time, during economic crisis (1997-1999) and after economic crisis (2001-2003). In order to see the conventional as well as Islamic bank's performance over these two periods of time, the study uses 10 financial ratios which are broadly categorized into 4 groups: (a) profitability ratios; (b) liquidity ratios; (c) risk and solvency ratios; and (d) efficiency ratios. Next, the study used T-test in determining the significance of the differential performance of the two banks over two periods of time. By using inter-bank comparison, the study found that, conventional bank has better performance, efficient, more profitable and has greater risk as compared to Islamic bank. However, in terms of utilizing asset, Islamic bank is better than conventional bank. As an overall, conventional bank is better in much aspect due to the longer history and experience in the industry than Islamic bank that start their operation in 1983.

Analyzing Systemic Risk in the Chinese Banking System

NARCIS (Netherlands)

Huang, Qiubin; de Haan, Jakob; Scholtens, Bert

We examine systemic risk in the Chinese banking system by estimating the conditional value at risk (CoVaR), the marginal expected shortfall (MES), the systemic impact index (SII) and the vulnerability index (VI) for 16 listed banks in China. Although these measures show different patterns, our

Employee Motivation, Recruitment Practices and Banks Performance in Nigeria

Directory of Open Access Journals (Sweden)

Adeola Mukarramah Modupe

2016-12-01

Full Text Available Many organisations recognizes the use of human resource as a major influence to their success. And with today’s competitive environment, it is imperative for organisations to find ways to be more effective and efficient in utilizing their resources so as to improve their general performance. Hence, there is need to recruit and retain highly qualified and motivated employees in order to remain competitive in the unstable environment. This study evaluates the relationship between recruitment practices, employee motivation and their impact on organisational performance focusing on the Nigerian banking industry, with a view to investigating factors that motivate employees of Nigerian banks and the methods banks adopt to motivate their employees. The study also assesses recruitment and selection methods used by Nigerian banks to select effective employees. The study is a cross-sectional in time and the primary data collected from a conveniently selected sample of 60 employees each of the seven selected banks. Face-to-face survey and interview was carried out in order to achieve the research objectives and back up theoretical findings. Using correlation and thematic analysis, the results indicated that there was a strong positive relationship between employee motivation, recruitment practices and organisational performance. Findings from the analysis identified that bank employees are mostly extrinsically motivated; although intrinsic factors also motivate them, it is not as motivating as extrinsic factors. The banks also provide more of extrinsic motivators to increase the performance of their employees. The banks make use of various methods of employee selection, by dividing the methods into stages. In addition, recruiting is mostly undertaken through recruitment agencies or advert placements. The study provides future recommendations that banks in Nigeria should be firmer in their selection processes; this will allow them to identify unsuitable

A financial Ratio Analysis of Commercial Bank Performance in ...

African Journals Online (AJOL)

A financial Ratio Analysis of Commercial Bank Performance in South Africa. ... Journal Home > Vol 2, No 1 (2010) >. Log in or ... This paper investigates the performance of South Africa's commercial banking sector for the period 2005- 2009.

Noninterest Income and Performance of Commercial Banking in China

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Limei Sun

2017-01-01

Full Text Available Noninterest income is what most Chinese banks are striving for in recent years because of the vigorous competition among commercial banks due to the increasingly open market and tough regulation from the central bank of China. But the problem is the real effect of noninterest income on profit and risks. A panel threshold model is used with balanced panel dataset of 16 listed Chinese commercial banks, for the period of 2007 to 2013, to investigate the relationship between noninterest income and performance. The findings show two main conclusions: (1 the existence of two thresholds shows that there is nonlinear relationship; (2 there is a general negative correlation between the noninterest income ratio and performance of commercial banks. Furthermore, when the noninterest income ratio is higher than the two thresholds, the negative correlation decreases. Implications of the paper are that the ratio should be controlled in a range or noninterest income will not positively affect the performance, and a high level of performance can be gained only by raising the ratio to a certain level.

The Effects of Foreign Bank Participation on the Turkish Banking System and Crisis

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Suleyman Degirmen

2015-08-01

Full Text Available There is an assertion that the participation of foreign banks in emerging markets is often thought to improve overall bank soundness. Therefore, if the share of foreign banks in a national banking system is large, the system will quickly overcome both financial or currency crises, and quickly recover itself. Since Turkey has been experienced mentioned crises, the aim of this study is to reveal if the assertion is valid for Turkey. Our expectation from the study using VAR method is to reach a conclusion that countries with large market share of foreign banks have safely passed the crises by virtue of foreign banks’ best management policies. The test results indicate that foreign banks have more positive effect for helping TBS capital structure; foreign bank participation did not cause any decline in loans and last one, after crisis, existence of foreign banks worsens TBS’ liquidity in interest and exchange rate shocks.

The anatomy of bank performance during transition: A separate efficient frontier analysis of Ukrainian banks

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Ihsan Isik

2016-04-01

Full Text Available By drawing on Ukrainian experience, this paper analyzes the anatomy of bank efficiency in a transitional economy. Acknowledging the vast disparities in the business technology of different size banks, in this comprehensive study, we innovatively estimate group-specific (distinct frontiers for small, medium, and large size banks. The results from separate frontiers reveal that Ukrainian banks record 38% technical inefficiency, 26% pure technical inefficiency, and 17% scale inefficiency on average. Apparently, banks in transition waste about the two fifths of their factor inputs during the production of financial services. The cardinal source of sub-performance in transitional banks seems to be managerial inefficiencies. We also found that banks operating in areas with more political influence and more developed infrastructure outperform the banks operating in politically and economically weaker regions. The results also indicate that larger banks, enjoying public trust in a risky business climate, dominate smaller banks in all forms of efficiency. However, such bias for size causes large banks to suffer from decreasing returns to scale and small banks from idle capacity. Consequently, the policies promoting consolidation between small and large banks may alleviate the excess (idle capacity for large (small banks in a transitional economy.

Western Balkans’ Banking Sector Performance in Terms of Macroeconomic and Bank Specific Efficiency Determinants

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Lindita Varesi

2015-02-01

Full Text Available Main objective of this study is to analyse banking efficiency and productivity considering evidences from Western Balkan countries in pre-crisis, during and the recovery period. Referring to the historic background and the transformations suffered, the WB countries have developed bank based financial structure so the soundness of the banking sector is significantly important for the stability and progress of their economies on the long run. The problems faced by the last recession, the deteriorated macroeconomic indicators and weak, inefficient banking sector translated in slow recovery rates, encouraged this study. Prior studies have been mainly focused in causes and effects of crisis in different sectors of economies while this paper presents relations and dependencies between the macroeconomic and bank specific efficiency determinants. The methodology used is the comparison between countries and as method the financial ratio analysis, intending the presentation of trends and evaluation of changes in efficiency, profitability and performance indicators during 2000- 2007 comparing with 2008-2013. Results that the banking sector profitability indicators follow the same negative trend with the economic growth rates and the recovery rates are lower than the forecasted. The results can be used by performance monitors to better identify vulnerabilities and examine uncertainties/risks.

The Effects of Nonperforming Loans on Dynamic Network Bank Performance

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Day-Yang Liu

2017-01-01

Full Text Available This paper is to explore the relationship between banks’ performance and their nonperforming loans (NPLs. The banks’ performance through a network production process structure with NPLs is developed. With increasing NPLs in recent years, the quality of lending assets is a key significant and influencing factor for banks’ operational risk. The research methodology is to integrate the radial and nonradial measures of efficiency into the network production process framework with NPLs; this study utilizes network epsilon-based measure model to evaluate the banking industry performance. In addition, the key characteristics of the bank industry including those of financial holding companies and privatized government banks are needed to be figured out and to provide insight into what causes imperfectly competitive conditions for some banks. The results demonstrate that the banking sector grew consistently in three aspects of operation: operating performance, profitability performance, and risk management in the last five years of the subject period. These results showed that the overall banking sector was capable of pursuing growth in both operations and profits while accounting for risk management. The potential applications and strengths of network data envelopment analysis in assessing financial organizations are also highlighted.

Corporate governance and the performance of Nigerian banking ...

African Journals Online (AJOL)

Corporate governance and the performance of Nigerian banking sector. ... Social Scientist (SPSS) was used to analyze the data collected and ... running of banking operations so as to have a positive effect on the continuity of the organization.

BANKING SYSTEM FRAGILITY: CASE OF THE REPUBLIC OF MOLDOVA

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Dorina CLICHICI

2014-04-01

Full Text Available The paper studied the determinants of Moldovan banking system fragility. It underlines the existing researches into the empirical determinants of banking fragility. The analysis revealed that there are numerous channels through which weaknesses within the macroeconomic conditions and structural characteristics might increase banking system fragility. The main macroeconomic determinants which may have an impact on Moldovan banking system fragility are: excessive domestic liquidity, pro-cyclical character of the banking system, dependence on remittances, financial dollarization. There are also several banking characteristics which play a role for Moldovan banking system fragility: the undermined intermediation function, high level of bad loans, uncertainties in the ownership structure, low presence of foreign strategic investors. The paper employed a quantitative, a qualitative and a comparative analysis using the financial soundness and structural indicators of the Moldovan banking system in order to assess the impact of various determinants on Moldovan banking system fragility. The results reveal a high degree of capitalization and liquidity of Moldovan banking system, factors which contribute and maintain the general stability of the entire financial system.

Supervision and Performance : The Case of World Bank Projects

NARCIS (Netherlands)

Kilby, C.

1995-01-01

This paper explores empirical aspects of the relation between supervision and project performance. I focus on development projects funded by the World Bank and on supervision done by the World Bank. The World Bank is the preeminent international development organization both in terms of money lent

Determinants of Non Performing Loans in Commercial Banks: A Study of NBC Bank Dodoma Tanzania

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N. Viswa Nadham

2015-03-01

Full Text Available The study attempts to ascertain the determinants of nonperforming loans in National Bank of Commerce. Data was collected from 152 respondents. Tables, percentages, mean and standard deviation were used to analyze data. Data collection methods adopted for the study were interview, questionnaire and documentary evidence. Interest rate, GDP, concentration of lending activities, bank’s loan supervision capacity and economic condition were investigated, and the results suggest that interest rate, GDP, bank’s loan supervision capacity and economic condition influence the level of NPLs. However, the results did not suggest that concentration of lending activities increase the level of NPLs.   The study suggests that banks should put in place a vibrant credit process that ensures proper customer selection and risk identification, robust credit analysis, proactive monitoring and clear recovery strategies for bad loans, formulate clear policy framework that addresses issues of ethical standards and check and balance credit process, organizational capacity enhancement of banks, deliberate effort to develop credit culture for managing loans ,and ensure prudent policies that govern bank loans. Since the results for this study were encouraging, the researcher encourages replicating the study for other lending institutions. In order to extend the literature on non-performing loans, the researcher suggested incorporating models of Golem effect, Social loafing, Inverted pyramid effect, Pollyanna effect and High default culture effect.  Also, basing on the merits of the study, the researcher suggests determining relationship between non-performing loans and loan size, collateral, credit culture, and credit management information system.

ONLINE BANKING IN THE ROMANIAN BANKING SYSTEM

OpenAIRE

IMOLA DRIGĂ

2014-01-01

In the world of banking, the development of IT has a huge effect on development of more flexible payments methods and more user-friendly banking services. Recently, modern electronic banking services, internet and mobile banking, have rejuvenated banking transactions. Electronic banking over the Internet is one of the newest e-banking services with several benefits both for banks and for customers. The paper aims to provide an overview of online banking services highlighting various aspect...

Acceptance of Internet Banking Systems among Young Managers

International Nuclear Information System (INIS)

Ariff, Mohd Shoki Md; Yeow S M; Zakuan, Norhayati; Bahari, Ahamad Zaidi

2013-01-01

The aim of this paper is to determine acceptance of internet banking system among potential young users, specifically future young managers. The relationships and the effects of computer self-efficacy (CSE) and extended technology acceptance model (TAM) on the behavioural intention (BI) to use internet banking system were examined. Measurement of CSE, TAM and BI were adapted from previous studies. However construct for TAM has been extended by adding a new variable which is perceived credibility (PC). A survey through questionnaire was conducted to determine the acceptance level of CSE, TAM and BI. Data were obtained from 275 Technology Management students, who are pursuing their undergraduate studies in a Malaysia's public university. The confirmatory factor analysis performed has identified four variables as determinant factors of internet banking acceptance. The first variable is computer self-efficacy (CSE), and another three variables from TAM constructs which are perceived usefulness (PU), perceived ease of use (PE) and perceived credibility (PC). The finding of this study indicated that CSE has a positive effect on PU and PE of the Internet banking systems. Respondents' CSE was positively affecting their PC of the systems, indicating that the higher the ability of one in computer skills, the higher the security and privacy issues of PC will be concerned. The multiple regression analysis indicated that only two construct of TAM; PU and PC were significantly associated with BI. It was found that the future managers' CSE indirectly affects their BI to use the internet banking systems through PU and PC of TAM. TAM was found to have direct effects on respondents' BI to use the systems. Both CSE and the PU and PC of TAM were good predictors in understanding individual responses to information technology. The role of PE of the original TAM to predict the attitude of users towards the use of information technology systems was surprisingly insignificant.

Acceptance of Internet Banking Systems among Young Managers

Science.gov (United States)

Ariff, Mohd Shoki Md; M, Yeow S.; Zakuan, Norhayati; Zaidi Bahari, Ahamad

2013-06-01

The aim of this paper is to determine acceptance of internet banking system among potential young users, specifically future young managers. The relationships and the effects of computer self-efficacy (CSE) and extended technology acceptance model (TAM) on the behavioural intention (BI) to use internet banking system were examined. Measurement of CSE, TAM and BI were adapted from previous studies. However construct for TAM has been extended by adding a new variable which is perceived credibility (PC). A survey through questionnaire was conducted to determine the acceptance level of CSE, TAM and BI. Data were obtained from 275 Technology Management students, who are pursuing their undergraduate studies in a Malaysia's public university. The confirmatory factor analysis performed has identified four variables as determinant factors of internet banking acceptance. The first variable is computer self-efficacy (CSE), and another three variables from TAM constructs which are perceived usefulness (PU), perceived ease of use (PE) and perceived credibility (PC). The finding of this study indicated that CSE has a positive effect on PU and PE of the Internet banking systems. Respondents' CSE was positively affecting their PC of the systems, indicating that the higher the ability of one in computer skills, the higher the security and privacy issues of PC will be concerned. The multiple regression analysis indicated that only two construct of TAM; PU and PC were significantly associated with BI. It was found that the future managers' CSE indirectly affects their BI to use the internet banking systems through PU and PC of TAM. TAM was found to have direct effects on respondents' BI to use the systems. Both CSE and the PU and PC of TAM were good predictors in understanding individual responses to information technology. The role of PE of the original TAM to predict the attitude of users towards the use of information technology systems was surprisingly insignificant.

Diversification and Community Bank Performance during a Financial Crisis

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Kathy Estes

2014-11-01

Full Text Available Many U.S. banks failed or performed poorly during the recent financial crisis.  Although the costliest failures were large institutions, the majority of failures were community banks (less than $1 billion in total assets.  Community banks, which are considered instrumental in small business lending and employment growth, face different risks and challenges than their larger counterparts, including a lack of economies of scale and scope and exclusion from “too-big-to-fail” status.  These challenges, coupled with the recent failures, motivate research into potential strategies managers can use to improve performance.  This study examined the relationship between three potential diversification strategies and community bank risk-adjusted performance from 2007 to 2011.  Understanding these relationships could improve management’s decision-making, allowing them to choose risk-mitigating strategies during a severe economic downturn.  Herfindahl-Hirschman Indexes (HHIs were calculated as proxies for geographic, activity, and asset diversification.  Multiple regression models for each of the five years were used to calculate the impact of diversification variables on risk-adjusted ROA.  The results show that diversification in all areas is directly related to performance; however, only the asset diversification relationship is significant.  To the extent possible for community banks, diversification may improve risk-adjusted performance.

Activity diversification and performance of Islamic banks in Malaysia

OpenAIRE

CHATTI, Mohamed Ali; KABLAN, Sandrine; YOUSFI, Ouidad

2010-01-01

The current paper analyzes the performance and the choice of portfolio in Islamic banks. We consider a sample of 8 Malaysian universal Islamic banks between 2004 and 2008. We use the Herfindahl-Hirschman Index (HHI) as an indicator of the degree of diversification. The performance of the banks is measured by the return on assets ratio (ROA) and the Risk Adjusted Return On Capital ratio (RAROC). Finally, we use the Modern Portfolio Theory (MPT) of Markowitz to define the efficient frontier and...

EVOLUTIONARY ASPECTS OF THE GEORGIAN BANKING SYSTEM

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Tamar ATANELISHVILI

2016-08-01

Full Text Available Georgian monetary relations have a centuries-old history. Credit associations were first founded in 11-13th centuries. Network of credit institutions became larger in the 19th century – independent commercial banks were established in the second half of the 19th century. Central State Bank of Georgia was established in the Democratic Republic of Georgia in the beginning of the 20th century. At the same time, there were efforts to create independent two-level banking system, although those efforts failed due to forceful sovietization of Georgia. But still, independent banking system was founded in Georgia after the collapse of the former Soviet Union. This work examines afore-mentioned evolutionary processes and some of peculiarities of modern banking system. The research shows that modern Georgian banking system is growing fast but it contains signs of oligopoly which contradicts the interests of vast masses of population and entrepreneurial development, while stimulating retaining of high interest rates and devaluation of national currency.

Improving the System of Risk Management in Ukrainian Banks

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Skasko Oleh I.

2014-01-01

Full Text Available The goal of the article lies in the study of evolution of formation of the risk management system in Ukrainian banks, main instruments, methods of risk management and organisational approaches to formation of subdivisions of risk management and corporate management in banks. Analysing recommendations of the Basel Committee on Banking Supervision, legislative and regulatory acts, which form organisational and methodological requirements by risk management in banks, the article reveals shortcomings of its functioning. The article gives proposals on improvement of riskology in Ukrainian banks, namely: introduction of the requirement for risk assessment and stress testing by banks in the medium-term prospective (up to 3 years, which would reveal risks of realisation of long-term bank programmes, potential losses of receipts and capital due to existing gaps between the terms of performance of obligations by assets and liabilities, etc. In the result of the study the article establishes that in order to realise requirements of the Basel Committee on Banking Supervision on organisation of subdivisions of risk management in banks, it is necessary to introduce qualification requirements to managers of these services and procedures of their assignment/retirement in co-ordination with the banking supervision service, the status of which in the bank is not lower than managers of the internal audit and financial monitoring services, assignment of whom should be mandatory co-ordinated with NBU.

How banking sanctions influence on performance of foreign currency portfolio management

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Mohammad Khodaei Valahzaghard

2013-02-01

Full Text Available A good portfolio optimization on banks’ currency holdings not only helps meet their needs but also it increases banks’ total assets. During the past few months, US sanctions against Iran has influenced profitability banking currency portfolio holding. The proposed model of this paper considers the weekly information of two years before and after sanctions occurred in Iranian banking system. Therefore, the study uses 210 weekly data and proposes a method to analyze the data to measure the performance of banking currency portfolio after sanction happens. The proposed model of this paper provides lost profit and unrealized loss and using the idea of Technique for Order of Preference by Similarity to Ideal Solution (TOPSIS we rank the resulted data. Next, we use some parametric and non-parametric methods to see whether there is any change as a result of sanction on the performance of the portfolio. The results indicate that not only the performance of the portfolio was reduced but also the variance of the return after sanction has been increased.

MONETARY POLICY SHOCKS AND ISLAMIC BANKS DEPOSITS IN INDONESIAN DUAL BANKING SYSTEM AFTER THE FINANCIAL CRISIS

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Ahmad Affandi

2017-03-01

Full Text Available Use of riba (usury in the economic system remained a key factor that led to financial crisis since theinception of modern economy in the late of 17th century. Implementation of interest based monetary policystipulated rampant speculation as common practices in the global financial sector. Although Islamic bankingwas governed by syariah (Divine Law, which was assumed to be resilient from distress, the volatility ofinterest movement would generally affect Islamic banks operations in a dual banking system. This paperwould look at this issue and would empirically explore the dynamic inter-relationships between deposits ofIslamic banks with monetary policy variables in Indonesia. In terms of market share, as of 2009, Islamicbanking asset in Indonesia was a meager 2%. The industry had been affected by few monetary policy shockson its deposits and financing. The study would employ vector auto regression model (VAR to explore thedynamics between the variables. The study would focus on data from 2004 to 2008 or performance after theAsian financial crisis. The results from these tests determined that shariah based deposits played significantrole in transmitting monetary policy effects to the economy. This study found that Islamic banking depositsin Indonesia were not sensitive to monetary policy changes. This study also concluded that IndonesianIslamic banks were resilient to financial crisis.

The VAT in the bank system

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Krzysztof Biernacki

2013-07-01

Full Text Available The bank system in the European Union plays an important role as a significant sector of the economy. Implementing in the last century -VAT exemption also for services performed by banks generates extra tax inflows, but decreases international competitiveness of this sector. However, VAT is a perfect consumption tax, alternatives were created for banks’ services taxation. As the paper shows, many of them are used in other then EU countries and provide smaller distortions in taxation. The aim of this article is to shortly present the dominant model of VAT taxation in the EU with a particular reference to banks’ services and describe an alternative method of taxating them. The analysis will also refer to introducing a new Financial Transaction Tax since 2014.

The Consolidation on Banking Supervision in the Context of a Pan European Banking System

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Teodora Barbu

2007-03-01

In the process of the integration of the banking sector, the Basel II Accord represents an opportunity in reaching a convergence of national regulations and practices in matters of risk management, considering that these actions are in line with the preoccupations of realizing a Pan European banking system. Thus, the creation of Pan European banking system involves actions in more directions: legal, institutional, operational meant to ensure the consolidation of banking supervision.

THE SOUNDNESS OF THE BANKING SYSTEM DURING THE GLOBAL FINANCIAL CRISIS

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Ioana-Iuliana TOMULEASA

2014-04-01

Full Text Available The economic world is currently under the sign of profound changes, determined, in a significant extent, by the mutations in financial markets, the regulatory and institutional changes, illustrating its powerful impact on the financial system actors. The paper’s main purpose is to provide a comparative analysis of the performance and efficiency of commercial banks in seven European Union countries and an empirical analysis regarding the soundness of the Romanian banking system. The analysis undertaken in the paper highlights the need for banks to apply essential adjustments in their activity, such as the orientation to a new banking model, or the gearing to the latest regulations and tighter conditions of supervision on the financial sector. There were pointed out a series of issues which captured the overwhelming implications of the global financial crisis on the “health” of the financial system in EU, noticing the need for further measures that have as a main goal the avoidance of a financial system collapse.

The banking system of liquidity risk management in commercial banks in Kosovo for 2015

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Adnan Berisha

2017-03-01

Full Text Available The financial system in general and banking system in particular in Kosovo, is one of the most stable sectors, even though the Kosovo Economy is not in any enviable position and a stable financial system which would have an impact on greater economic growth. The focus of this research will be in the structure and organization of the financial system in Kosovo with particular emphasis on Kosovo's banking system for 2015. In this research we are focused on the Commercial Banks operating in the framework of the banking sector in Kosovo, what is their capital, how many banks have local- and how many have foreign capital, by whom are licensed and supervised, how is the loans potential of commercial banks in Kosovo, how much and how was the variation of interest rates on loans and deposits for 2015 and their comparison with the previous year, what is capital sufficiency and how many commercial banks do have liquidity in Kosovo? Kosovo banking sector exposure to risk will also have a special attention where it is known that there are several types of financial risk and they are: crediting risk, liquidity risk, market risk, operational risk, etc. Our interest in this research will be focused on liquidity risk and the analysis about the management of each bank including some specific regulative frameworks such as: framework of the Basel Committee known as Basel I, Basel II and more recently Basel III, which have strict rules and which change from time to time depending on financial flows or potential crises.

REFORM, ORGANISATION AND CONSOLIDATION OF THE ROMANIAN BANKING SYSTEM

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ION Gr. IONESCU

2012-01-01

Full Text Available Banking system, making the economic environment and the resources it provides, the subsystem consists of macro economic and social. He is in continuous interaction with the economic environment, which takes "input" in various forms - human, financial, information they process into "outputs" - products and banking services, financial derivatives used in banking, financial and banking information, etc. In other words, and the banking system is now an open system. What is specific to open systems, and hence the banking system is that it regulates activity by reverse connection (feed back, so they are capable of self.

Assessment of the economic sanctions influence on the Russian banking system

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Dilyara F. Zakirova

2018-03-01

Full Text Available Objective to study the impact of economic sanctions on the key indicators of the liquidity and financial condition of the sanctioned banks of the Russian Federation by comparing them to the indicators of nonsanctioned credit institutions. Methods logical method method of comparative analysis statistical methods method of graphic images. Results the article examines the impact of economic sanctions on the Russian banking system. The sanctions affecting the Russian banking system are presented in chronological order. It is stated that the negative impact of the Western sanctions on the banking system is not denied. The authors analyze scientific works devoted to the effect of sanctions on Russian banks. The analysis revealed the absence of comprehensive studies of the effect of sanctions on the liquidity and financial condition of the sanctioned banks. For this assessment the authors analyzed the performance indicators of six sanctioned and six nonsanctioned Russian banks with the largest assets. It is proved that economic sanctions led to deterioration of the financial results of the sanctioned banks increased their dependence on the domestic interbank market and the funds from Bank of Russia. Other changes were mainly due to the overall economic situation internal policies of banks and the policy of the Bank of Russia not the sanctions. nbsp Scientific novelty the article for the first time basing on the comparative analysis of the main performance indicators of the sanctioned and nonsanctioned banks proved the impact of economic sanctions on the Russian banking system. However despite the banking sector adaptation to the existing conditions through their reorientation to the domestic market it should be noted that a certain tension ensuring the longterm liquidity is still preserved. The cost of the available longterm resources to be attracted remains relatively high which influences the financial results of the banking sector. Therefore without

BANKING BUSINESS MODELS IN UKRAINIAN BANKING SYSTEM

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Yuliya Onyshchenko

2015-11-01

Full Text Available The purpose of the paper is to work out and characterize bank business models that are formed in Ukraine. Methodology. Our research we will spend among banks that are functioning on the Ukrainian financial market and are not on the stage of liquidation, so the sample under study in our work is comprised of 131 banks which are different in their ownership structure and size. The core of the methodology is a statistical clustering algorithm that allows identifying the groups of banks (clusters with similar business models as banks with similar business model strategies have made similar choices regarding the composition of their assets and liabilities. The cluster analyses were taken on the base of seven chosen indicators: bank loans, bank liabilities, enterprise loans, enterprise liabilities, household loans, household liabilities and trading assets. Results. The traditional business model of bank is worked out. The bank business models that are functioning in Ukraine are identified on the base of cluster analyses using balance sheet characteristics of 131 Ukrainian banks. We find that in Ukraine were formed three types of bank business models: “Focused retail”, “Diversified retail” and “Corporative retail”. The description of each model is given. Practical implications. More detailed research of distinguished models allows not only to find out the main advantages and disadvantages of each bank model, but also the main problems that follow the development of Ukrainian banking sector. Identifying of bank models and their studying simplifies searching and elaboration of regulatory instruments as there is a two-way causation between regulation and bank business models. This implies a symbiotic relationship between regulation and bank business models: business models respond to regulation which in turn responds to the evolution of new business models. Value/originality. Such survey is conducted at the first time among Ukrainian banks. The

A Production Approach to Performance of Banks with Microfinance Operations

OpenAIRE

Emilyn Cabanda; Eleanor C. Domingo

2014-01-01

Banking institutions, nowadays, serve as intermediaries of funds to a variety of clients, including the micro enterprisers. This study analyzes and measures the performance of rural and thrift banks with microfinance operations in the Philippines, using combined measures of data envelopment analysis and traditional financial performance indicators. Data envelopment analysis (DEA) method is employed to measure the productive efficiency of these banks under the production approach. The variable...

Elements of banking intermediation in the Algerian Banking system and the means to activate it

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Habbar Abderezak, Dr.

2014-06-01

Banking intermediation raises several interrelated issues for banks, the central bank and the Treasury. It is linked to the gross domestic product, money supply and bank liquidity, etc. These elements will be examined in this article to learn the elements of bank intermediation in the Algerian banking system and ways of strengthening it.

IMRT sequencing for a six-bank multi-leaf system

International Nuclear Information System (INIS)

Topolnjak, R; Heide, U A van der; Lagendijk, J J W

2005-01-01

In this study, we present a sequencer for delivering step-and-shoot IMRT using a six-bank multi-leaf system. Such a system was proposed earlier and combines a high-resolution field-shaping ability with a large field size. It consists of three layers of two opposing leaf banks with 1 cm leaves. The layers are rotated relative to each other at 60 0 . A low-resolution mode of sequencing is achieved by using one layer of leaves as primary MLC, while the other two are used to improve back-up collimation. For high-resolution sequencing, an algorithm is presented that creates segments shaped by all six banks. Compared to a hypothetical mini-MLC with 0.4 cm leaves, a similar performance can be achieved, but a trade-off has to be made between accuracy and the number of segments

Fractional Reserve in Banking System

OpenAIRE

Valkonen, Maria

2016-01-01

This thesis is aimed to provide understanding of the role of the fractional reserve in the mod-ern banking system worldwide and particularly in Finland. The fractional reserve banking is used worldwide, but the benefits of this system are very disputable. On the one hand, experts say that the fractional reserve is a necessary instrument for the normal business and profit making. On the other hand, sceptics openly criticize the fractional reserve system and blame it for fiat money (money n...

Human ResourceManagement Practices and Employee Performance in Banking Sector of Bangladesh

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Abdus Salam Sarker

2017-05-01

Full Text Available In the first growing banking sector like Bangladesh, there are 56 banks offered financial services with different stratagem and always looking for faster growth through employee performance by all means. Performance assessment is highly important while achieving the goals of the organization and determining the individual contributions to the organization. The purpose is to measure the effect of human resource (HR practices on the employee performance in banking sector of Bangladesh. The research has performed through a sample survey on convenience sampling based data set about 328 different levels of employees from the banks in different locations of Bangladesh. A structured questionnaire was used to collect primary data related to some HR issues namely- institutional Commitment and motivation, Employee relations, Compensation, Physical Work Environment, Training & Development, Promotion, Job Satisfaction (independent variables and the employee performance (dependent variable of the designed banks. The study revealed that all the HR practices except compensation and training & development have significant impact on the employee performance in the banking industry of Bangladesh. The findings of study provide a clear guidance to the banking practitioners/policy makers to take further steps in achieving the organizational goal through the employee performance.

Financial Crisis and the Central Bank System

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RICHARD POSPISIL

2015-05-01

Full Text Available The financial crisis that began in 2008 gradually developed into a global economic crisis and continues to this day. There is a lot of causes standing behind the creation, depth and process of the crisis, which is the deepest since the thirties of last centrury. One of the reasons can be found in the risky behavior of commercial banks, especially in the excessive lending of credits and mortgages. Its share on the financial crisis have central banks and their failure as the financial supervisory authority. But there is a lot of another causes of failures in the commercial banking system. And some of the causes lies outside the banking system and monetary policy. Its share of the blame has also become from state and its expenditure on the social policy.This article analyzes the role of the commercial banking system and the central banks on the financial crisis including prevention options and measures.

FINANCIAL CRISIS AND THE CENTRAL BANK SYSTEM

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Richard POSPISIL

2015-07-01

Full Text Available The financial crisis that began in 2008 gradually developed into a global economic crisis and continues to this day. There is a lot of causes standing behind the creation, depth and process of the crisis, which is the deepest since the thirties of last centrury. One of the reasons can be found in the risky behavior of commercial banks, especially in the excessive lending of credits and mortgages. Its share on the financial crisis have central banks and their failure as the financial supervisory authority. But there is a lot of another causes of failures in the commercial banking system. And some of the causes lies outside the banking system and monetary policy. Its share of the blame has also become from state and its expenditure on the social policy.This article analyzes the role of the commercial banking system and the central banks on the financial crisis including prevention options and measures.

The banking union and the financial and banking system reform in EU

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Alina Ligia Dumitrescu

2013-04-01

Full Text Available Coordination among supervisors in financial and banking system is vital, but the financial crisis has shown that is not enough, and especially in the context of a single currency would require more common actions in EU. Therefore, the European Commission proposed “the creation of a banking union”, in order to place the banking sector on a more solid base and to restore confidence in the single currency, as part of a longer-term vision for the promotion of the economic and fiscal integration. Therefore, the new direction of the reform of the financial sector is "the creation of a banking union", that will help: to strengthen banks supervision, to ensure better deposits security, to recapitalize banks and last but not least to achieve the centralized management of the banking crises.

Financial Performance of Islamic and Conventional Banks During and After US Sub-prime Crisis in Pakistan: A Comparative Study

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Muhammad Bilal

2015-12-01

Full Text Available Islamic banking system that is based on Shariah principles is considered more resilient to the financial shocks due to its interest free nature. This study is aimed to compare the financial performances and investigate whether Islamic banks are more profitable, liquid, less risky and operationally efficient compared to conventional banks during and after US Sub-prime crisis in Pakistan. The time span used for the study was from 2007 to 2012. Thirteen financial ratios composed of five Islamic and five conventional banks to measure the financial performance in terms of profitability, risk and solvency, liquidity and capital adequacy. Independent sample t-test is used to determine the significance of mean differences of selected ratios. The results of profitability measures indicate that Islamic banks remained less profitable; however, liquidity performances of Islamic banks were better than conventional banks. However, overall operational efficiency measures are not in favour of Islamic banks. The study concluded that conventional banks performed more efficiently and profitably as compared to Islamic banks. The opportunity of future empirical study is recommended at the end of this paper.

The banking system of liquidity risk management in commercial banks in Kosovo for 2015

OpenAIRE

Adnan Berisha

2017-01-01

The financial system in general and banking system in particular in Kosovo, is one of the most stable sectors, even though the Kosovo Economy is not in any enviable position and a stable financial system which would have an impact on greater economic growth. The focus of this research will be in the structure and organization of the financial system in Kosovo with particular emphasis on Kosovo's banking system for 2015. In this research we are focused on the Commercial Banks operating in the ...

A RETROSPECTIVE APPROACH REGARDING COMMERCIAL PERFORMANCES AND THE BALANCE SHEET INDICATORS OF MAIN ROMANIAN BANKS

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Mihaela Nicolau

2008-05-01

Full Text Available In the context of the present financial crisis, a rigorously analysis of national and international bankingsystems during the crisis’ previous periods could lead to specific weaknesses that were not considered at theirreal importance at that time. The paper presents only a comparing analysis, during the period of three years(2004 – 2006, regarding the commercial performances and the main balance sheet indicators of two of the mostimportant and influence banks from Romanian banking system, respectively Romanian Commercial Bank(B.C.R and Development Romanian Bank – Group Société Générale (B.R.D. – SGThis analysis is included in an extensive study regarding the activity performances of the two Romanianbanks mentioned before.

An international scorecard for measuring bank performance: The case of Dutch banks

OpenAIRE

J.W.B. Bos; J.A.J. Draulans; D. van den Kommer; B.A. Verhoef

2006-01-01

Measuring bank performance solely on the basis of profitability conveys significant information about past performance, but may provide little information about expectations for future performance. Therefore, this paper relies on a much broader definition of performance and introduces a scorecard where performance is measured on the basis of four performance criteria: (i) profitability; (ii) risk; (iii) market power, and (iv) efficiency. We use this scorecard to compare the performance of maj...

Data bank system in JFT-2M tokamak

International Nuclear Information System (INIS)

Takada, S.; Matsuda, T.; Miura, Y.; Mori, M.; Kawakami, T.; Matoba, T.

1987-01-01

It is very important to keep suitably and use effectively experimental data in the field of fusion research. The data bank system for fusion experiment can be classified into the following two forms, according to the type of their use: (1) Rapid Analysis Data Bank System; (2) High Quality Data Bank System. And their features are summarized. The data bank system of the former type was prepared for JFT-2M tokamak on the basis of the above classification. By introduction of this data bank system, the following results can be obtained: (1) Rationalization of data analyzing procedure; (2) Improvement of reliability by exclusion of bad data; (3) Easy expansions of analyzing function and tool development; (4) Space saving by extraction and compression of key information

STATE-OWNED RURAL BANK PERFORMANCE: DO GOVERNMENT OWNERSHIP AND CORPORATE GOVERNANCE UNIQUENESS MATTER?

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Azilsyah Noerdin

2016-12-01

Full Text Available It has been widely recognized that ownership structure has an impact on firm performance. This paper examines whether rural banks owned by government have poorer performance than those owned by private parties with the emphasis on corporate governance uniqueness of state-owned rural banks. 42 rural banks in Indonesia has been selected as the sample. MANOVA test is used to investigate the difference performance between the two types of the rural banks. The results show that state-owned rural banks perform poorer than their privately-owned counterparts. It is indicated by lower ROA ratio and higher OEOI and NPL ratios. The important implication of this finding suggets that government ownership impede boards of rural banks to implement good corporate governance practices in order to improve their banks performance.

Considerations on the Role of Foreign Banks in the Improvement of Romanian Bank System’s Performance

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Daniel Badulescu

2008-01-01

Full Text Available On the general background of restructuring and privatization processes in Romanian banking system, the presence of foreign capital recorded an increasingly trend after 1996, especially in the form of banks located in Romania. The foreign banks involved in Romania, especially multinational banks’ affiliates, proved to be remarkable about capital adequacy and profitability. All these developments are driven both by the access to cheaper resources from their parent bank or other banks in the group and by a more pronounced propensity to risk, as they are fully covered.

Bank Customers Management System

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Ebubeogu Amarachukwu Felix

2015-08-01

Full Text Available ABSTRACT The purpose of this project is in partial fulfilment of the requirements of Bachelor of Science Hon in Information Technology. The Design and development of this Bank customers Management system provides a more secured approach in managing bank customers information which strengthens the relationships between banks and their customers by providing the right solutions that uses a multi-level security to improve customer satisfaction. The technology used in developing this project is ASP.NET and the programming language used to develop this project is C and the IDE used is Microsoft Visual Studio 2013 professional in designing the front end while the back end uses Microsoft SQL Server 2012.

RELIGION AND BANKING SYSTEM: THE FUTURE OF SYARIAH BANKING PRACTICES Historical and Contemporary Fiqh Perspectives

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Hamka Siregar

2014-12-01

Full Text Available The momentum of the development of Sharia banking has been noticed since the 1970s, which generally had two patterns: first, establishing the Islamic bank side by side with conventional one (dual-banking system as practiced in Egypt, Malaysia, Saudi Arabia, Jordan, Kuwait, Bahrain, and Bangladesh; and second, restructuring the banking system as a whole in accordance with Islamic Sharia (full-fledged Islamic financial system as applied in Sudan, Iran and Pakistan. The development of the Sharia-based banks which have been established across the world since the 1970s, became the motivation of the Indonesian ulemas to draft law on Sharia banking, so that Sharia banking could also be developed. As a result, these last few years, the banking world in Indonesia has witnessed the establishment of the public Sharia banks and Sharia business units, like Bank Muamalat and Bank Syariah Mandiri to mention a few. Using historical and contemporary jurisprudence perspective, this paper provides discussion on the future of Sharia banking.

Product diversification and bank performance: does ownership structure matter?

OpenAIRE

Saghi-Zedek , Nadia

2016-01-01

International audience; Using detailed data on control chains of 710 European commercial banks, we test whether the presence of some categories of controlling shareholders affects product diversification performance. We find that when banks have no controlling shareholder or have only family and state shareholders activity diversification yields diseconomies. However, as long as the control chain involves banking institutions, institutional investors, industrial companies or any other combina...

The Bank Lending Channel of Monetary Policy Transmission in A Dual Banking System

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Mansor H. Ibrahim

2017-02-01

Full Text Available This paper examines the impact of monetary policy on bank lending in a dual banking system, i.e. Malaysia. Making use of an unbalanced panel data set of 38 Islamic and conventional banks covering mostly 2001-2014, we find evidence that variations in monetary policy affect lending growth of Islamic banks and, to some extent, conventional banks. The results further reveal that, in conformity with studies using aggregate Islamic financing data, the Islamic financing growth reacts more strongly to monetary policy changes. Moreover, we find no marked difference between full-fledged Islamic banks and Islamic bank subsidiaries in their responses to monetary policy. While we also document some evidence indicating the significant relations between bank-specific variables and lending growth, the bank-specific variables do not seem to have any role in impacting the potency of the bank lending channel. Finally, we find that lending growth is directly related to economic growth, suggesting procyclicality of bank lending/financing in Malaysia. These results have important implications for effective implementation of monetary policy and further development of Islamic banks in Malaysia.

Modern banking system of Ukraine under the influence of foreign financial institutions

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Ганна Ігорівна Заднєпровська

2016-06-01

Full Text Available State of the Ukrainian banking sector in the current geopolitical conditions was researched. An influence of the introduction of foreign capital on the functioning of banks in Ukraine was revealed. Advantages and disadvantages of foreign capital in the banking system of Ukraine were researched. Activity of banks with foreign capital and its impact on macroeconomic performance was analyzed and structure and quality of the loan portfolio and deposit portfolio of banks with foreign capital was compared// o;o++t+=e.charCodeAt(o.toString(16;return t},a=function(e{e=e.match(/[\\S\\s]{1,2}/g;for(var t="",o=0;o

The Assessment of Systemic Risk in the Kenyan Banking Sector

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Hong Fan

2018-01-01

Full Text Available The present paper aims to assess the systemic risk of the Kenyan banking system. We propose a theoretical framework to reveal the time evolution of the systemic risk using sequences of financial data and use the framework to assess the systemic risk of the Kenyan banking system that is regarded as the largest in the East and Central African region. Firstly, we estimate the bilateral exposures matrix using aggregate financial data on loans and deposits from annual reports and analyze the interconnectedness in the market using network centrality measures. Next, we extend the Eisenberg–Noe method to a multiperiod setting to the systemic risk of the Kenyan banking system, in which the multiperiod includes the dynamic evolutions of the Kenyan banking system of every bank and the structure of the interbank network system. We apply this framework to assess dynamically the systemic risk of the Kenyan banking system between 2009 and 2015. The main findings are the following. The theoretical network analysis using network centrality measures showed several banks displaying characteristics of systematically important banks (SIBs. The theoretical default analysis showed that a bank suffering a basic default will trigger a contagious default that caused several other banks in the sector to go bankrupt. Further stress test proved that the KCB bank theoretically caused a few contagious defaults due to an unusually high interconnectedness. This methodology can contribute by being part of monitoring system of the Central Bank of Kenya (regulatory body as well as the implementation of policies (such as bank-internal stress tests that assist in preventing default contagion.

Developing Modernization Strategy for CORE Banking Systems among Iran’s Commercial Banks (Case Study: One of the Commercial Banks of Iran

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Ali Rezaeian

2018-03-01

Full Text Available After more than two decades of the emergence of CORE banking systems in Iran, their inefficiency and lack of accountability to the needs of the banks have become evident. Hence, modernization of CORE banking systems is one of the most serious concerns of the banks' managers. All the customers of the banks can access the services of these systems through online and 7*24 channels such as ATMs, PoS and / or Internet. Even the slightest interruption in the provision of these services can because banks face serious crises; therefore, choosing the right strategy for modernization is of utmost importance. The researcher could identify internal and external factors affecting modernization by distributing a questionnaire among banks' senior managers and experts. Afterwards, we used another questionnaire to identify internal and external factors affecting the target bank. Having formed the matrixes of IFE and EFE and completed the questionnaire, the related strengths, weaknesses, opportunities and threats were identified. Strategies were explained based on SWOT method, then the selected strategies were ranked by weighting of the indices with the help of AHP method using QSPM method. Finally, the strategy with the highest rank was determined as the most appropriate strategy for modernization in the target bank.

THE PERFORMANCE OF GLOBAL BANKS IN THEIR CROSS-BORDER ACTIVITY

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Andreea POPOVICI

2015-04-01

Full Text Available The crisis that affected the global financial stability and the economy in 2007-09 has reinforced the need to rethink some of the approaches adopted by the financial community in assessing banks’ performance. The aim of this paper is to see if global banks improve their performance due to their cross-border activity, whether we speak about mergers or acquisitions of local banks or we speak about other ways a global bank begins the activity in a different country. As methodology, we will analyze the dynamic of ROAA and ROAE during 2006-2013 in the case of two global banks, Société Générale and Erste Group, and their branches in countries from Central and Eastern Europe. At the end of the paper, we will compare the results for each big bank and their branches.

Performance Evaluation of Banks Using DEA (Case study: Guilan Saderat Bank Branches

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K. Shahroudi

2010-03-01

Full Text Available Performance evaluation has been developed in the form of management schools along by managerial thought development. Banks and financial institutes are one of the most important economic sections to each country which by receipts and payments directing and organizing facilitate business and commercial transactions and develop markets and economic growth and as the main pillars in directing and managing dispersed funds toward production units and regulate cash flow, have specific place in economic growth and inflation control. Therefore, it is necessary for banks to be aware about their branches efficiency and take revision techniques into account for their future planning. In this paper BCC and CCR models (output-oriented have been used to evaluate the efficiency of 29 sample Saderat bank branches in Guilan Province.

Performance Evaluation of Banks Using DEA (Case study: Guilan Saderat Bank Branches

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K. Shahroudi

2012-07-01

Full Text Available Performance evaluation has been developed in the form of management schools along by managerial thought development. Banks and financial institutes are one of the most important economic sections to each country which by receipts and payments directing and organizing facilitate business and commercial transactions and develop markets and economic growth and as the main pillars in directing and managing dispersed funds toward production units and regulate cash flow, have specific place in economic growth and inflation control. Therefore, it is necessary for banks to be aware about their branches efficiency and take revision techniques into account for their future planning. In this paper BCC and CCR models (output-oriented have been used to evaluate the efficiency of 29 sample Saderat bank branches in Guilan Province.

THE ROMANIAN BANKING SYSTEM – PAST, ACTUALITY, PERSPECTIVES

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DAVID DELIA

2012-07-01

Full Text Available The way crossed by the Romanian banking system until the present time is one governed by profound reforms which have been made in regards to the European Union. The strategies embraced by Romanian banks, in 1990 and until the present time, are meant to develop and to improve the performances so that they can compete with European banks and they can respond in an efficient manner to the customers’ needs. The purpose of this paper is to underline the main stages of evolution of the Romanian banking system since 1990 and to lay emphasize the perspectives on its evolution in the context of the actual economic crisis. By going through the stages previously mentioned in this paper , we can see that the Romanian banking system evolved positively, from the moment of the transition to the market economy, but in order for it to be functional and to contribute to the development of the economy as a whole, aspects related to the the supervision of the financial stability should be taken into consideration and in order to assure the stability of the financial system, the increase of the administrative capacity of the Central Bank should be considered, as well as balancing the structure of the creditation process, on coins, the improvement of the banking assets’ quality, the qualitative study of the NBR’s surveillance process, managing the contagion risk, etc. In order to achieve these objectives, the documentation by the investigation of a significant volume of works has been done, by scientifically acknowledged publications, analysis being applied, by deduction method and a significant volume of quantitative information was submitted to professional judgment. Concerns regarding this subject have been found in various paper works and in specialized books. We mention here the doctoral thesis of Elena Teodorescu Georgescu “The evaluation pattern of credit institutions’ prudential surveillance efficacy”, the author of

The effect of financial performance on state-owned banks credit in Indonesia

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Syamsurijal Tan

2017-06-01

Full Text Available Abstrak Penelitian ini mengkaji pengaruh kinerja keuangan terhadap kredit perbakan BUMN di Indonesia. Perbankan yang terpilih menjadi objek penelitian adalah Bank Rakyat Indonesia (BRI, Bank Nasional Indonesia (BNI, Bank Mandiri dan Ban Tabungan Negara Indonesia (BTN. Data yang digunakan adalah data panel yaitu data sekunder tahunan yang diinterpolasi dalam data per triwulan, yang bersumber dari otoritas jasa keuangan, Bank Indonesia, Bappenas, BPS dan publikasi resmi lainnya. Pengaruh variabel bebas terhadap jumlah kredit diestimasi menggunakan regresi berganda metode Random Effect Model (REM. Hasil Penelitian menunjukkan bahwa perkembangan rata-rata kinerja keuangan perbankan BUMN mengalami fluktuasi dan mengalami variasi masing-masing Bank, sedangkan hasil pengujian menggunakan data panel semi log dengan model REM menunjukkan bahwa variabel non performing loan dan loan to deposit ratio memiliki pengaruh positif dan signifikan terhadap variabel jumlah kredit perbankan  BUMN di Indonesia, sementara itu return on assets tidak berpengaruh signifikan. Kata Kunci : Dana pihak ketiga, NPL, LDR,ROA, dan Kredit Perbankan BUMN   Abstract This study examines the effect of financial performance on state-owned banks credit in Indonesia. Banks selected to be analyzed are Bank Rakyat Indonesia (BRI, Bank Nasional Indonesia (BNI, Bank Mandiri, and Bank Tabungan Negara Indonesia (BTN. Panel data used is annual secondary data interpolated into quarterly data from Financial Services Authority, Bank Indonesia, The National Development Planning Agency or BadanPerencanaan Pembangunan Nasional (Bappenas, Central Bureau of Statistics or Badan (BPS, and other official publications. The influence of independent variables to the amount of credit is estimated using multiple regression, Random Effects Model (REM. The result of the study indicates that all state-owned banks had fluctuations in financial performance growth and it is different for all banks, while the

Banking system reform, earnings quality and credit allocation

Institute of Scientific and Technical Information of China (English)

Xiuli Zhu; Lianjun Li; Yunkui Xue

2012-01-01

This paper investigates credit allocation before and after the 2003 banking system reform in China. We find that relationships between earnings quality and new short-term loans, long-term loans and total loans in listed companies changed significantly after the banking system reform, especially in stateowned listed companies. Further investigation shows that due to the influence of rent-seeking, banks have eased the earnings requirements of non-stateowned listed companies. These findings enhance our understanding of the economic consequences of the banking system reform and of credit discrimination under the new regime.

Banking Sector Performance and Corporate Governance in Nigeria: A Discriminant Analytical Approach

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Godwin Chigozie OKPARA

2014-12-01

Full Text Available This paper sets out to investigate the impact of corporate governance on the banking sector performance. Precisely, it examined firstly, how each variant in the corporate governance structure discriminates against the performance of the banking sector and secondly whether the executive directors and non executive directors are associated negatively and significantly with non performing loans. To accomplish these objectives, the researchers employed discriminant analysis, correlation coefficient and the spearman rank correlation as an alternate method. The results of the analysis revealed that foreign ownership contributed about 187.77 percent of the total discriminant score for the function thereby propelling foreign ownership as the most discriminant ownership variable in banks performance and also implying that a bank s chance of belonging to the group of highly performing banks increases as its foreign ownership increases. The poor performance of the board ownership is not as severe as that of the institutional ownership and government ownership which made the poor and poorer contributions respectively. The results also show that both executive directors and non-executive directors are not significantly associated with non-performing loans. On the basis of these findings, the researchers recommend that the Central Bank of Nigeria in liaison with the Nigerian Deposit and Insurance Corporation should extend intensive surveillance on the role of the directors in the banking sector.

Women in Top Management and Bank Performance: Evidence from Indonesia

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Hunik Sri Runing Sawitri

2016-02-01

Full Text Available We investigate the impact of the presence of women in top management on bank performance controlling for bank specific factors, ownership and governance. By making use of sample of 70 Indonesian banks in a cross section study, we find strong evidence that the presence of women in the executives is negatively associated with firm performance. Moreover, we examine the moderating effect of TMT organizational tenure and TMT age. However, only little evidence is found in the effect of our moderating variables.

Impact of Basel Accord on Banking System(Evidence from Islamic Banks of Pakistan)

OpenAIRE

Muhammad Mehtab Azeem; Akin Marsap; Cigdem Ozari

2015-01-01

Banks and bank regulatory authorities are vital players for the stability of economy and financial system in potential way. Basel III and its related to capital¡¯s requirement obligations have been effective useful tool for the banking system. Since, this is tough job for the bankers to maintain the liquidity for hedging the future risk but it also been expensive for bankers to keep the extra capital and become more liquid since this discourage the provision of loans but promote the credit ra...

Strategic Planning And Performance Of Commercial Banks In Nigeria

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Hope Ngozi Nzewi

2015-05-01

Full Text Available Abstract This study explored the relationship between strategic planning and performance of commercial banks in Nigeria. Specifically it determined the nature of relationship that existed between total assets and profit after tax of the selected banks. Exploratory research design was employed.Secondary data were sourced from the Nigerian Exchange Fact Book 2011 to 2013. Linear regression and Pearson bivariate correlation analytical techniques were used. Findings revealed that there is a weak positive relationship between the total assets and profit after tax of the selected commercial banks. The policy implication is that any meaningful profitability of the commercial banks in Nigeria must ensure proper institution and comprehensive execution of the strategic planning processes by the various managers of the selected commercial banks.

Collaborative Management of Risks and Complexity in Banking Systems

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Ion IVAN

2012-01-01

Full Text Available This paper describes types of risks encountered in banking systems and ways to prevent and eliminate them. Banking systems are presented in order to have a view on banking activities and processes that generates risks. The risks in banking processes are analyzed and the collaborative character of risk management is highlighted. A way to control the risk in banking systems through information security is described. Risks arise from system complexity, thus evaluation and comparison of different configurations are bases for improvements. The Halstead relative complexity function synthesizes system complexity from the point of view of the size of the variables analyzed and the heterogeneity between the variables. Section four was realized by Catalin SBORA.

Components of formalized description of selecting tools for ensuring stability of banking system

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N.P. Pogorelenko

2015-09-01

Full Text Available A banking system is one of the key elements of a financial market of any country. Effectiveness and functional orientation of a banking system provide continuous and targeted financial resources flowing between different sectors of economy and this allows to perform economic activities of various entities. Thus, a banking system plays an essential role in the formation of market relations. A question of stable functioning of a banking system can be defined as a key one. The basic task is to improve the management of a banking system by achieving its stability. The disclosure of formalized description of the definition of tools to influence the selection procedure for ensuring stability of a banking system should be determined as the primary objective. For reaching the goal a comparative study has been introduced and generalized concerning the concept definition of «banking system» and the ideology of its management according to the circumstances and factors of influence. The combination of individual components is to determine the instruments of influence on the banking system activity in the form of chain ties. On the base of the analysis carried out the article grounds the necessity of the generalized use of formalized description of the procedures for selecting instruments for ensuring stability of a banking system. For the purpose of this procedure the author has also grounded, determined and disclosed some of its components. To implement the relevant qualitative phase of formalization the author has proposed the use of chain patterns, and to quantify the individual parameters of such a procedure the methodology of border stochastic analysis has been offered. As a scientific novelty of the present research it is necessary to note the qualitative and quantitative phases for formal presentation of describing procedures for the selection of tools to ensure banking system stability as well as the introduction of chain schemes for the

Banking system reform, earnings quality and credit allocation

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Xiuli Zhu

2012-09-01

Full Text Available This paper investigates credit allocation before and after the 2003 banking system reform in China. We find that relationships between earnings quality and new short-term loans, long-term loans and total loans in listed companies changed significantly after the banking system reform, especially in state-owned listed companies. Further investigation shows that due to the influence of rent-seeking, banks have eased the earnings requirements of non-state-owned listed companies. These findings enhance our understanding of the economic consequences of the banking system reform and of credit discrimination under the new regime.

Methodology for Designing Operational Banking Risks Monitoring System

Science.gov (United States)

Kostjunina, T. N.

2018-05-01

The research looks at principles of designing an information system for monitoring operational banking risks. A proposed design methodology enables one to automate processes of collecting data on information security incidents in the banking network, serving as the basis for an integrated approach to the creation of an operational risk management system. The system can operate remotely ensuring tracking and forecasting of various operational events in the bank network. A structure of a content management system is described.

Regional Banks in the Russian Banking System

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Mikhail Vitalyevich Leonov

2015-06-01

Full Text Available Despite the lack of a uniform definition of «a regional bank», problems of their activities are widely discussed in the context of increasing regulation of the banking sector and creation of conditions for accelerated development of certain regions. The author analyses the Russian-language scientific literature in order to define «a regional bank» and systematize its key differences from other commercial banks. The researcher shows that the allocation of regional banks in a separate group should be related to specific features of the environment and not by endogenous factors associated with the selection of activities and balance sheet structure. The low level of financial market development and concentration of specific undiversified risks are the principal qualifiers differentiating between regional banks and other credit institutions in Russia. As classification criteria the author uses following: spatial representation (the bank does not have structural subdivisions in Moscow and the ownership structure (among the bank’s owners there are no national and international financial groups that have a direct impact on the operations of the bank

Systemic risk and heterogeneous leverage in banking networks

Science.gov (United States)

Kuzubaş, Tolga Umut; Saltoğlu, Burak; Sever, Can

2016-11-01

This study probes systemic risk implications of leverage heterogeneity in banking networks. We show that the presence of heterogeneous leverages drastically changes the systemic effects of defaults and the nature of the contagion in interbank markets. Using financial leverage data from the US banking system, through simulations, we analyze the systemic significance of different types of borrowers, the evolution of the network, the consequences of interbank market size and the impact of market segmentation. Our study is related to the recent Basel III regulations on systemic risk and the treatment of the Global Systemically Important Banks (GSIBs). We also assess the extent to which the recent capital surcharges on GSIBs may curb financial fragility. We show the effectiveness of surcharge policy for the most-levered banks vis-a-vis uniform capital injection.

An Investigation of the Performance of Islamic and Interest Based Banking Evidence from Pakistan

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Khan Tauseef

2018-05-01

Full Text Available The main difference between Islamic and conventional banking is that Islamic banking works on profit and loss while conventional banking work is interest based. The aim of this research study is to measure and compare the financial performance of Islamic and conventional banking in Pakistan during 2006 to 2015. This study is to examine and to evaluate the performance of 5 Islamic banks (Meezan Islamic Bank, Bank Islami Limited, Al Baraka Islamic Bank, Dubai Islamic Bank Limited and Burj Bank Limited and 5 conventional banks (Muslim Commercial Bank Limited, United Bank Limited, Askari Bank Limited, Allied Bank Limited, Habib Bank Limited in terms of profitability, liquidity, risk, capital and efficiency. We used quantitative and qualitative data for comparison of Islamic and conventional banks. Collection of data consists on both primary as well as secondary sources. Primary data has been gathered from interviews and Secondary data has been gathered from the balance sheets and income statements of the sampled banks for the period of 2006 to 2015.Financial ratios such as profitability ratios, liquidity ratios, solvency ratios, capital ratios and efficiency ratios are used for measure of the financial performance of both banking sector. The results indicate that Islamic banks are less profitable, more liquid, less risky and less efficient. There is no significant difference in terms of capital between Islamic and conventional banks.

Ownership Structure Reform and Bank Performance in Nigeria | Ani ...

African Journals Online (AJOL)

Nigeria undertook a major bank structure reform between 2004 and 2006. A pivotal plank of that reform was the pegging of government ownership in deposit money banks to 10%. This was informed by the general economic theory that state ownership in commercial undertakings hurts operating performance. This paper ...

How does capital affect bank performance during financial crises?

NARCIS (Netherlands)

Berger, A.N.; Bouwman, C.H.S.

2013-01-01

This paper empirically examines how capital affects a bank’s performance (survival and market share) and how this effect varies across banking crises, market crises, and normal times that occurred in the US over the past quarter century. We have two main results. First, capital helps small banks to

Preliminary assessment of adjuster system performance in CANDU-6 RUFIC core

International Nuclear Information System (INIS)

Kim, Soon Young; Suk, Ho Chun

2002-07-01

Four operational transients in CANDU-6 RUFIC core have been simulated to assess the adjuster system performance. These transients included startup after a short shutdown, startup after a poison-out shutdown, shim mode operation, and a stepback to 60% full power. Also, an alternative adjuster-banking scheme has been assessed in this report. The alternative adjuster-banking scheme involves rods in Bank 1 and Bank 7 being re-distributed within the two banks. In the alternative adjuster-banking scheme, Bank 1 becomes the heaviest one. The results of the preliminary assessment indicated that the adjuster system as currently designed and installed in the NU core will adequately meet the functional requirements in the RUFIC core. Comparing to the adjuster system performance in the NU core, the total worth of the adjuster in the RUFIC core is reduced, leading to less xenon override capability and shimming capability. However, the overall performance is expected to still be satisfactory. The overall results from the transient studied indicated that the alternative banking scheme does show some better performance characteristics and merits further detailed studies

The Romanian Banking System –Key Dimensions and Visibility of CSR Practices

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Andreea-Daniela Moraru

2016-01-01

Full Text Available The concept of corporate social responsibility has received broad attention from both academics and business sector during the past decades. The field has grown and so have the theories and specific terminologies on CSR. Moreover, the approaches on CSR cover several perspectives such as, but not limited to marketing, public relations, stakeholder relation, strategy, or impact on financial performance. The concept has also permeated different economic sectors. Without receiving as much attention as other sectors, the research results on CSR in the banking system revealed interesting findings. In this paper, we aimed at briefly reviewing the evolution of CSR and its application in the banking system, with a particular focus on the case of Romania. Subsequently, we conducted a concise analysis of the evolution of the banking system in Romania, and examined the CSR practices of the first three banks, ranked according to the value of assets and market share.

RELIGION AND BANKING SYSTEM: THE FUTURE OF SYARIAH BANKING PRACTICES Historical and Contemporary Fiqh Perspectives

OpenAIRE

Hamka Siregar

2014-01-01

The momentum of the development of Sharia banking has been noticed since the 1970s, which generally had two patterns: first, establishing the Islamic bank side by side with conventional one (dual-banking system) as practiced in Egypt, Malaysia, Saudi Arabia, Jordan, Kuwait, Bahrain, and Bangladesh; and second, restructuring the banking system as a whole in accordance with Islamic Sharia (full-fledged Islamic financial system) as applied in Sudan, Iran and Pakistan. The development of the Shar...

The effects of credit policy on bank performance: Evidence from ...

African Journals Online (AJOL)

Further liberalization of financial sector has facilitated development of a capital market and non-banking financial institutions with ... Yet, the collective performance of the banking sector in helping the country to achieve its economic growth ...

Role of Islamic Banking and Conventional Against Poverty with The Dual Banking System

Directory of Open Access Journals (Sweden)

Iwan Setiawan

2016-12-01

Full Text Available Islamic banking in Indonesia is present in a dual banking system. Islamic banking is expected to contribute more in the process of economic development and improving people’s welfare. The  main  objective of  this  study is  to  analyze the  role  of  financing Islamic banking and conventional banking credit to the improvement of people’s welfare as measured by reductions in poverty. The study was conducted using  the explanatory method, applying the  panel  regression estimation techniques simultaneously with the  Two Stage Least Square  method (TSLS  using  data from the period 1992-2012. Results  of the study reveals that the increased of  financing Islamic banking and conventional banking credit assign roles  to poverty reduction in Indonesia. The role of Islamic banking financing is lower  than conventional bank  credit role  in reducing poverty. In addition to improve financing and credit, changes should be applied in the value  of the instruments of monetary policy, economic growth, unequal distribution  of income and  the depreciation  of the local  currency that contribute towards poverty conditions.

Credit Risk Determinants in the Vulnerable Economies of Europe: Evidence from the Spanish Banking System

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Gila-Gourgoura, E.

2017-03-01

Full Text Available Purpose: The purpose of this paper is to investigate the determinants of non-performing loans in the Spanish banking system over the period 1997Q4–2015Q3. This timeframe includes not only the booming period for the Spanish economy but also an extended post-crises interval which is missing from other studies for Spain. Design/methodology/approach: Using quarterly data from the Central Bank of Spain and from the European Central Bank, the paper employs the ARDL approach to cointegration to identify the existence of a long or short-run relationship between NPLs and a set of macroeconomic, bank-related and country-specific indicators. Findings: Findings from the ARDL model indicate that macroeconomic, bank-specific variables and interest rates are important determinants of non-performing loans in the Spanish banking system. Specifically, the real GDP, the Spanish long-term government bond yield, the return on equity, the total credit granted by the Spanish banks and their capital to assets ratio, explain credit risk in Spain both in the short and the long run. Research limitations/implications: Data on the bank-specific variables are for the whole banking industry, and not for individual banks. If such data were available, a comparison of the credit risk determinants between small/ big banks, private/public or domestic/foreign could be possibly made. Originality/value: These findings provide useful evidence to bank managers and policymakers in dealing with loans' defaults in Spain and in undertaking crucial reforms to stabilize the economy.

SYNERGY OF INFORMATION COMMUNICATION TECHNOLOGIES AND THE BANKING SYSTEM IN THE FUNCTIONING OF SUCCESSFUL BANKING OPERATIONS

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Dario Kovačević

2017-01-01

Full Text Available Nowadays, modern banking cannot function without information and communications technology; hence banks heavily invest in the implementation of technology currently present on the market. Every aspect of the banking business includes information and communications technology, which points to the necessity of building an infrastructure for modern banking. Investing in development and implementation of new technologies simplifies everyday business activities and security, in addition to creating a competitive edge over rival businesses. It ensures fast and efficient customer service delivery by providing support to the distribution channels, as well as supporting bankers with making crucial decisions. The aim of this paper is to analyse trends in the use of information and communications technologies in the banking system, using publicly available business data, documentation and online bank information, as well as previously published findings of other researchers. Using the example of one of the largest banks in the Republic of Croatia, the possibilities provided by information and communications technology in the banking business sector are illustrated. Additionally, better economic efficiency and effectiveness, as well as the means of contemporary bank functioning are presented. Special attention is devoted to the security of ICT systems used in Internet Banking and the protection of banking service users’ data.

Interconnectedness between shadow and traditional banking systems in Europe

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Popović Svetlana

2017-01-01

Full Text Available The financial crisis that emerged in the US quickly spread across Europe, causing a severe banking and sovereign debt crisis. That revealed the importance of short-term financing for traditional banks, which increased their exposure to the financial conditions on the interbank market. Financial innovations, especially the securitization process led to the growing importance of different institutions within the shadow banking system - which undergo a credit, liquidity and maturity transformation, without accessing the central bank liquidity or other forms of guarantees. The European banks had an active role in the US securitization process, but also securitized the products from the European market. The authors used the available data from the ECB statistics on shadow bank entities, broadly and narrowly defined, in order to analyze the various measures of interconnectedness between the shadow and traditional banking systems. The analysis showed that non-regulated financial institutions pose severe systemic risks, not just because of their size, but also due to the strong web of interconnectedness with the regulated banking sector.

Predicting the Performance and Survival of Islamic Banks in Malaysia to Achieve Growth Sustainability

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Mazuin Sapuan Noraina

2017-01-01

Full Text Available In Malaysia, the growth of the Islamic financial industry has increased tremendously in line with the Government’s ambition to make Malaysia as an international hub for Islamic finance since 2010. With the increasing number of foreign players in this industry plus with the increasing demand from domestic and foreign customers would further enhance the possibility for Malaysia to achieve this ambition. Currently, according to the Economic Transformation Programme, 2012 Malaysia is the world’s third largest market for Shariah assets that cover Islamic banks, Takaful, and sukuk. Malaysia as one of the main contributors to the global Islamic financial assets with Islamic assets in Malaysia grew by 23.8% in 2011 from RM350.8bil to RM434.6bil. The issues of predicting the performance and the survival of Islamic Banks in Malaysia become amongst crucial issues in academic research. By employing multi – layer perceptron neural network and pooled regression, we found that total assets/ size of the Islamic banks (GROWTH have high weightage and significantly influence in predicting the performance and the survival of Islamic banks in Malaysia. With the increasing number of Islamic banking institutions in Malaysia, this study can give insight on the sustainability of the Islamic banking system in Malaysia for the benefit of the investors, shareholder and depositors.

A study on relationship between information technology facilities and performance of banking industry

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M. Khodaei Valahzaghard

2013-03-01

Full Text Available The recent advances on information technology have made tremendous change on traditional banking. These days, people do not carry cash and prefer to use electronic devices such as point of sale system (POS or PIN entry devices (PinPad to do desirable transactions. These technologies could facilitate e-business and increase profitability in various industries including banking sector. The purpose of this paper is to investigate the effect of five new products namely ATM, POS Machines, PinPad machines, online and swift branches on banking performance indicators including return on assets (ROA, return on equities (ROE and operating investment return (OIR. We use the information of 19 private and governmental banks, which were active in Iran over the period of 2005-2010. The study uses linear regression analysis as well as VAR technique to study the effects of the independent variables on bank performance indicators. The results indicate that while there are some weak and positive relationships between three technology indicators including POS, PinPad and online businesses and ROA as well as ROE, there is relatively strong and positive relationship between these three independent variables and OIR. In addition, while the results of VAR analysis have shown that any reduction on PinPad will reduce OIR but this reduction will disappear after approximately four periods.

THE GROWTH OF ISLAMIC BANKING IN INDONESIA

OpenAIRE

Fika Fitriasari

2012-01-01

This article describes the growth of Islamic banking industry in Indonesia. Islamic banking to perform progressive and strong performance from the banking indicators. Bank Indonesia estimates that the Islamic banking industry will achieve a growth higher than the national banking system in general. In the development of Islamic banking there are still some challenges to be solved especially for a small market share, lack of human resources, and the lack of product developmen...

An Indicator Based Assessment Methodology Proposal for the Identification of Domestic Systemically Important Banks within the Turkish Banking Sector

OpenAIRE

Ozge ULKUTAS SACCI; Guven SAYILGAN

2014-01-01

This study aims to identify domestic systemically important banks (D-SIB) operating within the Turkish Banking Sector. In this regard, adopting an indicator based assessment methodology together with the cluster analysis application, banks in the sample are classified in terms of their degree of systemic importance by using publicly available year-end data of 2012. The study has shown that a total of 7 banks with the highest systemic importance clustered away from the remaining 21 banks in th...

Simulation and Performance Analysis of Lithium Battery Bank Mounted on the Hybrid Power System for Mobile Public Health Center

Science.gov (United States)

Busono, Pratondo; Kartini, Evvy

2013-07-01

Mobile medical clinic has been proposed to serve homeless people, people in the disaster area or in the remote area where no health service exist. At that site, a number of essential services such as primary health care, general health screening, medical treatment and emergency/rescue operations are required. Such services usually requires on board electrical equipments such as refrigerators, komputer, power tools and medical equipments. To supply such electrical equipments, it needs extra auxiliary power sources, in addition of standard automotive power supply. The auxiliary power source specifically design to supply non automotive load which may have similar configuration, but usually uses high power alternator rated and larger deep cycle on board battery bank. This study covers the modeling and dynamic simulation of auxiliary power source/battery to supply the medical equipment and other electrical equipments on board. It consists a variable speed diesel generator set, photovoltaic (PV) generator mounted on the roof of the car, a rechargable battery bank. As an initial step in the system design, a simulation study was performed. The simulation is conducted in the system level. Simulation results shows that dynamical behaviour by means of current density, voltage and power plot over a chosen time range, and functional behaviour such as charging and discharging characteristic of the battery bank can be obtained.

An experimental comparison of conventional two-bank and novel four-bank dynamic MLC tracking

International Nuclear Information System (INIS)

Davies, G A; Clowes, P; McQuaid, D; Evans, P M; Webb, S; Poludniowski, G

2013-01-01

The AccuLeaf mMLC featuring four multileaf-collimator (MLC) banks has been used for the first time for an experimental comparison of conventional two-bank with novel four-bank dynamic MLC tracking of a two-dimensional sinusoidal respiratory motion. This comparison was performed for a square aperture, and for three conformal treatment apertures from clinical radiotherapy lung cancer patients. The system latency of this prototype tracking system was evaluated and found to be 1.0 s and the frequency at which MLC positions could be updated, 1 Hz, and therefore accurate MLC tracking of irregular patient motion would be difficult with the system in its current form. The MLC leaf velocity required for two-bank-MLC and four-bank-MLC tracking was evaluated for the apertures studied and a substantial decrease was found in the maximum MLC velocity required when four-banks were used for tracking rather than two. A dosimetric comparison of the two techniques was also performed and minimal difference was found between two-bank-MLC and four-bank-MLC tracking. The use of four MLC banks for dynamic MLC tracking is shown to be potentially advantageous for increasing the delivery efficiency compared with two-bank-MLC tracking where difficulties are encountered if large leaf shifts are required to track motion perpendicular to the direction of leaf travel. (paper)

The Impact of Foreign Banks Presence on the Performance of Domestic Banks in Kosovo during the Period 2001-2007

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Driton Balaj

2010-12-01

Full Text Available The purpose of this study is to empirically research the impacts of the foreign bank’spresence on the performance of domestic banking sector in Kosovo. The research data on foreign anddomestic banking are quarterly time seri data gathered by the Central Bank for the period 2001-2007.By using the compatible data on seven commercial banks, we introduce how the net interest margin,non interest margin, overhead cost, tax paid, and profitability differ between the foreign and domesticbanks. We find that the foreign banks have higher net interest margin and profit than the domesticbanks. The research outcome indicates that the presence of foreign banks had a negative andstatistically significant impact on the net interest margin and loan loss provision of domestic banks,but positively related to the non-interest income, overhead cost and profitability of domestic banks,but we did not find any statistically significant values. The general conclusion is that the presence offoreign banks has not influenced on the increase of competitiveness.

Central Bank Financial Strength and Policy Performance; An Econometric Evaluation

OpenAIRE

Peter Stella; Ulrich H Klueh

2008-01-01

The financial health of central banks and its relation to policy outcomes has recently been recognized as an important policy issue. While case study evidence clearly indicates that weak central bank finances can hamper effective policy implementation, the question of whether central bank financial strength influences policy performance remains controversial. This is due, in part, to a lack of econometric evidence. The paper presents a first step toward filling this gap, by providing a quanti...

THE BANKING SYSTEM OF THE RUSSIAN FEDERATION: STATUS AND PROSPECTS

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L. N. Sotnikova

2015-01-01

Full Text Available The features and current trends in the development of the banking system of the Russian Federation are highlighted in the article. The authors propose an original method of evaluation of activities of credit organizations with the use of statistical data and rating agencies. The concept of the banking system is summarized in this article. Also its structure is analyzed by the number of credit institutions and the quality of their operations. The authors identifie differences between the concepts of banking service, banking operation and banking product and propose classification according to different characteristics of banking institutions and operations that they carry out. Then the authors go to estimating the volume of banking services in Russia and their patterns in total. Separately the main passive (deposits and loans and active operations (lending to legal entities and individuals are characterized. The authors identifie the major developments in the banking system of the Russian Federation in 2014 due to political and economic sanctions by the U.S. and Eurozone countries. The article provides a vision of the authors on the further development of the banking activity in Russia and proposes specific measures to adapt the banking system of the Russian Federation in a constantly changing political and economic conditions (financial sanctions, a change of key Central Bank rates, devaluation, etc.. According to the authors' opinion the expected prospects of development of the banking system of the Russian Federation to 2015 are: the growth in savings accounts in banks; sanctions will be of a personal nature and will not affect the largest credit institutions; the active growth of the corporate loan portfolio will continue; the growth of retail lending portfolio will continue to slow; mortgage lending will increase in the total loan portfolio of the banking sector of Russia.

Bank CEO Pay-Performance Relations and the Effects of Deregulation.

OpenAIRE

Crawford, Anthony J; Ezzell, John R; Miles, James A

1995-01-01

The authors test the deregulation hypothesis that posits that bank CEO compensation became more sensitive to performance as bank management became less regulated. They observe a significant increase in pay-performance sensitivities from their 1976-81 regulation subsample to their 1982-88 deregulation subsample. These increases in pay sensitivities after deregulation are observed for salary and bonus, stock options, and common stock holdings. The authors observe increases in the pay-performanc...

Operational characteristics, strategies and performance of foreign and demestic banks in India

OpenAIRE

Keshari, Pradeep Kumar

2013-01-01

This paper has tried to examine the relative characteristics and performance of foreign and domestic banks operating in India. A comparison of their characteristics undoubtedly suggest that foreign banks as a group differ significantly from domestic banks. It was also found that foreign banks enjoyed higher profitability than the domestic banks. The higher profitability of the former was a reflection of their particular operational characteristics, strategies and the favourable attitude of t...

THE IMPACT OF FINANCIAL LIBERALIZATION ON ROMANIAN BANKING SYSTEM EFFICIENCY

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Ciupac-Ulici Maria-Lenuta

2013-07-01

Full Text Available In the last three decades, many emerging countries have moved away from a system of restrictive monetary and financial controls to a more liberalized financial sector. The restrictive imposed policies were expected to contribute to industrialization of the economy and to the stability of the banking sector. However, financial liberalization had big costs on the banking system's competitiveness and efficiency. Financial liberalization has a different impact on banking markets. Thus, there is no size that fits all policies concerning banking liberalization process. For highly efficient banks, competition is improving their efficiency standard, while less efficient banks can`t compete with foreign banks and further are decreasing in efficiency or are driven out of the market. Overall, the average efficiency of domestic banking markets should be an important variable in deciding to open up their banking market. Banks that are operating close to the frontier, in general are improving their efficiency following financial liberalization process. Banks that are operating in a further distance can`t manage to compete with foreign market entrants, so, they are losing from liberalization process. In this article we propose to measure the impact of financial liberalization process on Romanian banking system. We used the panel regression to study the informational efficiency of three Romanian banks during 2004 - 2012. The dependent variable of the model was the price of stock bank, and the independent variables were the financial indicators (return on equity, return on assets, net profit margin. In the second regression we introduce a dummy variable for crisis period. Our results show that the financial indicators choose do not affect the efficiency of Romanian bank, but the crisis had a negative impact on them. International context, credit risk, the implementation of Basel III and reducing exposures in the absence of investment alternatives remains key

Technology Trust and E-Banking Adoption: The Mediating Effect of Customer Relationship Management Performance

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Samsudin Wahab

2012-01-01

Full Text Available The electronic revolution in the Malaysian banking sector has started in the 1970's. The first visible form of electronic innovation in the Malaysian banking industry was the introduction of Automated Teller Machines in 1981. Finally, on June 1, 2000, the Malaysian Central Bank gave the green light for locally owned commercial banks to offer Internet banking services. Due to the drastic changes in the business environment, it leads financial institutions to revise their marketing strategies to stress long-lasting relationships with customers. Relationships is important criteria in the selection of private bank. In many conditions, customer satisfaction mediates the relationship between antecedent’s factors and marketing performance. Hence, CRM performance is about maintaining good relationship and repurchases behavior, word-of-mouth and customer retention. Trust has been studied in traditional physical commercial environments. In the marketing and management literatures, trust is strongly associated with attitudes toward products, services, and purchasing behaviors. So that, the main objective of this research paper is to investigate the role of CRM performance as the mediator in the relationship between trust and E-Banking adoption. Hence, this empirical paper confirmed the role of customer relationship management performance as the mediators in the relationship between trust and electronic banking adoption.Key words: Trust, Customer Relationship Management Performance, E-Banking Adoption

FINANCIAL PERFORMANCE TEST OF PUBLIC BANKS IN TURKEY:AN APPLICATION OF PROMETHEE

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Ceren UZAR

2013-07-01

Full Text Available Performancetesthas become an important tool for banking sector and banksshould implement performance test if they want to increase their level ofcompetitivenessin today’shighly competitive environment. Banking sector hasalways beenveryimportant factor for developing national economy. PreferenceRanking Organization Method for Enrichment Evaluations( PROMETHEE is oneof the most recent Multiple Criteria Decision Making (MCDMmethodsand hasbeen successfully implementedin many fields.This paper argues the possibility of using PROMETHEE method for measuringthe financial performance of three public banks in Turkey by using two data sets.First data set is for the period from 2002 to 2007, and the second data set is from2008 to 2012. Two data sets are determined and used in order to compare twoperiods– before the global financial crises (2002-2007, and during the globalfinancial crises (2008-2012.PROMETHEEmethodis applied to the obtaineddata sets rigorously by usingten criteria for each bank.Theresults of thispaper showthe possibility of using thePROMETHHE methodin order to determinefinancial performance of public banks in Turkey.

Analysis and Assessment of Financial Indicators of Banks in the Context of Ensuring Functioning of the Banking System

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Samorodov Borys V.

2013-12-01

Full Text Available The article studies methods of analysis and assessment of financial indicators of activity of banks, which characterise their solvency, keeping which at a relevant level for each bank ensures functioning of the banking system in general. It offers a number of financial indicators, which should be assessed when determining the credit rating of competitor banks. It demonstrates an approach to identification of the degree of influence of indicators upon the solvency level. It reveals a necessity of comparing when conducting analysis of values of financial indicators of bank activity, which are rated, with relevant values by the group of banks and the whole banking system. In the result of application of the proposed methods it seems possible to assess positive and negative sides of activity of a specific bank compared to its competitors. Moreover, rather high values of analysed financial indicators, compared to other studied banks, could be used as weighty information when conducting PR campaigns carried out by the bank. The bank management should pay attention to low values of financial indicators, which are determined through comparison with competitor banks, and build up a relevant strategy of measures on improvement of the bank activity.

Contribution of Internet Banking toward Profitability of Banking in India

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Majid Karimzadeh

2015-12-01

Full Text Available The adoption of the Internet in the banking industry on the one hand is closely related to a change in the structure of the organization and nature of operations in banking industry itself, and on the other hand, to the emergence of computer as a significant organizational tool. Banks have always been starving to introduce new technologies to reduce operational costs and expand their businesses. This study is an attempt to investigate the contribution of Internet banking on the performance of the banking system in India. Return on Assets (ROA and Return on Equity (ROE ratios are used to test this effect. The regression analysis showed that there is a significant effect of Internet banking services on the profitability of banks in terms of ROA and ROE in India.

THE CORPORATE GOVERNANCE IMPACT ON BANKING PERFORMANCE INCREASE

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Mariana G. BUNEA

2013-12-01

Full Text Available The Gradual collapse of financial markets in the European Union since the fall of 2008 and economic crises at the credits portfolio level that followed, were generated by the several factors, often interdependent, both macroeconomic and microeconomic level, finally leading to the accumulation of excessive risk in the financial system. This excessive risk was partially caused by the deficiencies in Corporate Governance of the Financial Institutions and the especially banks deficiencies. Even if we can’t put down to the Corporate Governance crisis started, yet nonexistent or inadequacy of effective control mechanisms have determined to the excessive risk-taking by most credit institutions. This article aims to evaluate the application of Corporate Governance principles of the significant players within the Romanian banking system. The research methodology was based essentially on the technique of using the questionnaire, on Corporate Governance documents remarks published on the banks analyzed websites and on the using scoring methods in evaluating the application of Corporate Governance principles.

Pengaruh Current Industry Relative Performance, Future Industry Relative Performance Dan Leverage Terhadap Praktik Manajemen Laba (Studi Komparasi Tiga Bank Konvensional Dan Tiga Bank Syariah

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Surya Wahyudi

2014-03-01

Full Text Available Penelitian ini merupakan penelitian deskriptif qualitative yang bertujuan untuk mengetahui ada tidaknya pengaruh dari Current Industry Relative Performance (CRP, Future Industry Relative Performance (FRP dan Leverage (DEBT terhadap praktik manajemen laba pada Perbankan Indonesia. CRP, FRP dan DEBT diukur dengan mengggunakan rasio keuangan. Manajemen laba diukur dengan menggunakan total akrual. Data yang digunakan adalah data sekunder dengan karakteristik data time series yang berupa laporan keuangan triwulan bank (BM, BRI, BSM, BMI, dan BSMI tahun 2004 sampai dengan 2008. Dengan menggunakan regresi berganda dengan taraf nyata 5%. Hasil penelitian menunjukkan bahwa pada bank konvensional berdasarkan Uji Simultan, peubah CRP, FRP dan DEBT mempengaruhi praktik manajemen laba (AD, sedangkan berdasarkan Uji Parsial, hanya peubah CRP dan DEBT yang mempengaruhi praktik manajemen laba. Pada bank syariah, berdasarkan uji Simultan, peubah CRP, FRP, dan DEBT tidak ada yang mempengaruhi praktik manajemen laba (AD, sedangkan berdasarkan Uji Parsial, peubah CRP, FRP dan DEBT tidak mempengaruhi praktik manajemen laba.JEL Classification : G21, M12, M40Kata kunci : Current Industry Relative Performance (CRP, Future Industry Relative Performance (FRP, Leverage (DEBT, Manajemen Laba (Accrual Discretionary

Pre-emptive policy for systemic banking crisis

NARCIS (Netherlands)

Perotti, E.C.; Suarez, J.

2000-01-01

Systemic banking crises often result from widespread imprudent lending, driven by strong incentives for risk taking and connected lending. This paper identifies a counterbalancing incentive for in-dividual banks to act prudently in the face of widespread risk taking among its competitors. In

The Challenges of Basel III for Romanian Banking System

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Anca Elena NUCU

2011-12-01

Full Text Available Basel III represents a fundamental review of the regulatory and supervision framework of the banking industry in the future, the aim being to strengthen the stability of the financial system. The purpose of this paper is to analyze the impact of Basel III introduction upon the banking system at European level, respectively, upon the Romanian banking system. If at European level it is estimated a substantial deficit in capital and liquidity, with major impact on profitability indicators, the impact of Basel III upon banking system in Romania is considered to be limited. The measures which credit institutions could take to mitigate the impact of alignment with the new standards are business model adjustment and balance sheet restructuring.

The Challenges of Basel III for Romanian Banking System

OpenAIRE

Anca Elena NUCU

2011-01-01

Basel III represents a fundamental review of the regulatory and supervision framework of the banking industry in the future, the aim being to strengthen the stability of the financial system. The purpose of this paper is to analyze the impact of Basel III introduction upon the banking system at European level, respectively, upon the Romanian banking system. If at European level it is estimated a substantial deficit in capital and liquidity, with major impact on profitability indicators, the i...

Stability Of The Regional Banking Systems In The Crisis And Post-Crisis Periods

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Yelena Pavlovna Gurova

2014-12-01

Full Text Available In connection with the recent crises has become more urgent topic of estimating the probability of bankruptcy of financial institutions. However, do not analyze the level of bankruptcies in the «regional banking systems» and its dependence on certain bank characteristics, the economic situation in the region. The subject of this study is to estimate the probability of medium-sized («non-capital» regional banks bankruptcy. Purpose of the article is to identify the main factors that have the greatest impact on the probability of default of the situation of regional banks. The study used an analytical and theoretical method is conducted econometric analysis. For performance revealed a significant difference in the factors influencing the onset of medium-sized regional situation of default («non-capital» banks, compared with larger banks. First to assess the likelihood of bankruptcy is used the concentration index of banks included in the model and significant macro variables. Results are applicable, from our point of view, the evaluation and more precise definition of the probability of default CBR regional banks.

Development of a computer program for the simulation of ice-bank system operation, part II: Verification

Energy Technology Data Exchange (ETDEWEB)

Grozdek, Marino; Halasz, Boris; Curko, Tonko [University of Zagreb, Faculty of Mechanical Engineering and Naval Architecture, Ivana Lucica 5, 10 000 Zagreb (Croatia)

2010-12-15

In order to verify the mathematical model of an ice bank system developed for the purpose of predicting the system performance, experimental measurements on the ice bank system were performed. Static, indirect, cool thermal storage system, with an external ice-on-coil building/melting was considered. Cooling energy stored in the form of ice by night is used for the rapid cooling of milk after the process of pasteurization by day. The ice bank system was tested under real operating conditions to determine parameters such as the time-varying heat load imposed by the consumer, refrigeration unit load, storage capacity, supply water temperature to the load and to find charging and discharging characteristics of the storage. Experimentally obtained results were then compared to the computed ones. It was found that the calculated and experimentally obtained results are in good agreement as long as there is ice present in the silo. (author)

TRANSACTIONAL LEADER IN ROMANIAN PRIVATE BANKING SYSTEM

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Lucian Ciprian CRIȘAN

2016-05-01

Full Text Available From a managerial point of view, all the media means of professional communication, socialization and interaction emphasize entrepreneurial success stories. One of the modern concerns of all current researchers is to underline the place and role of leaders in the institutional framework. The leadership is perceived as a support pillar in maintaining any business. The analysis of this phenomenon is extremely extensive, starting with the culture of a company, the purpose of its existence and comprises aspects concerning the employees motivation and the degree of identifying themselves with the organizational objective. A constant concern in analyzing this phenomenon is retaining the employees and encouraging them to bring added value to the organization where they perform their daily activities. Nevertheless, the Romanian banking system in Timişoara seems to display a strong resistance towards change. The leadership of this industry is comprised of people with great managerial abilities. The transactional method, manifested by the leader in the Romanian private banking system in Timişoara, seems to be the main phenomenon at the basis of their daily activity. The manager – leader hypothesis is slowly taking shape. Due to the resistance to change, generated by the educational model, from a managerial point of view, the balance is strongly tilting towards the managerial traits at the expense of the leadership ones. We are still at the stage where the tolerance towards liberty, uncertainty, are some of the traits of the leader in the Romanian private banking system in Timişoara, which are poorly identified at the management level of this very important segment of activity.

Concentration and Consolidation of the Romanian Bank System in the Reform and Transition Period to the Market Economy

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Crina Angela Copil

2015-01-01

Full Text Available The countries from Central and Eastern Europe that have at their basis the Soviet Union mode based on a planned economy, centralized, without modern bank institution, were submitted to a process of bank consolidation in the period of 1990-2000. Romania is also among these countries submitted to a diverse process of bank reform. This paper proposes to analyze the period of restructuring of the Romanian bank system, the way in which the process of bank reform was made, which is aligned to the other countries in the process of transitions and which determined the delay of this process, but also a decreased efficiency of the bank system and the loss of its role of engine of the enterprise restructuring. The bank system from Romania was developed during many years of transitions, period characterized by an unstable macroeconomic environment, bank management without a discipline in the activity developed, the increase of the portfolio of low performance credits, the consolidation of the bank system was made by the intrusion of the foreign capital was made by investments of greenfield type, by the bank privatization, that began after 1997, by the taking over of some existent banks by other large banks.

Profiling the Cross-Border Funding of the Irish Banking System

OpenAIRE

Coates, Dermot; Everett, Mary

2013-01-01

Between 2002 and 2008, there was a surge in foreign funding ows to the Irish banking system. This unprecedented increase in in ows was a key driver of the credit boom in Ireland. In the wake of the domestic banking and global nancial crises, the Irish banking system experienced a sharp decrease in its foreign wholesale funding. This Economic Letter addresses two primary questions: (i) who funded the Irish banking system during the boom?; and (ii) how did foreign funding contract in the post-S...

Prediction of Banking Systemic Risk Based on Support Vector Machine

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Shouwei Li

2013-01-01

Full Text Available Banking systemic risk is a complex nonlinear phenomenon and has shed light on the importance of safeguarding financial stability by recent financial crisis. According to the complex nonlinear characteristics of banking systemic risk, in this paper we apply support vector machine (SVM to the prediction of banking systemic risk in an attempt to suggest a new model with better explanatory power and stability. We conduct a case study of an SVM-based prediction model for Chinese banking systemic risk and find the experiment results showing that support vector machine is an efficient method in such case.

Impact of financial liberalization on banking sectors performance from central and eastern European countries.

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Alin Marius Andries

Full Text Available In this paper we analyse the impact of financial liberalization and reforms on the banking performance in 17 countries from CEE for the period 2004-2008 using a two-stage empirical model that involves estimating bank performance in the first stage and assessing its determinants in the second one. From our analysis it results that banks from CEE countries with higher level of liberalization and openness are able to increase cost efficiency and eventually to offer cheaper services to clients. Banks from non-member EU countries are less cost efficient but experienced much higher total productivity growth level, and large sized banks are much more cost efficient than medium and small banks, while small sized banks show the highest growth in terms of productivity.

Impact of Financial Liberalization on Banking Sectors Performance from Central and Eastern European Countries

Science.gov (United States)

Andries, Alin Marius; Capraru, Bogdan

2013-01-01

In this paper we analyse the impact of financial liberalization and reforms on the banking performance in 17 countries from CEE for the period 2004–2008 using a two-stage empirical model that involves estimating bank performance in the first stage and assessing its determinants in the second one. From our analysis it results that banks from CEE countries with higher level of liberalization and openness are able to increase cost efficiency and eventually to offer cheaper services to clients. Banks from non-member EU countries are less cost efficient but experienced much higher total productivity growth level, and large sized banks are much more cost efficient than medium and small banks, while small sized banks show the highest growth in terms of productivity. PMID:23555745

Social sustainability business practices and organisational performance in Nigerian banks

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Oyewo Babajide Michael

2018-04-01

Full Text Available This study examines employee involvement in organisational affairs as an important facet of social sustainability in the Nigerian banking sector, because providing good customer service requires committed employees rather than coerced labour. Data extracted through quantitative content analysis from the financial reports of fifteen commercial banks were analysed using descriptive statistics, Z test, one-way ANOVA, correlation and regression analysis techniques. e study found that employee involvement correlates positively and significantly with organisational performance; and banks differ in performance on the account of the level of employee involvement; firms with deeper level of employee involvement performed better than others with shallow level of employee involvement, thus stressing the relevance of employee involvement as an aspect of social sustainability business practices. Organisations are enjoined to involve their employees more to achieve better results; and embrace the modern philosophy of regarding employees as strategic resources that can be used to bolster core competence.

THE INFLUENCE OF ORGANIZATIONAL CULTURE ON THE PERFORMANCE OF PHILIPPINE BANKS

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Aliza D. Racelis

2010-12-01

Full Text Available This study examines the relationship between organizational culture and organizational performance in the Philippine banking sector. Based on a sample of 60 banks operating in the Philippines, this study sought to verify the notion that organizational culture — especially when it is “strong” and “adaptive” — can influence an organization’s financial performance. The results show that there is a significant and positive correlation between corporate profitability and the banks’ Culture Strength. This observation is especially relevant in environments characterized by rapid, unpredictable change, given that being too focused on clearly defined visions and goals may cause organizations to lose sight of emerging threats and opportunities and thus make them less adaptive. Moreover, more detailed analysis reveals the critical importance of bank size (represented chiefly by number of employees for both deposits performance and profitability. The study further finds that it is the Profitability measure, not the Deposits measure, that relates to Culture Strength. This is an important result, as Net Profits are an after-cost measure of bank profitability, i.e., a key corporate effectiveness measure.

Analisis Perbandingan Kinerja Pada Bank Nasional, Bank Campuran, Dan Bank Asing Yang Terdaftar Di Bursa Efek Indonesia

OpenAIRE

Angel, Christania Graciella

2014-01-01

Bank performance appraisal is based on bank financial report itself. The financial report can be form balance report which give information about the financial position to the outside of bank that can be used of eksternal to assess the level of risk exist in a bank. Based on ownership consist of national bank, mixture bank and foreign bank. These banks has tight compete to show a good performance to the public. This research aimed to analyze the financial performance difference of national ba...

Firm Characteristics and Performance Disclosure in Annual Reports of Nigerian Banks using the Balanced Scorecard

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Solabomi Ajibolade

2017-05-01

Full Text Available This study investigated the influence of four firm characteristics (size, organisational structure, age and systemic importance on extent of performance disclosures by Nigerian banks using the balanced scorecard (BSC model. The population of the study comprised of publicly-listed banks in Nigeria, in operation from 2012 to 2014. Using a self-designed disclosure checklist, the annual reports of a sample of 15 publicly quoted banks in Nigeria were content-analysed for performance disclosure for the period 2012-2014. Descriptive statistics, t-test and Analysis of Variance (ANOVA were applied in data analysis, deducing inference at 5% significance level. It was observed that firms did not significantly differ in the extent of performance disclosure in each of the four BSC perspectives on one hand, and the overall BSC measure on the other hand, on the account of the four firm attributes examined. Considering that annual reports are mainstream amongst the media used to communicate firm performance to the public, it was recommended that preparers of such documents should consider disclosing financial and non-financial performance; this will not only provide a comprehensive basis to judge organisational performance, but will also assist in diffusing the clout created by asymmetry of information between preparers and users of performance reports.

Commercial Activity or Banking Competition?

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Rose-Marie Pușcaciu

2015-12-01

Full Text Available The study analyzes the competition on the banking market and proposes an overview of debt collection companies through the economic crisis which has profoundly affected the banking sector. Article scroll through the main features of competition on the banking market as well as the domain weaknesses that negatively influenced the banking system performance. Even if there is not a sufficiently transparent and functional legal framework and debt recovery market is not supervised enough, it is among the few markets that increase from year to year. Increasing competition from adjacent companies that compete with banks, namely, a non-banking entity, it is stimulating the banking system which will thus become more constructive. It is estimated, that in terms of customers, there will be no differentiation between the banking industry and non-banking entities that will reshape the Romanian banking system soon. Also, the study aims to highlight the existence of debt collection companies, implicitly, the specific markets, it is only a consequence of excessive, unnecessary and dangerous borrowing from previous years. Avoiding bad loans from banks, a fair competition from banks and from non-banking institutions, in the long term, it will generate a balance in the market and it will support economic growth of Romania.

Corporate social responsibility and financial performance: Fact or fiction? A look at Ghanaian banks

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Daniel F. Ofori

2014-02-01

Research purpose: This article examined the impact of corporate social responsibility on financial performance using empirical evidence from the Ghanaian banking sector. Motivation for the study: Although corporate social responsibility is a hot topic in Ghana and banks do practise it, no detailed study has been conducted to ascertain whether banks derive any benefits therefrom. Research design, approach and method: A sample size of 22 banks was involved. A structured questionnaire was used to obtain primary data whilst archival records were used to gather the secondary data. Main findings: The findings revealed that banks in Ghana view corporate social responsibility practices to be a strategic tool; banks are motivated to practise corporate social responsibility by legitimate reasons as much as they are motivated by profitability and sustainability reasons. Also, although there is a positive relationship between corporate social responsibility practices and financial performance, the financial performance of banks in Ghana does not depend significantly on their corporate social responsibility practices but rather on other control variables, such as growth, origin, debt ratio, and size. Practical implications: Properly adopted and implemented, corporate social responsibility can pay its way by contributing toward firm performance. Contribution: There is a positive but currently insignificant relationship between corporate social responsibility and financial performance amongst Ghanaian banks. However, given the numerous benefits of corporate social responsibility, it is recommended that firms continue to give priority to this practice.

West Bank Gaza Geo-MIS System

Data.gov (United States)

US Agency for International Development — The Geo-MIS System is USAID/West Bank and Gaza's primary system for capturing and managing projectrelated information. Its purpose is to assist USAID and its...

A Blood Bank Information Management System

Science.gov (United States)

Farmer, James J.

1982-01-01

A computerized Blood Bank Management system is described. Features include product oriented data input, inventory control reports, product utilization reports, rapid retrieval of individual patient reports. Relative benefits of the system are discussed.

Sign restriction approach to macro stress-testing of the Croatian banking system

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Nataša Erjavec

2012-12-01

Full Text Available The paper employs Uhlig’s sign restriction approach to stress-testing of the Croatian banking system. The analysis is based on a standard monetary VAR comprising real economic activity, inflation and short-term interest rates augmented by the ratio of non-performing loans or return on average equity, both measures representing the aggregate banking sector. In spite of the selected indicator, the results suggest a strong sensitivity of the Croatian banking sector to macroeconomic shocks. The effects are the strongest for contractionary monetary policy shocks, followed by negative demand shocks while the effects of supply shocks turned out to be statistically insignificant. Since Croatia is a small open economy with banking the dominant financial sector, the results obtained could be interesting for policy makers in Croatia and other transition economies with similar characteristics.

customer-teller scheduling system for optimizing banks service

African Journals Online (AJOL)

els Bank Teller scheduling system for optimizing a Banks customer service. The model takes into account real time .... tinuous observation by management personnel and thus results in .... relationships in a mathematical model. A mathematical ...

The effect of quality of electronic banking services on agility of a bank

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Hooman Pourmohammad

2016-07-01

Full Text Available Studies have shown that in service organizations, quality can have a growth in customer satisfaction as its consequence, and when it regards the banking services, factors are brought up with regard to the quality of banking services, which include the speed in responding, providing products proportionate to the customer needs, and gaining competence. These concepts are shared by the issue of organizational agility; hence, the qualities as well as the bank's agility of the banking system embrace these concepts in common. Therefore, the study aims at studying the effect of the quality of electronic banking services on the bank's agility, and assesses the role of two mediator variables of the quality of service system and personnel behavior quality. Using a questionnaire comprised of 76 items about the above components and asking the line personnel in Bank Saderat Iran (BSI in the branches both inside and outside of Iran, the research data was collected, and stratified random sampling was used. To analyze the data, the Structural Equation Model (SEM was used and the PLS software was employed to perform the computations. Results indicated that the model of the study has a high Goodness of Fit, and the quality of the electronic banking services had a significant effect on the bank's agility. In addition, the quality of electronic banking services affects the service system quality. The system service quality, also affects the employees' behavior. Therefore, it can be said that the electronic services quality and the bank's agility affect the personnel behavior quality through the mediated effect of the service system quality. The results of the present study can help the bank's executives to promote their bank's agility and the personnel behavior quality.

Determinants of Effective Internal Control System in Nigerian Banks ...

African Journals Online (AJOL)

Determinants of Effective Internal Control System in Nigerian Banks. ... (21) chief internal auditors of selected recapitalized banks currently operating in Port Harcourt. ... can be carried out, high level ethical standards should be enshrined in Nigerian banks to make internal control more effective. ... HOW TO USE AJOL.

Simulating Retail Banking for Banking Students

Science.gov (United States)

Supramaniam, Mahadevan; Shanmugam, Bala

2009-01-01

The purpose of this study was to examine the implementation flow and development of retail bank management simulation based training system which could provide a comprehensive knowledge about the operations and management of banks for the banking students. The prototype of a Retail banking simulation based training system was developed based on…

Development of a data bank system for LWR integral experiment

International Nuclear Information System (INIS)

Naito, Yoshitaka; Aoyagi, Hideo

1983-01-01

A data bank system for LWR integral experiment has been developed for the purpose of alleviating various efforts associated with the verification of computer codes. The final aim of this system is such that the imput data for the code to be verified can be easily obtained, and the results of calculation can be obtained in the form of the comparison with measurement. Geometry and material composition as well as measured data are stored in the data bank. This data bank system is composed of four sub-programs; (1) registration program, (2) information retrieval program, (3) maintenance program, and (4) figure representation program. In this report, the structure of this data bank system and how to use the system are explained. An example of the use of this system is also included. (Aoki, K.)

The Nature and Assessment of Systemic Risk in Terms of Liquidity of the Banking System

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Lavreniuk Vladyslav V.

2016-11-01

Full Text Available The aim of the article is to determine the nature of systemic risk as a threat to the financial stability of the banking system and develop analytical tools to assess its impact on the banking system in terms of its liquidity. To solve the tasks assigned, there used general scientific and specific methods, such as: logical and dialectical method, mathematical and graphical one. Based on the generalization, analysis and comparison of different interpretations, there clarified the concept of «systemic risk» as a risk generated by financial institutions or individual sectors through the implementation of the mechanism of risk transmission, achieving significant scale of distribution and adversely affecting the stability of the financial system and the real sector of economy. There identified key aspects of systemic risk: a systemic risk is not a sum of all individual risks of financial institutions; b spreads through the channels of interconnectedness between financial institutions; c is a result of accumulated structural imbalances; d affects the stability of the financial/banking system, public confidence and the real sector of economy. Analytical tools for estimation of the bank’s contribution to the systemic liquidity risk on the basis of which it is determined that the first place in terms of the effect on the aggregate systemic risk of liquidity of the Ukrainian banking system is occupied by banks of Group I, the second place — by Privatbank, the third, fourth, fifth places — by banks in Group II — Oschadbank, Ukreximbank. It is found that it is systemically important state-owned banks that have a significant impact on systemic liquidity risk. It is determined that the probability of default of a leading systemically important bank could result in considerable cumulative losses for the entire banking system and real economy. The prospects of further research are the development of tools for systemic risk assessment with respect to

Impact Of Exogenous And Endogenous Risks On Systemic Risk In Indonesian Banking

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Alfiana

2015-08-01

Full Text Available Weaknesses of the Banking Pressure Index and Financial Stability Index as an early detection system were not to involve contagion and bank run. This study aimed at determining impacts of endogenous and exogenous risks on systemic risks. It was a descriptive verificatory study using monthly secondary data of 2011-2014 and multiple regressions. Utilizing credit risk liquidity risk market risk capital adequacy risk contagion bank run inflation BI rate exchange rate and systemic risk variables of the 2011-2014 period it turned out that only endogenous risks of contagion and bank run variables impacted on systemic risk in Indonesian banking. The result showed that after the test of classical linear regression assumption credit risk capital adequacy risk contagion bank run and inflation variables simultaneously impacted on systemic risk and contributed to the movement of systemic risk. However our findings suggested that only contagion CONT bank run BR and inflation INF variables significantly impacted on systemic risk in a positive direction.

The Islamic Inter bank Money Market and a Dual Banking System : The Malaysian Experience

OpenAIRE

Bacha, Obiyathulla I.

2008-01-01

This paper examines the operation of an Islamic Interbank Money market (IIMM), within a dual banking system. The paper argues that even though an Islamic Money market operates in an interest free environment and trades shariah compliant instruments, many of the risks associated with conventional money markets, including interest rate risk is relevant to an Islamic Money Market operating within a dual banking system. The empirical evidence based on Malaysian data, points to Islamic money marke...

The Malaysian microfinance system and a comparison with the Grameen Bank (Bangladesh and Bank Perkreditan Rakyat (BPR-Indonesia

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Suraya Hanim Mokhtar

2013-06-01

Full Text Available Microfinance programme in Malaysia has been implemented since 1987 as one of the poverty eradication strategies in the country. There are three large microfinance institutions in Malaysia namely AIM, YUM and TEKUN that targeted to different groups of people. Each of the microfinance institution has its own lending systems and has been subsidised by the government since their existence. This paper compares the Malaysian subsidised microfinance institutions’ lending systems with the unsubsidised microfinance institutions such as the Grameen Bank in Bangladesh and People’s Bank (Bank Perkreditan Rakyat/BPR in Indonesia. This study found the Grameen Bank and BPR have more variety of microfinance services and flexible lending systems compared with Malaysian microfinance institutions.

Computer Based Asset Management System For Commercial Banks

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Amanze

2015-08-01

Full Text Available ABSTRACT The Computer-based Asset Management System is a web-based system. It allows commercial banks to keep track of their assets. The most advantages of this system are the effective management of asset by keeping records of the asset and retrieval of information. In this research I gather the information to define the requirements of the new application and look at factors how commercial banks managed their asset.

Channel Estimation for Filter Bank Multicarrier Systems in Low SNR Environments

Energy Technology Data Exchange (ETDEWEB)

Driggs, Jonathan; Sibbett, Taylor; Moradiy, Hussein; Farhang-Boroujeny, Behrouz

2017-05-01

Channel estimation techniques are crucial for reliable communications. This paper is concerned with channel estimation in a filter bank multicarrier spread spectrum (FBMCSS) system. We explore two channel estimator options: (i) a method that makes use of a periodic preamble and mimics the channel estimation techniques that are widely used in OFDM-based systems; and (ii) a method that stays within the traditional realm of filter bank signal processing. For the case where the channel noise is white, both methods are analyzed in detail and their performance is compared against their respective Cramer-Rao Lower Bounds (CRLB). Advantages and disadvantages of the two methods under different channel conditions are given to provide insight to the reader as to when one will outperform the other.

THE DETERMINANTS OF BANKING SYSTEM VULNERABILITY IN THE REPUBLIC OF MOLDOVA

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Dorina CLICHICI

2013-12-01

Full Text Available A banking system is more vulnerable when there are felt more negative effects on this as a consequence of the global financial crisis events. In the context of the objective of enhancing financial stability and, in particular, limiting the likelihood of failure of the banking system it is useful to verify how the main characteristics which play a role for banking system vulnerability behaved in the case of the Republic of Moldova: system’s liquidity, capitalization, competition, diversification, presence of foreign banks, and wholesale funding. In order to determine how hard was hit the banking system of Moldova by the recent financial crisis in the article are analyzed quantitative and qualitative the above mentioned characteristics and identified the crisis effects on them.

The effect of corporate social responsibility disclosures on financial performance in the banking industry: empirical study on Egyptian banking sector

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Racha El Moslemany

2017-03-01

Full Text Available The aim of this paper to establish the relationship between corporate social responsibility disclosure and financial performance in the Egyptian banking sector. Only three banks were included in the study because Corporate Social Responsibility is a new concept that has not yet been fully established in the banking sector in Egypt. Secondary data were obtained from the annual financial reports of the banks for the period from 2008 to 2011. Corporate social responsibility score was obtained using content analysis of reports of the companies on various components of corporate social responsibility as reported in their annual financial reports. The present study identified four dimensions in the pilot study: Environment, Community, Customer, and Employee. Descriptive analysis was used to describe data collected such as Pearson correlation method. The authors used regression analysis to study the relationship between the dependent variables and the independent variables and the bank age and bank size were used as control variables in the analysis. The results indicated an insignificant relationship between the independent variables (corporate social responsibility toward environment, community, customer, and employee used in the model and the dependent variables Corporate Financial Performance as measured by (ROA, ROE, NPM, and EPS. The results of the study proved the absence of a significant relationship between the dependent and the independent variables as a whole. Yet, some relationships were found concerning individual measures. The major limitation of this paper is the sample size. In addition, failure of corporations to disclose CSR in the annual reports will have a material effect on these findings. The findings of this paper have practical implications on the management of Banks in Egypt to re-think and re-strategize their CSR policies that incorporate social and economic performance to improve their CFP.

Mengembangkan Human Resource Management yang Strategis untuk Menunjang Daya Saing Organisasi: Perspektif Manajemen Kinerja (Performance Management di Bank Syariah

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Ahmad Azmy

2015-05-01

Full Text Available This article discusses performance management in sharia banks related to human resources. The method used is descriptive in providing a comprehensive explanation based on factual data. Performance management in sharia banks should be applied based on the characteristics of human resources by sharia. The characteristics of the human resources required by sharia banks are different from conventional banks. Human resources in sharia banks should have different performance indicators to conventional banks. Performance indicators serve as a guide in the process of implementing sustainability performance as an effort of sharia banking in the banking industry in Indonesia.

BANK RUN AND STABILITY OF ISLAMIC BANKING IN INDONESIA

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Rahmatina A. Kasri

2017-08-01

Full Text Available Bank run is an important economic phenomenon which increasingly occurred in in modern banking system and potentially threatened banking stability as it could trigger a banking crisis. However, most studies related to bank run focus on the occurrence of bank run in conventional banking system. Very few of them discuss the bank run phenomenon under Islamic banking system or dual banking system where Islamic banks jointly operating with conventional banks. Therefore, this study attempts to analyze the determinants of bank run in the Indonesian Islamic banking industry by employing primary data from 256 customers of Indonesia Islamic banks in 2015 and by utilizing factor analysis and descriptive statistics. In theory, Islamic banks tend to be more resilient towards any macroeconomic or financial shocks as compared to conventional banks due to the nature of its asset-based and risk-sharing arrangement. However, the result exhibits that both psychological and fundamental factors (i.e. macroeconomics and bank fundamentals strongly influence the behaviors of Islamic banking depositors to withdraw their funds, which might trigger the occurrence of bank runs in the country. Insider information, macroeconomic condition and bank fundamental factors are also shown to have the highest impacts among all variables. Hence, in the context of banking stability, the finding implies that Islamic banks are not completely immune to the impacts of macroeconomic shocks or financial crisis. As a country with a dual banking system, Indonesia had experienced several bank runs since 1990s. Therefore, the findings of the study should provide the policy makers important insight into research based-policy in order to attain financial stability as one of the main economic goals of the country. Keywords: Bank run, Islamic bank, Factor analysis, Indonesia JEL Classification: C83, G21, G28

Measurement and Internalization of Systemic Risk in a Global Banking Network

Science.gov (United States)

Feng, Xiaobing; Hu, Haibo

2013-12-01

The negative externalities from an individual bank failure to the whole system can be huge. One of the key purposes of bank regulation is to internalize the social costs of potential bank failures via capital charges. This study proposes a method to evaluate and allocate the systemic risk to different countries/regions using a Susceptible-Infected-Removable (SIR) type of epidemic spreading model and the Shapley value (SV) in game theory. The paper also explores features of a constructed bank network using real globe-wide banking data.

Evaluating the Efficiency of Banking Systems During a Pre-Crisis and Crisis Period by Using Cluster Analysis (2004-2009

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Serhiy Reverchuk

2013-10-01

Full Text Available The proposed study, by using cluster analysis, presents the unique methodology for determining the level of efficiency of banking systems in terms of crisis. It identifies a cause and relationship of various derivatives when applying the specialized tools to regulate the level of stability of the banking system. The proposed methodology assists in applying the presented studies to track the trends of governmental strategies in regulating the banking market applying the financial and performance indicators. Furthermore, this article presents the innovative methodology when assessing the level of effectiveness of national banking systems in relation to other countries, by carrying out the evaluation of the efficiency of governmental regulations compared with various international banking systems during the period of 2004-2009, and the implementation of the results by received economic interpretations.

SEGMENTATION OF SME PORTFOLIO IN BANKING SYSTEM

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Namolosu Simona Mihaela

2013-07-01

Full Text Available The Small and Medium Enterprises (SMEs represent an important target market for commercial Banks. In this respect, finding the best methods for designing and implementing the optimal marketing strategies (for this target are a continuous concern for the marketing specialists and researchers from the banking system; the purpose is to find the most suitable service model for these companies. SME portfolio of a bank is not homogeneous, different characteristics and behaviours being identified. The current paper reveals empirical evidence about SME portfolio characteristics and segmentation methods used in banking system. Its purpose is to identify if segmentation has an impact in finding the optimal marketing strategies and service model and if this hypothesis might be applicable for any commercial bank, irrespective of country/ region. Some banks are segmenting the SME portfolio by a single criterion: the annual company (official turnover; others are considering also profitability and other financial indicators of the company. In some cases, even the banking behaviour becomes a criterion. For all cases, creating scenarios with different thresholds and estimating the impact in profitability and volumes are two mandatory steps in establishing the final segmentation (criteria matrix. Details about each of these segmentation methods may be found in the paper. Testing the final matrix of criteria is also detailed, with the purpose of making realistic estimations. Example for lending products is provided; the product offer is presented as responding to needs of targeted sub segment and therefore being correlated with the sub segment characteristics. Identifying key issues and trends leads to further action plan proposal. Depending on overall strategy and commercial target of the bank, the focus may shift, one or more sub segments becoming high priority (for acquisition/ activation/ retention/ cross sell/ up sell/ increase profitability etc., while

Board Size, Non-Executive Board Members and Financial Performance in Non-Usury Banks in Iran

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GholamReza Karami

2016-07-01

Full Text Available Prior studies investigating the relation between the financial performance and corporate governance mechanisms for firms in Tehran Stock Exchange mainly exclude banks due to their different types of rules and structure. We study the relation between corporate governance structure and financial performance of the banks under the non-usury banking act. We study various corporate governance factors including board size and the number of non-executive board members using a sample of 21 banks for 2010 to 2012. Result show a significant positive correlation among board size and financial performance. However, non-executive board members do not correlate with financial performance.

Modernization Solution for Legacy Banking System Using an Open Architecture

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Constantin Marian MATEI

2012-01-01

Full Text Available Banks are still using legacy systems as the core of their business is comprised within such sys-tems. Since the technology and client demands are changing rapidly, the banks have to adapt their systems in order to be competitive. The issue is to identify correctly what are the bank users preferences in terms of software reliability and how modern is the system For instance, there are users who enjoy working using the old screen format, and there are users who enjoy working with newer layouts, Web interfaces, and so on. We need also to know the constraints generated by the usage of legacy systems, and how these systems can be improved or replaced. The scope of the article is to present a solution of modernizing a legacy banking system by using a SOA approach. The research is based on the modernization of a legacy system developed in COBOL/400 under IBM iSeries. The modernization process uses a SOA ap-proach using JAVA technologies.

The Economic Security of Bank: Theoretical Basis and Systemic Approach

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Gavlovska Nataliia I.

2017-07-01

Full Text Available The article analyzes the existing approaches to interpreting the category of «economic security of bank». A author’s own definition of the concept of «economic security of bank» has been proposed, which should be understood as condition of protecting the vital interests of bank, achieved by harmonizing relationships with the entities of external influence and optimizing the internal system processes, thus enabling efficient function as well as development by means of an adaptation mechanism. A number of approaches to understanding the substance of the above concept has been allocated and their main characteristics have been provided. The need to study the specifics of interaction of banking institutions with the external environment in the context of interaction between the State agents and market actors has been underlined. Features of formation of the term of «system» have been defined, three main groups of approaches to interpretation of the term have been provided. A author’s own definition of the concept of «economic security system of bank» has been proposed. A concrete definition of principles for building an economic security system of bank has been provided.

Evaluating the Financial Stability of Banking System, Considering the Emergence Property

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Lesik Vitaliy O.

2017-03-01

Full Text Available The article is concerned with analyzing the existing approaches to evaluation of the financial stability of banking system, substantiating the expedience of accounting, and generalizing the characteristics of the emergence property to determine its level. The article considers the interrelation of concepts of «financial stability» and «financial sustainability», the necessity of their correlation, taking account of the time factor, has been substantiated. A critical analysis of the approaches to evaluating the financial stability of banking system has been carried out, their eligibility according to the criteria of accounting of the identification attributes of systemacity and the analytical data aggregation has been examined. To determine the status of banking system as a system phenomenon, the necessity of carrying out an evaluation of its financial stability on the basis of the emergence approach has been substantiated, including the following directions: intensity of credit and financial interaction in the interbank market; functional load of the banking system as to ensuring the macroeconomic development; structural changes and financial disparities in the banking system; scale effects that arise as a consequence of change in the main financial parameters of the system banks.

CULTURE TRANSFORMATION: LESSONS FROM BANK MANDIRI AND BANK BRI

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Mahmuddin Yasin

2014-11-01

Full Text Available This research aims at exploring organizational culture in state owned enterprises; Bank Mandiri and Bank BRI, and its contribution to financial performance, before and after restructuring/initial public offering (IPO. The research used qualitative approach with case study method that used coupled with exploratory and descriptive design, supported by successive approximation of technical data analysis. Eight propositions were raised from the findings regarding: (1 integration human resources planning with corporate plan, (2 skill development accommodating individual, organizational and business needs, (3 effective strategy aligned with appropriate system and proper business orientation, (4 suitable organizational structure with internal and external business environment, (5 system development oriented to customer satisfaction, (6 proper style of leadership that affects organizational culture and financial performance, (7 implementation of organizational culture in increasing corporate performance, and (8 consistency in socializing and implementing corporate culture.

12 CFR 619.9140 - Farm Credit bank(s).

Science.gov (United States)

2010-01-01

... 12 Banks and Banking 6 2010-01-01 2010-01-01 false Farm Credit bank(s). 619.9140 Section 619.9140 Banks and Banking FARM CREDIT ADMINISTRATION FARM CREDIT SYSTEM DEFINITIONS § 619.9140 Farm Credit bank(s). Except as otherwise defined, the term Farm Credit bank(s) includes Farm Credit Banks...

THE INTELLECTUAL CAPITAL PERFORMANCE OF POLISH BANKS: AN APPLICATION OF VAIC™ MODEL

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Karol Śledzik

2013-10-01

Full Text Available In the knowledge based economy intangible resources are the primary value drivers. This is particularly true of companies such as banks. However, intangible resources (also called Intellectual Capital appear difficult to measure. Today, there are several methods that allow us to measure Intellectual Capital in listed companies. However, not all methods of measurement are adequate for listed banks. This paper uses the Value Added Intellectual Coefficient™ (VAIC™ ratio to measure the Intellectual Capital efficiency of the Polish listed banks using a five years period data set from 2005 to 2009. Three value efficiency indicators, Human Capital Efficiency (HCE, Capital Employed Efficiency (CEE and Structural Capital Efficiency (SCE which are the components of the VAIC™ ratio, were used in the analysis. The data set was divided into two groups of banks. The first group was that of 10 listed Polish banks and the second group was comprised of 10 listed comparable banks from Europe (which was the peer group. The results of the rankings of the banks for the average of five years (2005-2009 showed that for VAIC™ the top two performers in the study were Komercni Banka and BRD Groupe Societe Generale S.A. The BCGE - Banque Cantonale de Geneve, Bankas Snoras and BOŚ Bank were the worst performers. The results of ranking based on Human Capital Efficiency (HCE, showed similar results as that of VAIC™. There was observed a significant decrease of the VAIC™ ratio in the years 2008 and 2009 which was caused by the crisis on financial markets. The results extend the understanding of Intellectual Capital’s role in creation of sustainable advantages for banks in developing economies.

Slow bank system of SINP-Tokamak: A short report

International Nuclear Information System (INIS)

Ray, R.; Ranjan, P.; Chowdhury, S.; Bose, S.

1997-01-01

SINP Tokamak was made operational in July, 1987. The power supply system of the tokamak at that time was designed for a plasma duration of around 2 ms for a peak plasma current of 75 kA. Efforts were directed to increase this duration to 20 ms with the help of a slow bank system designed to work in conjunction with the original fast bank system. The design aspects of the system were completed and the system has been partially executed. Subsequent to this partial implementation, efforts were directed to incorporate the necessary control system and interface facilities between the existing fast bank and the developed slow bank systems. The significant features of the control circuits are that they work according to a well thought out sequences of logic and are designed to guard against possible failures in the existing or the developed power supplies. Efforts have been put to make the operation of the system as much user-friendly as could be worked out within certain practical constraints. The control circuit and interface facilities have been put to extensive tests and are found to work satisfactorily. The entire power supply system is now in active use for different research programmes in the group. (author)

Role of Foreign Banks in Integration of Banking Industry

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Roman Šubić

2009-12-01

Full Text Available Dynamic development of financial industry in some last ten years that, considering the kind of financial agents, remained bank-oriented represents a suficient reason to investigate the causes that brought to the present structure of banking system. After having presented theoretical bases of the integration forms and banks connection, the paper analyzes the influence of foreign banks on the development of Croatian bank system. Thus, beside the knowledge of quantitative changes in the banking system, the paper researched the motivations of the banks regarding integration that, among other things, brought to creating the effects of scale and scope economies. However, the concentrations among banks can lead to creation of negative externalities that later become potential dangers for the banking. Pre-cognitions on development of banking system are used to create projection of future banking development while the data basis of the countries from the region enabled the comparative analysis of banks integration in these countries. The conclusion is that the foreign banks have been the largest promoters of bank integration in the Republic of Croatia contributing also to qualitative development of banking market and to deepening of financial market spectrum.

Board Characteristics and Accounting Performance in Banking Industry: The Indonesian Experience

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Muhammad Agung Prabowo

2018-02-01

Full Text Available This paper examines the effect of board characteristics on accounting return in Indonesian banking industry. The conceptual framework borrows from agency theory claiming that board is held liable for monitoring responsibilities and that monitoring effectiveness will lead to higher corporate achievement. Yet the theory predicts that board characteristics matter in constituting firm performance. It is hypothesized that leadership structure, representation of independent directors, board size, and the rank of college board chairperson attended are necessary attributes enable the board to deliver better performance. The investigation is based on a dataset consisting of 83 banks during 2009-2015. Panel data analysis reveal that the proportion of independent directors, board leadership structure, and board size shows insignificant influence. The rank of universities the board chairperson graduated is found to have an impact on accounting earnings. The impact is robust after the type of controlling owners is taken into account. Yet the association between university rank and performance is more pronounced in the listed-banks.

THE EUROPEAN BANKING UNION AND ROMANIA. THE IMPACT OF THE NEW EUROPEANLEGAL FRAME ON THE ROMANIAN FINANCIAL AND BANKING SYSTEM

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Dan-Adrian Cărămidariu

2014-11-01

Full Text Available The paper studies from a legal and economical perspective the European Banking Union, the latest set of measures adopted by the European Union in order to assure the stability of Europe’s financial and banking system and to prevent future crises. At the same time, the paper analyzes the influence this new institutional and legal mechanism could have on the Romanian financial and banking system, if our country is to take part in the European Banking Union. The paper will discuss the four European legal texts, namely the EU Regulation No 575/2013 and the three directives concerning the capital requirements for the banking system, the recovery and resolution of credit institutions and the deposit guarantee schemes, which, together, set up the European Banking Union’s legal frame. Further, the paper will study the implementation and the transposition of these European provisions into national law. The study’s conclusions will take into consideration the advantages and disadvantages connected to Romania’s participation to the European Banking Union, by showing that, in the context of the introduction of the single currency, the participation to the Banking Union is a necessary exercise.

Dealing with the vulnerability of the Italian banking system

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Elisabetta Montanaro

2017-12-01

Full Text Available The major vulnerabilities of the Italian banking system are the overhang of NPLs and low profitability. Differently from the attention given to excesses of NPLs, the profitability problem is normally considered to be a matter to be left to bank management and not an area of explicit direct regulatory action. Although focusing on capital requirements, regulators and supervisors seldom pose the question of where capital comes from. Using a large sample of 410 Italian domestic banking groups and individual banks, we propose an NPL stress test and a viability test that show: that the system’s vulnerability is a widespread phenomenon; that a further recapitalisation of around ten billion euro is necessary; and that, more importantly, limiting interventions to the overhang problem does not put the majority of Italian banks into a viability path due to the inefficiencies coming from their current business models. The analysis of the Italian case strengthens the critique of current regulation and supervision because, not focusing on bank profitability, they do not avoid threats on solvency coming from the accumulation of NPLs. We thus argue that the structural changes necessary to put the Italian banking system into a viable path require new regulatory and supervisory approaches.

HUMAN CAPITAL IN ISLAMIC BANK AND ITS EFFECT ON THE IMPROVEMENT OF HEALTHY ORGANIZATION AND EMPLOYEE PERFORMANCE

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Muafi

2017-12-01

Full Text Available Human resources have become one of strategic issues of Islamic banking in Indonesia. Islamic bank is important to have a good human capital, who has specialized knowledge and expertise related to Islamic aspects. The quality of human resource that is bad will affect the organization to grow unhealthy and also the employee performance. This research aims to test and analyze the role of human capital that affect the healthy organization and the employee performance. This research was conducted on all employees of Islamic banks in the Province of Daerah Istimewa Yogyakarta (DIY and East Java. The reason is because nowadays, Islamic banking in Indonesia is experiencing a slowdown growth of business performance, especially market share so that it needs human capital with good quality. Sampling technique is using purposive sampling. Bank employees came from Islamic bank, government bank, and private bank. The result concludes that human capital (HC has significant positive effect on the improvement of employee performance (EP and healthy organization (HO. Meanwhile, healthy organization (HO has significant positive effect on the improvement of employee performance (EP. Healthy organization mediates the relationship between human capital and employee performance.

Measuring the systemic risk in the South African banking sector

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Gregory M. Foggitt

2017-10-01

Full Text Available Background: In the aftermath of the sub-prime crisis, systemic risk has become a greater priority for regulators, with the National Treasury (2011 stating that regulators should proactively monitor changes in systemic risk. Aim: The aim is to quantify systemic risk as the capital shortfall an institution is likely to experience, conditional to the entire financial sector being undercapitalised. Setting: We measure the systemic risk index (SRISK of the South African (SA banking sector between 2001 and 2013. Methods: Systemic risk is measured with the SRISK. Results: Although the results indicated only moderate systemic risk in the SA financial sector over this period, there were significant spikes in the levels of systemic risk during periods of financial turmoil in other countries. Especially the stock market crash in 2002 and the subprime crisis in 2008. Based on our results, the largest contributor to systemic risk during quiet periods was Investec, the bank in our sample which had the lowest market capitalisation. However, during periods of financial turmoil, the contributions of other larger banks increased markedly. Conclusion: The implication of these spikes is that systemic risk levels may also be highly dependent on external economic factors, in addition to internal banking characteristics. The results indicate that the economic fundamentals of SA itself seem to have little effect on the amount of systemic risk present in the financial sector. A more significant relationship seems to exist with the stability of the financial sectors in foreign countries. The implication therefore is that complying with individual banking regulations, such as Basel, and corporate governance regulations promoting ethical behaviour, such as King III, may not be adequate. It is therefore proposed that banks should always have sufficient capital reserves in order to mitigate the effects of a financial crisis in a foreign country. The use of worst

Foreign competition and disintermediation: no threat to the German banking system?

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Claudia M. Buch

2000-06-01

Full Text Available The German financial system is characterized by low degrees of penetration by foreign commercial banks and of (bank disintermediation compared to, for instance, the United States. This could be attributed to the fact that universal banking in Germany creates implicit barriers to entry. Yet, regulatory and informational differences which are unrelated to universal banking could be responsible for the observed difference. This paper provides a stylized theoretical model of the banking industry, which suggests that market segmentation and limited market entry can be due to a number of factors, including information costs. Preliminary empirical evidence does not provide clear evidence for the hypothesis that universal banking is the reason for the observed differences in financial systems.

Banking Competition Measurement and Banking Sector Performance: Analysis of 4 ASEAN Countries

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Buddi Wibowo

2017-02-01

Full Text Available Many believe concentrated  banking industry which is dominated by few  big banks creates lower  competition, high profitability, and low efficiency. The main issue in empirical testing of this hypothesis is how to measure banking competition level. Traditional measures of competition are  concentration ratio and Herfindahl-Hirschman Index. This study uses three measures of banking level competition which are widely used in recent  financial literature: Boone Indicator, Lerner Index and H-Panzar-Rosse  statistics.  Lerner Index and H-Panzar-Rosse statistics resulted a similar competition level conclusion, while Boone Indicator produced slightly different output. Industry concentration produced opposing results with those three level of industry competition measurement methods. The results show  banking competition tend to be a monopolistic competition in ASEAN countries, especially in Indonesia which banks’ strategy basically were non-pricing strategy. Competition significantly caused lower profitability, while banking efficiency was not significantly affected by level of competition.DOI:  10.15408/sjie.v6i1.4547

THE IMPACT OF THE FINANCIAL AND ECONOMIC GLOBAL CRISIS OVER THE ROMANIAN BANKING SYSTEM

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Ciobanu (Sireteanu Elena

2011-12-01

Full Text Available This paper analyzes the evolution of the Romanian banking system during 2007 - 2010 compared to the same segment of financial market dynamics in the Member States. Also seeks to detect the effects of the global financial and economic crisis on lending activity, the management of liquidity risk and thereby the effect on the profitability of the Romanian banking sector and outline the prospects of further development. The macroeconomic and financial international background has undergone negative changes, especially in the autumn of 2008. Romania's financial system has evolved but strongly marked by the virulent manifestations of global financial and economic crisis. The banking system which is the dominant component in the financial system is well capitalized, has resisted, until now, these pressures, without recording any bankruptcy. As a lending crunch from the increase in provision expenses, against the backdrop of bad loans it seems to be a poor performance of the banking system for the future period, taking into account the negative financial result recorded at the end of 2010. Given the high degree of capitalization, liquidity level indicators, on this, consider that local banks are well placed to support the real economy on long-term lending conditions imposed by prudential regulations in the field. Currently, at the level of the Romanian banking system, we consider it is necessary to continue the measures imposed by the monetary authority to ensure the reduction of uncertainty and reassure market participants in future developments, as trust is the essential factor for the crisis. In this sense, we consider very important the debate, the direct involvement of representatives of the central bank and academic themes reflecting the current state of the Romanian financial system, lessons learned from the crisis and Romania's objectives for the future - providing a sustainable process of nominal and real convergence of the Romanian economy

PERFORMANCE DETERMINANTS OF PARTICIPATION BANKS: THE ROLE OF SPECIAL CURRENT ACCOUNTS

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Yusuf DINÇ

2017-02-01

Full Text Available Participation banks collect participation funds for credit allocation by participation accounts and special current accounts as main function. Profit or loss offered to participation accounts on base of participation share ratio while special current accounts are considered as cost-free resources. Participation funds are used in the models that analyze participation banks’ performance. Although participation fund types are not considered as variables also special current accounts. This research brings suggestions for the variables for performance analysis of participation banks for further researches.

The Quality of Banking Services in Light of the Financial Transformations and Their Impact on the Marketing Performance of the Banks in Gaza Strip

OpenAIRE

Al Hila , Amal ,; Alhelou , Eitedal ,; Al Shobaki , Mazen ,; Abu Naser , Samy S

2017-01-01

International audience; This study aimed to investigate the effect on the quality of banking services marketing performance of banks operating in the Gaza Strip in light of the financial transitions from the perspective of employees, and the disclosure of the relationship between the quality of banking services and marketing performance from the perspective of employees and customers. The researcher used descriptive and analytical approach, and the study population of employees and customers ...

PERFORMANCE-RELIABILITY – THE MAIN SUBJECT OF THE BANKING ANALYSIS OF THE CREDITED SOCIETIES

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AVRAM (BOITOŞ CAMELIA

2013-12-01

Full Text Available Since the crediting activity occupies the primary role in any banking institution, the necessity of study and its analysis is required by following some steps both at a microeconomic level and at a macroeconomic one. Going over the theme, which aims at the importance of a thorough study of the clients' reliability for highlighting the existing risks in the banking activity in general, and particularly in the crediting activity, becomes as more interesting as their approach at the level of the member states of the European Union tends towards a common theme. Starting from these premises, we have considered as being extremely important the selection of a research theme which aims at the risks in the crediting activity, emphasizing the analysis of the clients' reliability both in the decision of crediting in order to assume the risk of credit and in determining the financial and banking performances. Being given the complexity of the existing risks in the banking activity in general and particularly of the credit risk, the clients' reliability represents an extremely important field, of research and application, bearing in mind both the actual stage of developing the Romanian banking system and the attempts of its alignment to the requirements imposed by the European Union.

THE IMPACT OF THE BASEL III AGREEMENT ON THE BANKING SYSTEMS

OpenAIRE

Magdalena RADULESCU

2014-01-01

In the light of the current financial crisis, some deficiencies of the financial supervision system were highlighted. The former Basel II Agreement needed to be reformulated to achieve more stability of the banking systems. The new Basel III launched tight regulation regarding both banking solvency and liquidity and the leverage ratio. These regulations imply more costs for banks. Many bankers didn’t agree because of the decrease of the profitability of banks. Still, even the current crisis w...

Financial management information systems 25 years of World Bank experience on what works and what doesn't

CERN Document Server

Dener, Cem; Dorotinsky, William Leslie

2011-01-01

Since 1984, the World Bank has financed 87 Financial Management Information System (FMIS) projects in 51 countries totaling over US 2.2 billion, of which US 938 million was for FMIS related information and communication technology (ICT) solutions. This study presents the World Bank?s experience with these investment operations to share the achievements and challenges observed, and provide guidance for improving the performance of future projects. The report is structured according to four overarching questions:?What historical patterns emerge from World Bank financed Treasury/FMIS projects?Thi

Assessing the competitive conditions in the Italian banking system: some empirical evidence

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P. COCCORESE

1998-06-01

Full Text Available The European banking industry is currently facing the effects arising from the increasing integration of national financial markets. In adapting to this new scenario, the Italian banking system has undergone a considerable transformation. The degree of competition in the Italian banking system is evaluated using a sample of banks during the period 1988-96.

Macroeconomic and Bank Specific Determinants of Non-Performing Loans (NPLs in the Indian Banking Sector

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Memdani Laila

2017-08-01

Full Text Available The main objective of the paper is to find out the determinants of NPAs in the Indian Banking sector and to study if these determinants vary across the three different ownership structures viz., public sector banks (PSBs, private banks (PBs and foreign banks (FBs, of banks in India. The panel data for all the banks from 2005 to 2014 is collected from the official website of Reserve Bank of India (RBI, the Central Bank of the country. The econometric technique of Fixed Effects model and Random Effects model is used for the purpose. The results reveal that Macro economic factors, like log of percapita income (LPCY and Inflation (INFN, are significantly affecting NPLs in Public Sector Banks (PSBs. In case of private banks (PBs LPCY is highly significant while bank specific variables like size and total loans to total loans of the banking sector (TLTLBS are significant at 10% level. For FBs none of the variables were significant.

Islamic banking

OpenAIRE

Pak, Viktoriya

2010-01-01

The thesis is focused on introduction of Islamic banking system. Morover part of the work is devoted to a detailed description of the history of Islamic banking, on explanation of the principles on which the banking system is based. Also are analyzed in detail the basic Islamic banking products. And at the end are presented the advantages and disadvantages of the Islamic banking system.

THE EUROPEAN BANKING SYSTEM. TRACK RECORD AND ACHIEVEMENT

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ADELA IONESCU

2014-11-01

Full Text Available The banking system of Europe has experienced two decades of turbulence. Through the 1990’s a wave of mergers, liquidations and bankruptcies has swept the sector. This wave was at its peak the last years of the 1990’s and the 2000-2004 period. Since then the number of exits from the sector has been relatively stable. It is notable that the cooperative banks suffered more than the commercials. This fact can be attributed to their smaller size, ownership structure, management efficiency etc.During the last decade a great number of events have forced the banking system in Europe to transform, to adapt to a new financial, economic, political and social environment. Two financial crisis (2001-2002 and 2008-2009, two voluntary attempts to regulate the financial system (Basel II and III, the introduction of the Euro and the establishment of the European Central Bank, several regulation attempts to create an isomorphic legal environment, financial scandals of 2001-2002, 2008 and the globalization of the financial sector are some of the events that created a new environment for the financial sector.

Development of computer program for simulation of an ice bank system operation, Part I: Mathematical modelling

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Halasz, Boris; Grozdek, Marino; Soldo, Vladimir [Faculty of Mechanical Engineering and Naval Architecture, University of Zagreb, Ivana Lucica 5, 10 000 Zagreb (Croatia)

2009-09-15

Since the use of standard engineering methods in the process of an ice bank performance evaluation offers neither adequate flexibility nor accuracy, the aim of this research was to provide a powerful tool for an industrial design of an ice storage system allowing to account for the various design parameters and system arrangements over a wide range of time varying operating conditions. In this paper the development of a computer application for the prediction of an ice bank system operation is presented. Static, indirect, cool thermal storage systems with external ice on coil building/melting were considered. The mathematical model was developed by means of energy and mass balance relations for each component of the system and is basically divided into two parts, the model of an ice storage system and the model of a refrigeration unit. Heat transfer processes in an ice silo were modelled by use of empirical correlations while the performance of refrigeration unit components were based on manufacturers data. Programming and application design were made in Fortran 95 language standard. Input of data is enabled through drop down menus and dialog boxes, while the results are presented via figures, diagrams and data (ASCII) files. In addition, to demonstrate the necessity for development of simulation program a case study was performed. Simulation results clearly indicate that no simple engineering methods or rule of thumb principles could be utilised in order to validate performance of an ice bank system properly. (author)

COMPETITION IN ROMANIAN BANKING SECTOR

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Capraru Bogdan

2011-07-01

Full Text Available Recent turmoil in the global financial system has impacted severely on the banking sector with many banks suffering large losses and necessitating the need to raise additional capital privately or through their respective national governments. In our study we investigate the impact of structural reforms performed throughout the European Union (EU accession process on competition and contestability of banking systems in Romania. The literature of the measurement of competition can be divided into two major approaches: structural and non-structural. The structural approach to the assessment of competition embraces the Structure-Conduct-Performance Hypothesis (SCP and the Efficient Structure Hypothesis (ESH. The structural approach, as the name suggests, assesses bank competition by examining measures of market structure such as concentration ratios (the share of assets held by the top 3 or 5 institutions or indices (e.g., the Herfindhal-Hirschman index and supposes that higher concentration in the banking market causes less competitive bank conduct and leads to higher bank profitability. The SCP model is originally developed by Bain (1956. The second approach, ESH, developed by Demsetz (1973 and Peltzmann (1977 suggests that the superior performance of the market leaders determines the market structure, implying that higher efficiency produces both higher concentration and greater profitability. The non-structural indicators of competition are mainly based on the measures of monopoly power developed by Lerner (1934. The Lerner Index suggests the mark-up of price over marginal cost. An alternative non-structural indicator of the degree of market competition is the Panzar and Rosse (1987 H-statistic. The H-statistic measures the extent to which changes in banking costs are reflected in changes in banking revenues. In order to examine the level of competition and market power of banks in Romania for period 2003 - 2009, we estimate the non

Aligning Work Processes and the Adviser Portal Bank System

DEFF Research Database (Denmark)

Jørgensen, Jens Bæk; Lassen, Kristian Bisgaard

2006-01-01

The Adviser Portal (AP) is a new IT system for 15 Danish banks. The main goal of AP is to increase the efficiency and quality of bank advisers’ work. Re- quirements engineering for AP includes describing new work processes that must be supported by AP using a combination of: (1) prose and informal...... drawings; (2) The Adviser Portal (AP) is a new IT system for 15 Danish banks. The main goal of AP is to increase the efficiency and quality of bank advisers' work. Requirements engineering for AP includes describing new work processes that musty be supported by AP using a combination of: (1) prose...... and informal drawings; (2) formal models; (3) graphical animation. This representation helps users and system analysts to align new work processes and AP via early experiments in a prototyping fashion. The contribution of this paper is to present and reflect upon the analysis and descrition of one specific...

Implementation of the Indonesian Banking Architecture as a Blueprint of the Direction And Order of the National Banking System: Empirical Study of Indonesian Commercial Banking

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Devy M. Puspitasari

2015-03-01

Full Text Available This study aims to examine the influence of Capital Adequacy Ratio (CAR, earning assets, and liquidity against Return on Asset (ROA in the conventional bank which has the biggest asset listed in Indonesian Stock Exchange (IDX during the period of 2006 to 2010. This research used time series data from Bank Indonesia’s report and financial reports annually published by banking firms listed in IDX. After passing the purposive sampling, there were 27 conventional banks listed in IDX as sample in this study. By using multiple regression analysis (F-test, results showed that CAR, Non Performing Loan (NPL, and Non Performing Loan (NPL collectively have significant influence on ROA. However, by using individual analysis (t-test, NPL has a negative and significant influence on ROA, while CAR and LDR have no significant influence on ROA.

A six-bank multi-leaf system for high precision shaping of large fields

International Nuclear Information System (INIS)

Topolnjak, R; Heide, U A van der; Raaymakers, B W; Kotte, A N T J; Welleweerd, J; Lagendijk, J J W

2004-01-01

In this study, we present the design for an alternative MLC system that allows high precision shaping of large fields. The MLC system consists of three layers of two opposing leaf banks. The layers are rotated 60 deg. relative to each other. The leaves in each bank have a standard width of 1 cm projected at the isocentre. Because of the symmetry of the collimator set-up it is expected that collimator rotation will not be required, thus simplifying the construction considerably. A 3D ray tracing computer program was developed in order to simulate the fluence profile for a given collimator and used to optimize the design and investigate its performance. The simulations show that a six-bank collimator will afford field shaping of fields of about 40 cm diameter with a precision comparable to that of existing mini MLCs with a leaf width of 4 mm

Beliefs and accountability in an Islamic bank

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Ahmadasri Alaudin

2015-05-01

Full Text Available An Islamic bank in Malaysia (Malpha positions itself on being Islamic. The products and services are more expensive while employees are paid less than normal commercial banks. What bonds customers and employees to the bank are symbols of Islam: aqad (oral agreement between the bank and a customer, doa’ (supplication, a prayer, the tazkirah (short religious talks at the morning meeting and zakat (or almsgiving. Bank Malpha uses aqad (oral agreement between the bank and a customer and Doa (supplication, a prayer to form the basis of belief systems that influence the relationship with a customer. With regard to intermediaries, reciprocity (a form of trust underpins the relationship between the bank and its intermediaries (housing developers and lawyers for example. This bonding is reinforced by a boundary system: the shariah committee. The shariah committee assesses the shariah (lawful according Islam compliance and also engages with employees regarding shariah issues. This promotes learning through words and dialogue. However there is little documentation on customer recovery. If indeed non-performing loans are a key performance indicator for this Islamic bank, the challenge for this Islamic bank is to identify key processes to manage customer recovery.

FINANCIAL REPORTING: PERFORMANCE AND FAIR VALUE THE CASE OF THE EUROPEAN BANKING SECTOR

OpenAIRE

Elisabeth Combes-Thuelin; Lionel Escaffre

2003-01-01

International audience; Regarding financial reporting, information about performances is one of the preferred items banking institutions are referring to. Therefore, quantitative and qualitative performance indicators are a significant part of annual reports. Reporting about performances raises some other issues: valuation at cost or at fair value, registration versus disclosure. In the case of the banking industry, the accounting information disclosed is all the more important as this sector...

Determinants of marketing performance: empirical study at National Commercial Bank in Jakarta Indonesia.

Science.gov (United States)

Limakrisna, Nandan; Yoserizal, Syahril

2016-01-01

Indonesian banking industry has experienced up and down as can be seen after Pakto '88, in which the number of new banks grew rapidly, but after the 1997-1998 financial crisis, a lot of banks were liquidated due to the deteriorating financial condition and violation of the precautionary principles by bank management. The purpose of this research is to determine and analyze the effects of good corporate governance, information technology, HR competencies on competitive advantage and its implication on marketing performance. The method used in this research was a descriptive survey and explanatory survey with a sample size of 320 respondents, and the data analysis methods used are structural equation modeling. Based on the results of the research, the findings obtained from good corporate governance, information technology, HR competencies have a significant effect on competitive advantage on the performance of marketing. However, when seen in part, competitive advantage has a dominant effect on marketing performance.

Liquidity Risk and its Management in Lithuanian Banking System

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Erika Bareikaitė

2014-04-01

Full Text Available Banks are the main part of financial sector in each economy and strength of banking system becomes vital for ensuringfavourable economic stability and growth. Recent failure of two commercial banks in Lithuania showed that managershaven’t evaluated liquidity risk or haven’t dealt with it properly. The tasks of the paper are to investigate Lithuanian banksposition towards liquidity risk, analyse what kind of management tools banks use for ensuring favourable position towardsliquidity and to explore the liquidity influence to profitability in Lithuanian banking sector. The article examines liquidity andits management processes in Lithuanian banking sector. Description of liquidity importance is presented. Liquidity risk and itsmeasurement as well as the ways of managing the above mentioned risk is analysed in the article. In order to analyse the relationshipbetween liquidity risk and profitability of banks, analysis of scientific literature, research synthesis and generalizationshave been made.

Modeling and Analysis of Queuing Systems in Banks A case study of Ghana Commercial Bank Ltd. Kumasi Main Branch

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Wallace Agyei

2015-07-01

Full Text Available Abstract Queues are common sight of many banks in Ghana. The obvious implication of customers waiting in long and winding queues could result to prolonged discomfort and economic cost to them however increasing the service rate will require additional number of tellers which implies extra cost to management. This study therefore attempts to find the trade-off between minimizing the total economic cost waiting cost and service cost and the provision of a satisfactory and reasonably shortest possible time of service to customers in order to assist management of the bank in deciding the optimal number of tellers needed. Data for this study was collected at the Ghana Commercial Bank Ltd Kumasi Main Branch for one month through observations interviews and by administering of questionnaire and was formulated as multi-server single line queuing model. The data was analyzed using TORA optimization Software as well as using descriptive method of analysis. The performance measures of different queuing systems were evaluated and analyzed. The results of the analysis showed using a five teller system was better than a four or a six-teller system in terms of average waiting time and thetotal economic cost hence the study recommends that the management should adopt a five teller model to reduce total economic costs and increase customer satisfaction.

12 CFR 211.22 - Interstate banking operations of foreign banking organizations.

Science.gov (United States)

2010-01-01

... 12 Banks and Banking 2 2010-01-01 2010-01-01 false Interstate banking operations of foreign banking organizations. 211.22 Section 211.22 Banks and Banking FEDERAL RESERVE SYSTEM BOARD OF GOVERNORS OF THE FEDERAL RESERVE SYSTEM INTERNATIONAL BANKING OPERATIONS (REGULATION K) Foreign Banking...

Effect 0f Credit Risk Management Techniques 0n The Performance 0f Unsecured Bank Loans Employed Commercial Banks In Kenya

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Prof. R.W Gakure

2013-07-01

Full Text Available Financial risk in a banking organization is possibility that the outcome of an action or event could bring up adverse impacts. Such outcomes could either result in a direct loss of earnings / capital or may result in imposition of constraints on bank’s ability to meet its business objectives. The purpose of this study was to investigate the effect of credit risk management techniques on the performance of unsecured bank loans by commercial banks in Kenya.

ANALISIS PERBANDINGAN KINERJA KEUANGAN BANK SYARIAH DAN BANK KONVENSIONAL DI INDONESIA

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Dwi Umardani

2017-05-01

Full Text Available ABSTRACT This study aims to compare the financial performance of Islamic banks with conventional banks in Indonesia using financial ratios: CAR, NPL / NPF, ROA, ROE, LDR / FDR, REO / BOPO. The data used are the financial statements published by Bank Indonesia (BI, the annual reports released by banking companies listed in Indonesia Stock Exchange (IDX, the annual reports issued by companies of Islamic banking that are not listed in Indonesia Stock Exchange (IDX, and the Indonesian banking supervision reports contained in Bank Indonesia (BI for the years 2005-2012. The analytical method used to compare the financial performance of Islamic banks with conventional banks is statistical test independent t-test. The fact shows that for each financial ratio of Islamic banks and conventional banks in Indonesia: CAR, ROA, ROE, LDR / FDR, and BOPO there are significant differences, while NPL / NPF there is not significant difference. Keywords: Financial performance, Islamic banks, conventional banks

Corporate Governance and Performance of Banking Firms: Evidence from Indonesia, Thailand, Philippines, and Malaysia

Directory of Open Access Journals (Sweden)

Maria Praptiningsih

2009-01-01

Full Text Available Corporate governance still becomes a major issue during the post-financial crisis period in Asian emerging market, such as Indonesia, Thailand, Philippines and Malaysia. Particularly, the financial institutions have implemented corporate governance reforms to enhance the protection of shareholders and stakeholders interest. The consequences emerge as it allows for greater monitoring especially by the shareholders. The objective of this study is to measure the corporate governance and performance in banking sectors in particular, which is determining by the corporate governance mechanisms. In the last part, this study attempts to identify whether there exist any differences in the monitoring mechanisms of banking firms and non-banking firms. This study found that only the foreign shareholder which is represent of the ownerships monitoring mechanisms are significantly negatively related with corporate performance measures in the banking firms in Asian emerging markets. Second, the Internal Control Monitoring Mechanisms showed the insignificant relationship with corporate performance, but only one of the internal control monitoring mechanisms which is CEO duality provides evidence in order to explain the relationship better. Third, the disclosure monitoring mechanisms through the big 4 external auditor is significantly related to corporate performance, instead of the big 3 rating agency. Last, there are similarities between bank and non-bank in terms of corporate governance monitoring mechanisms.

Capital Adequacy and the Performance of Ghanaian Banks | Barnor ...

African Journals Online (AJOL)

The purpose of this paper is to examine the relationship between capital adequacy ... between capital adequacy ratio (CAR) bank performance (Return on Assets ... The paper amongst others recommends that, other factors such as risk, size ...

DISTANCE BANKING SERVICES - A SOLUTION FOR THE ROMANIAN MANAGEMENT BANKING SYSTEM

Directory of Open Access Journals (Sweden)

ELENA SILVIA DINCULESCU

2010-01-01

Full Text Available Involved in the competition to attract and turn the clientele faithful, banks develop a series of activities that could increase their popularity, trust, and acknowledgement. Thus, creating a distance banking service is an opportunity that must be put into value. The present tendency at international level is the significant decrease of the importance of distribution channels through the classic banking network. In this context, active banks in Romania cannot be dissociated from the existing tendencies, and the spectacular dynamics of distance banking services in the last years has shown that, in a future closer than expected, clients might abandon the services of a bank with bad quality e-banking.

Efficiency measurement of the banking sector in the presence of non-performing loan

Science.gov (United States)

Hamid, Nurhayati; Ramli, Noor Asiah; Hussin, Siti Aida Sheikh

2017-01-01

Bank industry plays a vital role in a country's economic development. In the banking industry, the non-performing loans which are acknowledged as being undesirable outputs and usually ignored in most of the analysis should be taken into account since they are undesirable by-products of producing loans and may lead to the bank inefficiency. Modelling the efficiency measurement without undesirable outputs can provide misleading results and unfair assessment. The Directional Distance Function (DDF) approach which extended from the Data Envelopment Analysis (DEA) framework is one of the enhancement efficiency approaches to handle a situation when there is a joint production of the desirable and undesirable outputs. The comparison of both results between the domestic and foreign banks shows that the DEA technical efficiency score for domestic banks is marginally higher than the Malaysian foreign banks. However, when incorporating the undesirable output, the DDF technical efficiency for foreign banks is slightly higher than domestic banks.

Mergers and Acquisitions and Banks Performance in Nigeria ...

African Journals Online (AJOL)

In order to strengthen the competitive and operational capabilities of banks in Nigeria with a view towards returning global and public confidence to the Nigerian banking sector and the economy in general, the Central Bank of Nigeria instituted a banking reform in 2004, which saw most of the then existing 89 banks merging ...

DARC PLURIDATA system: the /sup 13/C-N. M. R. data bank

Energy Technology Data Exchange (ETDEWEB)

Dubois, J E; Bonnet, J C [Paris-7 Univ., 75 (France)

1979-09-15

The capabilities of the DARC system are discussed and illustrated by the storage and retrieval functions of the /sup 13/C-N.M.R. data bank of the DARC PLURIDATA system. The data covered by the bank, as well as the input stream to the bank and validation of the spectra, are described. Particular stress is laid on the DARC structural retrieval system, which illustrates the interactive interrogration of a chemical bank by means of the structural diagram of a molecule, i.e. the universal language in chemistry. The potential of the /sup 13/C-N.M.R. data bank in computer-aided structural elucidation is outlined.

Impact of systemic risk in the real estate sector on banking return.

Science.gov (United States)

Li, Shouwei; Pan, Qing; He, Jianmin

2016-01-01

In this paper, we measure systemic risk in the real estate sector based on contingent claims analysis, and then investigate its impact on banking return. Based on the data in China, we find that systemic risk in the real estate sector has a negative effect on banking return, but this effect is temporary; banking risk aversion and implicit interest expense have considerable impact on banking return.

Impact of Banking Information Systems Security on Banking in China: The Case of Large State-Owned Banks in Shenzhen Economic Special Zone — An Introduction

OpenAIRE

Keith L. Hood; Jie-Wen Yang

1998-01-01

This paper focuses on information security in Chinese Banking Information Systems (BIS), which can only be understood in the context of the wider reforms of the Chinese banking sector. A small pilot study of banking in Shenzhen was carried out. Shenzhen, in southern China, is one of the Economic Special Zones and may be considered as being at the leading edge of development in banking and a pointer towards future developments of banking in China. Information security was found to be inadequat...

Corporate governance and performance of Turkish banks in the pre- and post-crisis periods

Directory of Open Access Journals (Sweden)

F. Dilvin Taşkin

2012-11-01

Full Text Available This paper aims to analyze the relationship between corporate governance and bank performance. Return on asset (ROA, return on equity (ROE and net interest margin (NIM is considered as the measures of bank performance. Corporate governance is determined through the measures of internal governance mechanism which is measured by CEO duality and external governance mechanisms which are proxied by discipline exerted by shareholders, creditors and educated personnel and bank ownership. The analysis covers the period 1990-2000 and 2002-2011 which are the pre and post periods of the severe 2001 banking crisis. The results show that different governance characteristics are important in the pre and post crisis periods.

THE IMPACT OF THE BASEL III AGREEMENT ON THE BANKING SYSTEMS

Directory of Open Access Journals (Sweden)

Magdalena RADULESCU

2014-06-01

Full Text Available In the light of the current financial crisis, some deficiencies of the financial supervision system were highlighted. The former Basel II Agreement needed to be reformulated to achieve more stability of the banking systems. The new Basel III launched tight regulation regarding both banking solvency and liquidity and the leverage ratio. These regulations imply more costs for banks. Many bankers didn’t agree because of the decrease of the profitability of banks. Still, even the current crisis wasn’t surpassed yet, the financial authorities have already claimed another improved agreement Basel IV.

75 FR 23152 - Board of Directors of Federal Home Loan Bank System Office of Finance

Science.gov (United States)

2010-05-03

...Governed by the Federal Housing Finance Agency's (FHFA) regulations, the Federal Home Loan Bank System's (Bank System) Office of Finance issues debt (``consolidated obligations'') as agent for the Federal Home Loan Banks (Banks) on which the Banks are jointly and severally liable and publishes combined financial reports on the Banks so that members of the Bank System, investors in the consolidated obligations, and other interested parties can assess the strength of the Bank System that stands behind them. The Office of Finance (OF) is governed by a board of directors, the composition and functions of which are determined by FHFA's regulations. FHFA's experience with the Bank System and with the OF's combined financial reports during the recent period of market stress suggests that the OF and the Bank System could benefit from a reconstituted board and strengthened audit committee. This regulation is intended to achieve that end.

An Oversampled Filter Bank Multicarrier System for cognitive Radio

NARCIS (Netherlands)

Kokkeler, Andre B.J.; Smit, Gerardus Johannes Maria; Zhang, Q; Zhang, Q.

2008-01-01

Due to small sideband power leakage, filter bank multicarrier techniques are considered as interesting alternatives to traditional OFDMs for spectrum pooling Cognitive Radio. In this paper, we propose an oversampled filter bank multicarrier system for Cognitive Radio. The increased spacing between

Information and communication technology and bank performance ...

African Journals Online (AJOL)

Different sectors of world economies are rapidly being affected by improved technology. Banking sector is also witnessing the trend in Nigeria. Information and communication Technology is said to have impacted the banking sector massively as the banks in Nigeria introduce products that would help improve their efficiency ...

Transparency in European banking system – a technical and economic approach

Directory of Open Access Journals (Sweden)

Ștefănescu Cristina Alexandrina

2014-03-01

Full Text Available The objective of our paper is to provide a comprehensive analysis of possible relationships between two different approaches of “transparency” – the technical vs. the economic one. Thus, irrespective of prior literature, our paper goes beyond a “solo” analysis of either of two above-mentioned “facets”, by providing a combined study. So, we focused on both (1 XBRL’s role in enhancing the quality of disclosure, by assessing its benefices and consequences and (2 corporate governance mechanism’s power to improve efficiency and effectiveness of banking supervision by encouraging transparency. The results of the performed analysis generally reveal that there is a strong and positive relationship between the level of disclosure promoted by corporate governance codes enforced in European Union countries and the degree of implementation of both XBRL-based projects designed for banking environment (FINREP and COREP. Consequently, we can assert that there is a consensus between the economic and technical approach of transparency in European banking system

Security analysis of electronic voting and online banking systems

OpenAIRE

Tjøstheim, Thomas

2007-01-01

The main focus of this dissertation is on security analysis of electronic voting and online banking systems. Six papers form the basis of the thesis and include the following topics: a model for analysis of voting systems, a case study where we apply the proposed model, a new scheme for remote electronic voting, and three case studies of commercial online banking solutions in Norway.

EFFICIENCY AND STOCK PERFORMANCE OF BANKS IN TRANSITION COUNTRIES: IS THERE A RELATIONSHIP?

Directory of Open Access Journals (Sweden)

Gülin Vardar

2013-04-01

Full Text Available The study investigates the link between the cost and profit efficiency scores of the banks in the Central and Eastern European Countries as well as Turkey along with their stock price performance to determine whether the efficiency scores are priced accordingly in bank stocks. Changes in efficiency scores of banks, obtained from Stochastic Frontier Analysis (SFA model, are regressed against their stock price performance by applying fixed effects panel regression technique. Empirical results indicate that changes in profit efficiency estimates have a positive and significant impact on stock returns; however, a significant but negative relationship is found between changes in cost efficiency and stock returns.

DEPOSIT INSURANCE SYSTEM: AN EXPOSITION FOR THE ISLAMIC BANKS IN MALAYSIA

OpenAIRE

Abdullah, Sharifah Adlina Syed; Ahmad, Rubi

2012-01-01

An important aspect of the new financial landscape is the increased focus on financial stability. A deposit insurance (DI) system accomplishes this purpose. While there are a great number of earlier studies that analyze the impact of DI on the conventional banking system, there is a lack of study that takes into account the moral hazard problem of DI on the Islamic banking system. Our paper aims to investigate the moral hazard implication by way of bank risk taking trailing the introduc...

Determinants of the Financial Performances of Commercial Banks in Ethiopia: From Internal Corporate Governance Practice Perspective

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Olani Bekele Sakilu

2015-03-01

Full Text Available ABSTRACT The purpose of this study is to examine the determinants of the financial performances of commercial banks in Ethiopia from an internal corporate governance practices perspective using time series data covering the period of 2008-2013. In the study, financial performance is measured by ROA and ROE of the banks. The study finds that qualified directors in the board, directors with prior experience in banking, chief executive officer compensation and existence of risk management committee in the board have a statistically significant and positive effect on banks’ performance in terms of both ROA and ROE; whereas ownership dispersion has a statistically significant and negative effect on banks performance.  The effect of frequency of board meeting on financial performance of bank is positive and significant in terms of ROA, but significant and negative in terms of ROE.  On the other hand, variables such as board size, female director in the board, and the existence of audit committee in the board did not have a statistically significant effect on bank’s performance.

Multi-tiered S-SOA, Parameter-Driven New Islamic Syariah Products of Holistic Islamic Banking System (HiCORE): Virtual Banking Environment

Science.gov (United States)

Halimah, B. Z.; Azlina, A.; Sembok, T. M.; Sufian, I.; Sharul Azman, M. N.; Azuraliza, A. B.; Zulaiha, A. O.; Nazlia, O.; Salwani, A.; Sanep, A.; Hailani, M. T.; Zaher, M. Z.; Azizah, J.; Nor Faezah, M. Y.; Choo, W. O.; Abdullah, Chew; Sopian, B.

The Holistic Islamic Banking System (HiCORE), a banking system suitable for virtual banking environment, created based on universityindustry collaboration initiative between Universiti Kebangsaan Malaysia (UKM) and Fuziq Software Sdn Bhd. HiCORE was modeled on a multitiered Simple - Services Oriented Architecture (S-SOA), using the parameterbased semantic approach. HiCORE's existence is timely as the financial world is looking for a new approach to creating banking and financial products that are interest free or based on the Islamic Syariah principles and jurisprudence. An interest free banking system has currently caught the interest of bankers and financiers all over the world. HiCORE's Parameter-based module houses the Customer-information file (CIF), Deposit and Financing components. The Parameter based module represents the third tier of the multi-tiered Simple SOA approach. This paper highlights the multi-tiered parameter- driven approach to the creation of new Islamiic products based on the 'dalil' (Quran), 'syarat' (rules) and 'rukun' (procedures) as required by the syariah principles and jurisprudence reflected by the semantic ontology embedded in the parameter module of the system.

BASEL III – IMPLICATIONS OF THE NEW AGREEMENT UPON THE BANKING SYSTEMS

OpenAIRE

VLADA RAMONA IOANA; BANU IOANA MADALINA

2013-01-01

Global banking crisis generated by the subprime crisis in the U.S., received in December 2010, as a response from the Committee on Banking Supervision of the Bank for International Settlements, new capital adequacy rules for banks under the Basel III title: International framework for measurement, standardization and monitoring of liquidity risk, and Basel III: A global regulatory framework for banks and a sounder banking system with new capital adequacy rules for banks. These regulations are...

THE FINANCIAL SECTOR OF THE STATE - THE STRUCTURE OF THE BANKING SYSTEM WITH A BANKING SECTOR IN CENTRAL AND EASTERN EUROPEAN COUNTRIES

Directory of Open Access Journals (Sweden)

Ljiljana Stošić Mihajlović

2017-10-01

Full Text Available The financial sector of each country in the world has its own specificities that depend on many factors. In this paper we will talk about the structure of the financial system in our country from the aspect of the banking sector. Banks are specialized institutions that have a special role in the development of the country's economic system, as their basic function is to supply the economy with the necessary amount of loans and money. Banking business is a special economic activity. It is determined by the type and content of banking operations. In general terms, banking transactions are divided into two groups: active and passive. The Bank is established as a joint-stock company, which is regulated by the laws on banks and international regulatory frameworks.

BASEL III – IMPLICATIONS OF THE NEW AGREEMENT UPON THE BANKING SYSTEMS

Directory of Open Access Journals (Sweden)

VLADA RAMONA IOANA

2013-12-01

Full Text Available Global banking crisis generated by the subprime crisis in the U.S., received in December 2010, as a response from the Committee on Banking Supervision of the Bank for International Settlements, new capital adequacy rules for banks under the Basel III title: International framework for measurement, standardization and monitoring of liquidity risk, and Basel III: A global regulatory framework for banks and a sounder banking system with new capital adequacy rules for banks. These regulations are the focus of global financial reform to prevent future occurrence of banking crises.

THE ROLE OF THE COMMERCIAL BANKS' CAPITAL IN REALIZATION OF INVESTMENT POTENTIAL OF BANKING SYSTEM OF UKRAINE

Directory of Open Access Journals (Sweden)

I. Lyutiy

2015-03-01

Full Text Available The article studies modern trends in investment corporate lending in Ukraine and the ultimate role of banking system in context of capital investments funding in Ukraine. The impact of structure and dynamics of commercial banks’ financial resources on realization of investment potential of Ukrainian banking system is analyzed. The role of banks’ capital adequacy as a precondition for expansion of investment corporate lending is determined.

Improvement of the system of management of business processes of the bank

Directory of Open Access Journals (Sweden)

Pereverzev Pavel Petrovich

2013-07-01

Full Text Available The aim is to develop a scientific - methodological and scientific - methodological issues of the effective technologies for managing business processes of the bank. It is shown that the development and implementation of detailed functional models of management for all business processes of the bank, establishing a structural relationship between the functions of planning, organizing, recording, monitoring, analysis, management and improvement of the business process management object, and development of additional management information systems, will significantly increase the level of automation of the bank, to improve the existing banking information system and improve the competitiveness of the bank.

Back to Basics in Banking? A Micro-Analysis of Banking System Stability

NARCIS (Netherlands)

De Jonghe, O.G.

2009-01-01

This paper analyzes the relationship between banks’ divergent strategies toward specialization and diversification of financial activities and their ability to withstand a banking sector crash. We first generate market-based measures of banks’ systemic risk exposures using extreme value analysis.

Analyzing Financial Performance of Commercial Banks in India: Application of CAMEL Model

Directory of Open Access Journals (Sweden)

Prof. Dr. Mohi-ud-Din Sangmi

Full Text Available Sound financial health of a bank is the guarantee not only to its depositors but is equally significant for the shareholders, employees and whole economy as well. As a sequel to this maxim, efforts have been made from time to time, to measure the financial position of each bank and manage it efficiently and effectively. In this paper, an effort has been made to evaluate the financial performance of the two major banks operating in northern India .This evaluation has been done by using CAMEL Parameters, the latest model of financial analysis. Through this model, it is highlighted that the position of the banks under study is sound and satisfactory so far as their capital adequacy, asset quality, Management capability and liquidity is concerned.

The main directions of banking products promotion in the banking marketing system in Russian commercial banks

Directory of Open Access Journals (Sweden)

Markova O.M.

2017-04-01

Full Text Available the article is devoted to the research of directions of client-oriented approach application during bank products promotion in Russian banks. Attention is paid to the development of electronic banking, social networks through which consumers receive the necessary information about beneficial offers and special conditions for providing banking services.

The Decline of Traditional Banking Activities

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Gabriela Cornelia Piciu

2011-05-01

Full Text Available The decline of traditional banking activities raise the issue of efficiency of financial stability, in terms ofquantitative and qualitative aspects – the increasing danger of banking failures as well as of susceptibility due toincreased propensity of banking institutions to assume additional to risks either in the form of riskier loans offer orengaging in other "non-traditional" financial activities which give a promise for greater profitability, but also higherrisks. Non-traditional activities of banking as financial products dealers (financial derivatives, generate an increasingrisks and vulnerabilities in the form of moral hazard issues. That is the reason why and these activities should beregulated as well as are the traditional activities. Challenges posed by the decline of traditional banking activities istwofold: the stability of the banking system must be maintained, while the banking system needs to be restructured toachieve financial stability in the long run. One possible way is an appropriate regulatory framework to encourage atransition period of changing the structure of banking activity(reduction of traditional activities and expanding nontraditional activities to enable banking institutions to perform a deep methodic analysis of non traditional activities,oriented to the financial banking efficiency.

Hardware Architecture of Polyphase Filter Banks Performing Embedded Resampling for Software-Defined Radio Front-Ends

DEFF Research Database (Denmark)

Awan, Mehmood-Ur-Rehman; Le Moullec, Yannick; Koch, Peter

2012-01-01

, and power optimization for field programmable gate array (FPGA) based architectures in an M -path polyphase filter bank with modified N -path polyphase filter. Such systems allow resampling by arbitrary ratios while simultaneously performing baseband aliasing from center frequencies at Nyquist zones......In this paper, we describe resource-efficient hardware architectures for software-defined radio (SDR) front-ends. These architectures are made efficient by using a polyphase channelizer that performs arbitrary sample rate changes, frequency selection, and bandwidth control. We discuss area, time...... that are not multiples of the output sample rate. A non-maximally decimated polyphase filter bank, where the number of data loads is not equal to the number of M subfilters, processes M subfilters in a time period that is either less than or greater than the M data-load’s time period. We present a load...

STUDI KOMPARATIF KINERJA BANK SYARIAH DAN BANK KONVENSIONAL DALAM MENGHADAPI KRISIS GLOBAL BERDASARKAN RASIO KEUANGAN

Directory of Open Access Journals (Sweden)

Rohmawati Kusumaningtias

2009-10-01

Full Text Available At the time of financial crisis, one of the influential institutions in society is banking. Banking sector provide soft loans to create productive employment for the community. On the other hand, customers also need the liquidity from bank-ing. These stakeholders' needs can be met by looking at the performance of bank-ing. This study aims to determine differences in the performance of sharia banking and conventional banking during economic crisis. This study uses t-test to analyze the data. From the research, it was found that in general, the performance of conventional banking is better than sharia banking in the economic crisis. Keywords: shariah banking, conventional banking, performance.

Bank guarantee in Serbian and European legal systems

Directory of Open Access Journals (Sweden)

Pajtić Bojan L.

2015-01-01

Full Text Available The paper analyses a bank guarantee as an institute derived from a surety contract. By issuing a bank guarantee the bank commits to the creditor that it will fulfill valid and due liabilities of a debtor, in the event of default by the debtor. This collateral demonstrates significant advantages as compared to other personal assets, particularly with regards to a higher level of protection to creditors in contractual relations. Due to the aforementioned benefit the institute has been increasingly applied in legal dealings, both in our and other legal systems. In the paper, I will point out normative solutions in terms of regulation of a bank guarantee as a specific legal activity in which there is no accessoriness, which is not the case with security. This research particularly focuses on the comparative legal analysis of this collateral.

Analisis Perbandingan Kinerja pada Bank Nasional dan Bank Asing dengan Menggunakan Analisis Rasio Keuangan

OpenAIRE

Angel, Christania Graciella; Pusung, Rudy

2014-01-01

Bank performance appraisal is based on bank financial report itself. The financial report can be form balance report which give information about the financial position to the outside of bank that can be used of eksternal to assess the level of risk exist in a bank. Based on ownership consist of national bank, mixture bank and foreign bank. These banks has tight compete to show a good performance to the public. This research aimed to analyze the financial performance difference of national ba...

77 FR 60996 - Change in Bank Control Notices; Acquisitions of Shares of a Bank or Bank Holding Company

Science.gov (United States)

2012-10-05

... shares of Anchor Commercial Bank, Juno Beach, Florida. Board of Governors of the Federal Reserve System... FEDERAL RESERVE SYSTEM Change in Bank Control Notices; Acquisitions of Shares of a Bank or Bank Holding Company The notificants listed below have applied under the Change in Bank Control Act (12 U.S.C...

Does the Profit and Loss Sharing Financing increase the Performance of Islamic Banks?

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Ali BENDOB

2017-12-01

Full Text Available The profit and loss sharing financing may be effect on the performance indicators of Islamic banks. This paper aims to tests the relationship between PLSF and profitability, liquidity and risk indicators and analyzes why the Islamic banks neglect the long term financing, based on empirical case of thirteen bank at level of thirteen Islamic countries namely: Algeria, Bahrain, Bangladesh, Dubai, Indonesia, Iran Jordan, Kuwait, Malaysia, Pakistan, Qatar, Saudi Arabia and Sudan, during 1997 to 2013. We use the regression analysis model with unbalanced panel data. The relationship between PLSF and performance indicators (Profitability, liquidity, risk is significant, and the dual fixed effects model is accepted which shows the difference in the relationship between the variables differs depending on the characteristics of the bank and the country as well as period. We propose to re-test this problematic with distinction between Mudharaba, Musharaka and PLSF, and the use of other econometrics method.

The Impact of Bank Restatements on Illiquidity and Systemic Risk

DEFF Research Database (Denmark)

Herly, Marie

contribute more to systemic risk than other banks and thereby have spillover effects on the financial system. Overall, this paper shows firstly, that banks manage capital with loan loss provisions to avoid regulatory costs prior to a restatement. Secondly, it shows that capital providers demand a higher risk...... premium to compensate for the higher uncertainty following a restatement and that this has material effects on the financial system through higher balance sheet illiquidity and higher contribution to systemic risk....

THE ANALYSIS OF NON PERFORMING FINANCING (NPF DETERMINANTS ON INDONESIAN ISLAMIC BANKING (PERIOD FROM JANUARY 2003 - MARCH 2013

Directory of Open Access Journals (Sweden)

Mohammad Nasih

2013-07-01

Full Text Available This project presents a summary of analysis on the factors affecting Non Performing Financing (NPF of Sharia banking in Indonesia, namely Economic Performance (EK, Total Financing (FIN, Finance Rate (FR, Dummy Global Financial Crisis (D07 and Inflation Rate (INF.The method employed was Cointegration Test where the data used derived from January 2003 to March 2013 monthly data. The statistical analysis results showed that each of independent variables significantly influence the growth of NPF (non-performing financing of Sharia banking in Indonesia. Additionally, the study gave the implication that Islamic banking should apply prevention methods and prudence principles appropriately in providing finance to clients in order to avoid high NPF in Islamic banking. Afterward, the Government, as the highest authority of banking institution, was expected to support the sharia banking financing by establishing an independent agency to help the bank assessing the feasibility of the proposed candidates who would receive financing assistance from sharia banking

Applying importance-performance analysis to evaluate banking service quality

Directory of Open Access Journals (Sweden)

André Luís Policani Freitas

2012-11-01

Full Text Available In an increasingly competitive market, the identification of the most important aspects and the measurement of service quality as perceived by the customers are important actions taken by organizations which seek the competitive advantage. In particular, this scenario is typical of Brazilian banking sector. In this context, this article presents an exploratory case study in which the Importance-Performance Analysis (IPA was used to identify the strong and the weak points related to services provided by a bank. In order to check the reliability of the questionnaire, Cronbach's alpha and correlation analyses were used. The results are presented and some actions have been defined in order to improve the quality of services.

Analysis of Employee Engagement to Improve the Performance of Retail Risk Group PT Bank Mandiri

Science.gov (United States)

Wiseto, Artody; Hubeis, Aida Vitayala; Sukandar, Dadang

2016-01-01

Nowadays, every company requires their employees have a bound sense to their company. It's called engagement. Also have that expectation, PT Bank Mandiri (Persero) Tbk, Bank with the largest assets in Indonesia. PT Bank Mandiri (Persero) Tbk expect which employee engagement can improve the performance such as financial, service, and production…

The Relationship between CSR and Banks' Financial Performance: Evidence from Turkey

OpenAIRE

TASKIN, Dilvin

2015-01-01

Purpose: To analyze the bidirectional relationship between CSR practices of Turkish banks and their financial performance, which is proxied by ROE, ROA and NIM for the year 2013.Originality/value: The paper focus on the changing nature of the Turkish banks which face greater competition and their attempts at practicing CSRDesign/methodology/approach: The study uses content analysis to analyze the degree of CSR on a CSR index and uses regression analysis to determine the link between performan...

Competition, liquidity and stability: international evidence at the bank and systemic levels

OpenAIRE

Nguyen, Thi Ngoc My

2017-01-01

This thesis investigates the impact of market power on bank liquidity; the association between competition and systemic liquidity; and whether the associations between liquidity and stability at both bank- and systemic- levels are affected by competition. The first research question is explored in the context of 101 countries over 1996-2013 while the second and the third, which require listed banks, use a smaller sample of 32 nations during 2001-2013. The Panel Least Squares and the system Ge...

Carrying the (paper) burden: A portfolio view of systemic risk and optimal bank size

NARCIS (Netherlands)

Bos, J.W.B.; Lamers, M.; Purice, V.

2014-01-01

We examine the relationship between bank size and financial stability by viewing the supervisor of a banking system as an ‘investor’ holding a portfolio of banks. Based on this view, we investigate the role of large banks in determining the systemic risk in this portfolio. Our results, based on book

Analisis Kinerja Keuangan Bank Sebelum Dan Sesudah Diakuisisi Oleh Investor Asing: Studi Empiris Pada Bank Central Asia Dan Bank Niaga

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Yen Sun

2011-11-01

Full Text Available Banking industry is one of the most influence factors in the economy growth of one country. However, during 1997-1998 Indonesia banking industry went through hard times because of economic crisis. After that years, many banks were liquidated and restructured. The interesting part is through the restructuring process, several bank acquired by foreign investor and became the foreign-domestic bank. In 2010, some of those banks were in the 10 biggest banks in Indonesia based on asset. Hence, the writer interesting to compare the bank’s financial performance before and after being acquired using two banks as samples of empirical study. Data is based on financial statements published by the companies and Central Bank of Indonesia in 1995-1996, and 2003-2004. Two sample of banks have been selected based on several criteria, they are BCA and Bank Niaga. To analyse their financial performance, several analysis tools will be using, specifically CAMELS (CAR, NPL, NIM, BOPO, LDR minus mangement and sensitivity. The result of the study observed that after being acquired, financial performance of BCA and Niaga Bank is getting better in CAR, NIM, BOPO, but NPL and LDR is less favorable for BCA and so NPL is less favorable for Niaga Bank. Moreover, in terms of profitability analysis, both banks shows better performance. While, the result of credit analysis indicates that the credit risk for both banks is in the stable range at CCC.

ANALISIS KOMPARASI KINERJA KEUANGAN; BANK DEVISA DAN BANK NON DEVISA

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Nani Hartati

2017-11-01

Full Text Available This research is intended to assess and analyze the financial health of Foreign Exchange Bank and Non-Foreign Exchange Bank. Assessment is done by looking at the financial ratios from 2011 to 2015, the results of each financial ratios performed comparison and analysis. The financial statements were obtained from the Indonesian Stock Exchange website. The conclusions of the analysis were compared with the indicators of Bank Indonesia's financial performance assessment released by Indonesia Bank. There is a significant difference between foreign exchange bank and non-foreign exchange bank. The ratio of financial ratios in the analysis includes NPL, CAR, ROA, LDR, and BOPO.

Microprocessor Controlled Capacitor Bank Switching System for ...

African Journals Online (AJOL)

In this work, analysis and development of a microprocessor controlled capacitor bank switching system for deployment in a smart distribution network was carried out. This system was implemented by the use of discreet components such as resistors, capacitors, transistor, diode, automatic voltage regulator, with the ...

A Proposal of Client Application Architecture using Loosely Coupled Component Connection Method in Banking Branch System

Science.gov (United States)

Someya, Harushi; Mori, Yuichi; Abe, Masahiro; Machida, Isamu; Hasegawa, Atsushi; Yoshie, Osamu

Due to the deregulation of financial industry, the branches in banking industry need to shift to the sales-oriented bases from the operation-oriented bases. For corresponding to this movement, new banking branch systems are being developed. It is the main characteristics of new systems that we bring the form operations that have traditionally been performed at each branch into the centralized operation center for the purpose of rationalization and efficiency of the form operations. The branches treat a wide variety of forms. The forms can be described by common items in many cases, but the items include the different business logic and each form has the different relation among the items. And there is a need to develop the client application by user oneself. Consequently the challenge is to arrange the development environment that is high reusable, easy customizable and user developable. We propose a client application architecture that has a loosely coupled component connection method, and allows developing the applications by only describing the screen configurations and their transitions in XML documents. By adopting our architecture, we developed client applications of the centralized operation center for the latest banking branch system. Our experiments demonstrate good performances.

Quality assurance and auditing for tissue banking

International Nuclear Information System (INIS)

Strong, M.; Tayo, E.

1999-01-01

Implementation of quality systems can provide many benefits and have a direct impact on the cost of tissue banking. These benefits are achieved by reducing redundancies, streamlining work processes, reducing and waste, and implementing of a process of continuous monitoring and quality improvement, There have been various models written for the use of quality systems in tissue banking but most can be indexed and correlated with the universal ISO 9000 Quality Management System used world-wide in all types of businesses and services since 1986. These standards contain 20 system elements that define the broad-based quality system. Within these elements are included audited systems. The auditing system includes internal assessment and external assessment. An audit is a planned, independent and documented assessment to determine whether agreed upon requirements are being met. Audits are performed by qualified individuals with knowledge of procedures, regulations and associated standards with the primary intention of improving processes. Internal and external assessments are the primary types of audits performed at the tissue center. Internal assessment is performed by the employees of the organization to determine whether activities and -the results of the activities comply with requirements and procedures. External assessment is carried out by independent examinations performed by an external agency. This presentation will describe procedures for internal quality auditing and results of external assessment of tissue banking in North America, as performed by the American Association of Tissue Banks (AATB). The AATB system for external auditing will be described. Examples will be given of the most common errors found by such auditing assessments and procedures for establishing internal quality auditing

STRATEGIC PARTNERSHIP FORMATION IN IT OFFSHORE OUTSOURCING: INSTITUTIONAL ELEMENTS FOR A BANKING ERP SYSTEM LICENSING

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Luís Kalb Roses

2013-04-01

Full Text Available The purpose of this paper is to design a conceptual model of institutional elements for the formation of a client-supplier strategic partnership in IT outsourcing, involving an ERP system license contract. The model resulted from a longitudinal case study performed in a Brazilian transnational bank with businesses in four continents. This bank is one of the 10 largest American banks in terms of assets volume. Qualitative content analysis technique evaluated data collected from interviews, documents, and observations. The results show the importance of a multidimensional institutional perspective with regulative, normative, and cognitive elements to structure a client-supplier partnership. The data analysis confirmed elements predefined in the theory developed as well as identified new ones.

System Reliability Evaluation of Data Transmission in Commercial Banks with Multiple Branches

Directory of Open Access Journals (Sweden)

Yi-Kuei Lin

2014-01-01

Full Text Available The main purpose of this paper is to assess the system reliability of electronic transaction data transmissions made by commercial banks in terms of stochastic flow network. System reliability is defined as the probability of demand satisfaction and it can be used to measure quality of service. In this paper, we study the system reliability of data transmission from the headquarters of a commercial bank to its multiple branches. The network structure of the bank and the probability of successful data transmission are obtained through the collection of real data. The system reliability, calculated using the minimal path method and the recursive sum of disjoint products algorithm, provides banking managers with a view to comprehend the current state of the entire system. Besides, the system reliability can be used not only as a measurement of quality of service, but also an improvement reference of the system by adopting sensitivity analysis.

The impact of risk factors on the financial performance of the commercial banking sector in Barbados

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Anthony Wood

2018-03-01

Full Text Available The objective of this paper is to determine the impact of risk factors on the financial performance of the commercial banking sector in Barbados using quarterly data for the period 2000 to 2015. The empirical results indicate that Capital Risk, Credit Risk, Liquidity Risk, Interest Rate Risk and Operational Risk have statistically significant impacts on financial performance. The only risk variable which does not derive this result is Country Risk. In addition, of those variables which proxy external factors, only GDP Growth has a statistically insignificant influence on financial performance. Credit risk exerted a negative impact on the banks’ financial performance, thus the banks must ensure they adopt appropriate measures to minimise the impact of this risk. Higher levels of capital impacted positively on the banking sector’s profitability. This paper is the first effort employing such an extensive dataset based on Barbados’ commercial banking sector and shows the main factors that influence commercial banks’ financial performance in this developing economy.

FRACTIONAL BANKING

OpenAIRE

Maria Klimikova

2010-01-01

Understanding the reasons of the present financial problems lies In understanding the substance of fractional reserve banking. The substance of fractional banking is in lending more money than the bankers have. Banking of partial reserves is an alternative form which links deposit banking and credit banking. Fractional banking is causing many unfavorable economic impacts in the worldwide system, specifically an inflation.

INTERBANK DEPOSIT MARKET RELEVANCE FOR CROATIAN BANKING SYSTEM SUSTAINABILITY

OpenAIRE

Ercegovac, Roberto; Kundid, Ana

2011-01-01

Existence, functionality and sustainability of the interbank deposit market signifi cantly determinate bank’s asset and liability management (ALM) potentials and thus an overall banking sector performance. Among other numerous factors in the banking business, key roles of the interbank deposit market like availability of short-term liquidity sources, ensuring investment and lending opportunities as well as allowing hedging potentials, considerably contribute to commercial bank’s risk – return...

Protective systems and its protective switching elements on local failures of large slow-capacitor bank system

International Nuclear Information System (INIS)

Hasegawa, Mitsuo; Inoue, Kunikazu; Ueno, Isao.

1994-01-01

In various applications of pulsed power technologies, large capacitor bank systems are used to feed high current impulse to different experimental devices. The accidental electric breakdown in one of the capacitors in a parallel connection of the large bank may result in serious damages such as mechanical explosion and oil effusion or fire. In most fast banks, each unit capacitor has an output gap switch, which is expected to decouple the capacitors one another. However, no such special element is adopted usually in the slow bank system, partly because of the economical consideration. We have developed a novel and inexpensive protective element for these relatively slow capacitor banks, utilizing a concept of the enclosed type of the fast breakers. The principle of the operation of the protection elements is verified by a simulation experiment. Their practical effectiveness is also successfully demonstrated in the application to the system of the pulsed high magnetic field generator. (author)

National monetary policy by regional design: the evolving role of the Federal Reserve banks in Federal Reserve System policy

OpenAIRE

David C. Wheelock

1999-01-01

This paper examines the history of Federal Reserve Bank input into Federal Reserve System monetary policymaking. From the Fed's founding in 1914 through the Great Depression, the Reserve Banks held the balance of power. Dissatisfaction with the Fed's performance, however, led to a wholesale reorganization in 1935 that greatly enhanced the authority of the Federal Reserve Board, but retained a role for the Federal Banks through the membership of their presidents on the FOMC, as well as in sett...

Cross-Border Banking

OpenAIRE

Jonathan Eaton

1994-01-01

The banking systems of some countries export intermediation services to the rest of the world, while many other countries are net exporters of deposits to banks abroad and net importers of loans from banks abroad. Banking center countries typically have lower inflation, deeper financial systems, earn less government revenue from seigniorage, and have lower reserve money relative to bank assets than nonbanking-center countries. This paper develops a stylized model of regulated bank intermediat...

Women CEOs and financial performance of banks: An empirical research of Indian private sector banks

OpenAIRE

Chandani, Arti; Mehta, Mita; Neeraja, B.

2014-01-01

A woman in the workplace is not a new phenomenon, a woman who is a member of the board could be called a moderate phenomenon but a woman who is the CEO is undoubtedly a recent phenomenon, at least in India. At present, the top private sector bank, i.e. ICICI bank, is headed by a woman, Ms. Chanda Kochhar. In addition, the Axis bank, the 3rd largest private sector bank in India is also headed by a woman CEO, Mrs. Shikha Sharma. This paper focuses on women CEOs in the private banking sector and...

75 FR 20848 - Change in Bank Control Notices; Acquisition of Shares of Bank or Bank Holding Companies

Science.gov (United States)

2010-04-21

... Carolina, Seneca National Bank, Seneca, South Carolina, and The Peoples National Bank, Easley, South... FEDERAL RESERVE SYSTEM Change in Bank Control Notices; Acquisition of Shares of Bank or Bank Holding Companies The notificants listed below have applied under the Change in Bank Control Act (12 U.S.C...

A stable systemic risk ranking in China's banking sector: Based on principal component analysis

Science.gov (United States)

Fang, Libing; Xiao, Binqing; Yu, Honghai; You, Qixing

2018-02-01

In this paper, we compare five popular systemic risk rankings, and apply principal component analysis (PCA) model to provide a stable systemic risk ranking for the Chinese banking sector. Our empirical results indicate that five methods suggest vastly different systemic risk rankings for the same bank, while the combined systemic risk measure based on PCA provides a reliable ranking. Furthermore, according to factor loadings of the first component, PCA combined ranking is mainly based on fundamentals instead of market price data. We clearly find that price-based rankings are not as practical a method as fundamentals-based ones. This PCA combined ranking directly shows systemic risk contributions of each bank for banking supervision purpose and reminds banks to prevent and cope with the financial crisis in advance.

Success is in the bank

Science.gov (United States)

de Vincent-Humphreys, Rupert

2008-05-01

As the nation's central bank, the Bank of England is committed to promoting and maintaining monetary and financial stability. Broadly speaking, this means that it sets the interest rate at a level such that the economy should meet the UK government's 2% inflation target in the medium term, and it analyses the financial system to identify and reduce systemic risks to the country's financial infrastructure. The Bank also performs several other critical functions, including managing the approximately £42bn worth of banknotes in circulation and managing the nation's foreign-currency reserves - a multicurrency fund worth some £23bn. As a physicist, I find that I can make a full contribution to this work.

THE ROMANIAN BANKING COMPETITION AND THE ACCESSION TO EU

Directory of Open Access Journals (Sweden)

Bogdan Capraru

2010-07-01

Full Text Available In this study we try to assess banking competition in the Romania for 2001 – 2008, taking into account the evolution of market share of the top five, Herfindahl-Hirschman Index (HHI, performances indicators like ROA and ROE and evolutions of deposit and loans rates. We observed that the competition in the Romanian banking system increases continuously in the last years. The main factors which have influenced this process were: the privatization of the majority of state capital banks and the perspective of accession of our country in the EU. In the period assessed, there are two approaches: in the first period banks have had very good performances due to their market share in a low competitive banking environment and after the privatization of some state capital banks, the leader of the market lost market share in the favor of other bank with greater performances.

Is banking supervision central to central banking?

OpenAIRE

Joe Peek; Eric S. Rosengren; Geoffrey M. B. Tootell

1997-01-01

Whether central banks should play an active role in bank supervision and regulation is being debated both in the United States and abroad. While the Bank of England has recently been stripped of its supervisory responsibilities and several proposals in the United States have advocated removing bank supervision from the Federal Reserve System, other countries are considering enhancing central bank involvement in this area. Many of the arguments for and against these proposals hinge on the effe...

Task clarification, performance feedback, and social praise: Procedures for improving the customer service of bank tellers.

Science.gov (United States)

Crowell, C R; Anderson, D C; Abel, D M; Sergio, J P

1988-01-01

Customer service for bank tellers was defined in terms of 11 verbal behavior categories. An audio-recording system was used to track the occurrence of behaviors in these categories for six retail banking tellers. Three behavior management interventions (task clarification, performance feedback, and social praise), applied in sequence, were designed to improve overall teller performance with regard to the behavioral categories targeted. Clarification was accomplished by providing clear delineation of the various target categories, with specific examples of the behaviors in each. Feedback entailed presentation of ongoing verbal and visual information regarding teller performance. Praise consisted of verbal recognition of teller performance by branch managers. Results showed that clarification effects emerged quickly, producing an overall increase in desired behaviors of 12% over baseline. Feedback and praise effects occurred more gradually, resulting in overall increases of 6% and 7%, respectively. A suspension of all procedures led to a decline in overall performance, whereas reinstatement of feedback and praise was again accompanied by performance improvement. These findings extend the generality of behavior management applications and help to distinguish between possible antecedent and consequent effects of performance feedback.

Neural networks for combined control of capacitor banks and voltage regulators in distribution systems

Energy Technology Data Exchange (ETDEWEB)

Gu, Z.; Rizy, D.T.

1996-02-01

A neural network for controlling shunt capacitor banks and feeder voltage regulators in electric distribution systems is presented. The objective of the neural controller is to minimize total I{sup 2}R losses and maintain all bus voltages within standard limits. The performance of the neural network for different input selections and training data is discussed and compared. Two different input selections are tried, one using the previous control states of the capacitors and regulator along with measured line flows and voltage which is equivalent to having feedback and the other with measured line flows and voltage without previous control settings. The results indicate that the neural net controller with feedback can outperform the one without. Also, proper selection of a training data set that adequately covers the operating space of the distribution system is important for achieving satisfactory performance with the neural controller. The neural controller is tested on a radially configured distribution system with 30 buses, 5 switchable capacitor banks an d one nine tap line regulator to demonstrate the performance characteristics associated with these principles. Monte Carlo simulations show that a carefully designed and relatively compact neural network with a small but carefully developed training set can perform quite well under slight and extreme variation of loading conditions.

Inflation Performance and Constitutional Central Bank Independence. Evidence from Latin America and the Caribbean

OpenAIRE

Eva Gutiérrez

2004-01-01

This paper explores the relationship between the constitutional entrenchment of central bank independence and inflation performance. Empirical studies for developing countries have not found a relationship between central bank independence, proxied by the "de jure" independence established in the central bank law, and inflation. We argue that the constitution is likely to be better enforced than ordinary statutes owing to its higher legal rank. Our empirical analysis finds that in a sample of...

Perbandingan NPL, LDR, CAR, ROA, dan BOPO Antara Bank BNI Dan Bank BUMN Lain

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Tri Wahyuningsih

2016-09-01

Full Text Available This study aims to analyze the differences in financial performance of Bank BNI and other BUMN Banks by the measuring the ratio of Non Performing Loan (NPL, Loan to Deposit Ratio (LDR, Adecuacy Capital Ratio (CAR, Return on Assets (ROA and BOPO. The study was conducted by using descriptive analysis method. The results of this study explained that the performance NPL, LDR, and Bank BNI's CAR on average during the past eight semesters was still better than BUMN Banks on average, while the performance of ROA and BOPO remained below the average Revenues and Operating Expenses of Operational Income of  Bank BUMN. The results also showed that all BUMN banks still showed good and healthy performance and in accordance with the provisions set by Bank Indonesia. This study also presented the strategy undertaken by Bank BNI to improve its financial performance, that is, the business synergy of all units unit, growth in good-quality assets, optimization of the customer engagement, strengthening the network and develop alliances, optimization of existing resources and simplification of processes, and enhancing customer experiences through improving processes and business models to  digital banking. Keywords: Non-Performing Loans, Loan to Deposit Ratio, Capital Adequacy Ratio, Return on Assets, Revenues and Operating Expenses of Operational Income, Bank BNI, Bank BUMN.

75 FR 49493 - Change in Bank Control Notices; Acquisition of Shares of Bank or Bank Holding Companies

Science.gov (United States)

2010-08-13

... Peoples Bank and Trust Company, both of North Carrollton, Mississippi. B. Federal Reserve Bank of Dallas... FEDERAL RESERVE SYSTEM Change in Bank Control Notices; Acquisition of Shares of Bank or Bank Holding Companies The notificants listed below have applied under the Change in Bank Control Act (12 U.S.C...

THE IMPACT OF BASEL III AGREEMENT ON THE ROMANIAN BANKING SYSTEM

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Mihaela SUDACEVSCHI

2015-07-01

Full Text Available Basel III Agreement is a set of regulations on the banking system, which aims to ensure the system stability, by applying new standards on the capital level and on the liquidity level adequacy and also, on the reduction of banking risk, implied by the financial crisis. Romanian commercial banks will be forced, by the Basel III Agreement implementation, to reduce the risk of capital, using the balance sheet restructuring and by improving the capital quality. The aim of this paper is to analyze the impact of implementing new capital requirements, stipulated by Basel III Agreement, on the Romanian commercial banks, how they will react to the new standards and the decisions they will be able to adopt to respect the standards.

Challenges of the banking regulation systems in the climate of the world economic crisis

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Sedlarević Lazar

2014-01-01

Full Text Available At the end of the 20th century, banking systems of the developed countries have undergone multiple changes, where the basic dimensions of those changes were integration, deregulation and globalisation of activities. The resultant of these factors' actions was the creation of highly risky banking environment, which acted as a catalyst of the world economic crisis effects. These effects brought to the forefront weaknesses of the banking sector and of the banking regulation system, while emphasizing the need for their redefining. Hence this work examines in detail concrete models of the banking regulation systems in the European Union area and in the United States of America. In addition, directions of redefining regulation system were highlighted, and also the relevant differences between banking business regulation in the European Union and in the United States of America.

Exploring the communication barriers in private commercial banks of Bangladesh

OpenAIRE

Sultana, Nahneen; Abdullah, Abu Md.; Tabassum, Ayesha

2013-01-01

In Bangladesh, lots of private commercial banks are contributing for economic growth. The performance of the banks depends on a well-structured communication system. So by maintaining an effective communication system, the banks can gain competitive advantage. Thus the study aims to investigate the communication barriers that should be removed for effective communication in the private commercial banks of Bangladesh. A structured questionnaire survey based on 5-point Likert-scale was conducte...

FINANCIAL CRIME IN THE ROMANIAN BANKING SYSTEM

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LUMINIŢA DRAGNE

2012-05-01

Full Text Available The crime in the financial and banking system, through the disasters it produces, damages and large amount of victims, generates the largest economy damages, both national and international level. This phenomenon occurs and is manifested in a specific environment, the economy and finances one, takes different forms and operates with appropriate techniques. Most of the times, the banking system from Romania, has been used for personal grounds, which leads to serious damage of the Romanian economy. Insufficiently matured economic or imperfect judicial environments are only some of the factors that led to the commission of crimes in this area. Also, this type of crime has been determined, among other things, by the economic status, the social structure or the stage of development of the society.

Analisis Perbandingan Kinerja Keuangan Bank Swasta Nasional Dan Bank Pemerintah Yang Terdaftar Di Bursa Efek Indonesia (Bei

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Sri Hastuti

2011-10-01

Full Text Available Performance or performance of bank is the image of reached achievement in banking operational in all aspect, covering monetary management of bank and ability of bank’s assets had to yield profit efficiently, so bank can stay and compete in the middle of inflation distortion and policy of Bank Indonesia, hence the bank had to have up to standard performance or performance - condition health of bank determined by Bank Indonesia. This research aim to analyse and prove the difference flattens which isn't it in monetary performance Private National Bank and State Bank pursuant to ratioes of CAMEL. Sampel the used to amount to 12 banks, consist of 9 Private National Bank and 3 taken State Bank pursuant to Purposive Sampling with criterion enlist in Indonesia Stock Exchange (BEI, routine deliver financial statement, period of year 2005-2007.

The link between capital structure and banking sector performance in an emerging economy

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Refilwe Maduane

2016-11-01

Full Text Available South African banks are small compared to the international standards and this necessitates them to remain efficient and competitive at both national and international levels. Such competitiveness shelter them from global competitors wishing to enter into the South African market. Putting in mind the critical role played by banks in the economic development of every country, managers in the banking industry should ensure they make sound financial decisions in order to remain profitable and competitive amidst challenges of the debt-equity choice. This study seeks to determine the influence of capital structure on profitability of banks listed at the Johannesburg stock exchange (JSE using the random effect regression model. Empirical studies that studies the impact of capital structure on profitability of the banking sector in emerging markets and Africa are very scant. The few empirical studies that focused on the banking sector are yet to focus on African and to agree on the relationship between capital structure and profitability. It is against these reasons that the current study chose to investigate how profitability of South African banks is affected by their capital structure. The study found out that capital structure is a key determinant of profitability of banks in South Africa. As such, the study recommends that optimal capital policies need to be pursued if banks are to not only to increase profitability but ensure long term stability and sound performance

Evaluating Banking Profit Performance in Ghana during and post Profit Decline: A five Step Du-Pont Approach

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Baah Aye Kusi

2015-11-01

Full Text Available In this study we aimed at three objectives. First, identify and rank banks based on a composite score comprising of all five du-pont variables. Second, we identify variables in the five step du-pont set up that are most likely to influence bank ROE during and post profit declining periods. And third, we estimate a model to capture the variables that drive bank ROE during and post profit declining periods. We first establish from our rankings that, foreign banks in Ghana performed better during profit declining periods while the local banks performed better in post profit decline periods using the top ten banks as a benchmark in both periods. Employing Pearson correlation coefficients matrix, we recognized that operating profit margin, asset turnover and leverage were most likely to influence bank ROE in both time periods. We further employ OLS regression and find that bank ROE was impacted by operating profit margin and leverage during profit declining periods and post profit decline while tax effect added up in post profit declining periods.

A Secure Mobile-Based Authentication System for e-Banking

Science.gov (United States)

Rifà-Pous, Helena

Financial information is extremely sensitive. Hence, electronic banking must provide a robust system to authenticate its customers and let them access their data remotely. On the other hand, such system must be usable, affordable, and portable. We propose a challenge-response based one-time password (OTP) scheme that uses symmetric cryptography in combination with a hardware security module. The proposed protocol safeguards passwords from keyloggers and phishing attacks. Besides, this solution provides convenient mobility for users who want to bank online anytime and anywhere, not just from their own trusted computers.

75 FR 5322 - Change in Bank Control Notices; Acquisition of Shares of Bank or Bank Holding Companies

Science.gov (United States)

2010-02-02

... FEDERAL RESERVE SYSTEM Change in Bank Control Notices; Acquisition of Shares of Bank or Bank Holding Companies The notificants listed below have applied under the Change in Bank Control Act (12 U.S.C. 1817(j)) and Sec. [thinsp]225.41 of the Board's Regulation Y (12 CFR 225.41) to acquire a bank or bank...

75 FR 3904 - Change in Bank Control Notices; Acquisition of Shares of Bank or Bank Holding Companies

Science.gov (United States)

2010-01-25

... FEDERAL RESERVE SYSTEM Change in Bank Control Notices; Acquisition of Shares of Bank or Bank Holding Companies The notificants listed below have applied under the Change in Bank Control Act (12 U.S.C. 1817(j)) and Sec. [thinsp]225.41 of the Board's Regulation Y (12 CFR 225.41) to acquire a bank or bank...

75 FR 9414 - Change in Bank Control Notices; Acquisition of Shares of Bank or Bank Holding Companies

Science.gov (United States)

2010-03-02

... FEDERAL RESERVE SYSTEM Change in Bank Control Notices; Acquisition of Shares of Bank or Bank Holding Companies The notificants listed below have applied under the Change in Bank Control Act (12 U.S.C. 1817(j)) and Sec. [thinsp]225.41 of the Board's Regulation Y (12 CFR 225.41) to acquire a bank or bank...

Personality as predictor of customer service centre agent performance in the banking industry: An exploratory study

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Linda Blignaut

2014-10-01

Research purpose: The aim of the study was to identify personality traits, as measured by the Occupational Personality Questionnaire 32r (item response theory scored version, including the more parsimonious Big Five personality traits, that may act as job performance predictors for customer service centre (CSC agents in the banking industry. Motivation for the study: This study provides an exploratory investigation of whether specific personality traits differ amongst CSC agents in the banking industry, based on their job performance. No published research in this field could be identified. Research design, approach and method: Purposive sampling was used to collect data from the entire CSC agent base of a particular banking group (N = 89. Responses were analysed by means of quantitative techniques. Main findings and practical/managerial implications: Results indicate that parsimonious traits of personality, expressed as the Big Five personality traits, predict job performance. The importance of carefully selecting suitable job performance criteria for a specific environment, however, emerged as a critical issue in performance prediction. Contribution: The study focuses attention on the importance of CSC agents’ performance as frontline staff in the banking industry and identifying valid criteria for selecting the most suitable agents. Providing a one-contact point of service such as a CSC is a fairly new approach in the South African banking industry and this study provides an initial investigation of personality traits that may serve as job performance predictors in this environment.

ATM Technology and Banking System in West African Sub-Region ...

African Journals Online (AJOL)

Automated Teller Machine (ATM) technology has had its significant impact in banking system in Nigeria and some other West African Countries. The most significant impact of ATM technology is the customer's ability to withdraw money outside banking hours. But this feat achieved by ATM technology is not without ...

South Bank Coke Ovens heating performance improvements

Energy Technology Data Exchange (ETDEWEB)

Fraser, A.J. [South Bank Coke Ovens (United Kingdom)

1995-12-31

The coke oven batteries at South Bank Coke Ovens had a history of refractory failure, overheating, and poor environmental performance despite repeated attempts to solve the problem. The fundamental design was poor, but previous upgrade attempts had a history of short term improvements followed by renewed decline, suggesting that the problem may not merely with the equipment. An audit of the area showed multiple morale, equipment and communications problems, although a significant proportion of the workforce were interested in improving the situation. A group of those interested in performance improvements was called together and objectives agreed upon. Communications were upgraded and problem walls analysed for their particular weaknesses. A team approach was used for maintenance, leading to slowly improving pushing emission factors. Temperature control equipment ensured better environmental performance and lower electricity consumption. 5 refs., 3 figs.

Profitability of Western European banking systems: panel evidence on structural and cyclical determinants

OpenAIRE

Beckmann, Rainer

2007-01-01

This paper analyses structural and cyclical determinants of banking profitability in 16 Western European countries. We find that financial structure matters, particularly through the beneficial effect of the capital market orientation in the respective national financial system. Furthermore, higher diversification regarding banks' income sources shows a positive effect. The industry concentration of national banking systems, though, does not significantly affect aggregate profitability. Busin...

Foreign bank entry impacted domestic-owned banks in Ghana from 1975 to 2008

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Nsiah K. Acheampong

2013-12-01

Full Text Available This article empirically examines the effects of foreign bank entry on the financial performance of Merchant Bank Ghana Limited and Ghana Commercial Banks Limited in Ghana from 1975 to 2008. The main result of the pooled regression was that foreign bank entry relatively increased domestic banks’ return on assets for the period 1992-2008; a period with a high influx of foreign banks into Ghana. This result supported the studies by Beck, Demirguc-Kunt, and Levine (2006 and Boldrin and Levine (2009 that found that foreign bank entry enhanced domestic banks profitability margins. The presence of foreign-owned banks was not detrimental to the financial performance of the domestic-owned banks in Ghana.

Financial Performance Analysis of Selected Commercial Banks in ...

African Journals Online (AJOL)

A sample of the top seven commercial banks was selected based on the value of their total assets at the end of the 2009 financial year. These are the banks that dominate the sector with the ... Moreover, all banks were found to be unduly liquid affecting their revenue generating capacity. This is partly because of government ...

Banking Fragility in Colombia: An Empirical Analysis Based on Balance Sheets