Monetary Policy and Bank Risk-Taking in Sub-Sahara Africa
Keywords:
Risk-taking, Financial Crisis, Monetary Policy, Africa
Abstract
Monetary policy has been shown to influence risk taking behaviour of banks in EU and North America. Africa has however received limited attention in this regard. Our study expands the monetary policy-bank risk-taking literature to sub-Sahara Africa by examining a panel of commercial banks from 2001-2015 for different types of risks. We find that monetary policy significantly influences bank risk-taking both statistically and economically but the effect differs across the types of risks. Bank size and profitability are important in determining how effective monetary policy impacts risk-taking. Monetary policy authorities in the sub region should be slow to pursue expansionary monetary policy.
Key Words: Risk-taking, Financial Crisis, Monetary Policy, Africa
References
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Alter, A., & Schüler, Y. S. (2012). Credit spread interdependencies of European states and banks during the financial crisis. Journal of Banking and Finance, 36(12), 3444–3468. https://doi.org/10.1016/j.jbankfin.2012.08.002
Altunbas, Y., Gambacorta, L., & Marques-Ibanez, D. (2010). Bank risk and monetary policy. Journal of Financial Stability, 6(3), 121–129. https://doi.org/10.1016/j.jfs.2009.07.001
Altunbas, Y., Gambacorta, L., & Marques-Ibanez, D. (2012). Do bank characteristics influence the effect of monetary policy on bank risk? Economics Letters, 117(1), 220–222. https://doi.org/10.1016/j.econlet.2012.04.106
Altunbas, Y., Gambacorta, L., & Marques-Ibanez, D. (2014). Does monetary policy affect bank risk? International Journal of Central Banking, 10(1), 95–135. https://doi.org/10.1016/j.jfi.2004.04.002
Angkinand, A., & Wihlborg, C. (2010). Deposit insurance coverage, ownership, and banks’ risk-taking in emerging markets. Journal of International Money and Finance, 29(2), 252–274. https://doi.org/10.1016/j.jimonfin.2009.08.001
Beck, N., & Katz, J. (1995). What to do (and not to do) with Time-Series Cross-Section Data. The American Political Science Review, 89(3), 634–647. Retrieved from http://www.jstor.org/stable/2082979
Bekaert, G., Hoerova, M., & Lo Duca, M. (2013). Risk, uncertainty and monetary policy. Journal of Monetary Economics, 60(7), 771–788. https://doi.org/10.1016/j.jmoneco.2013.06.003
Bhagat, S., Bolton, B., & Lu, J. (2015). Size , leverage , and risk-taking of financial institutions. Journal of Banking and Finance, 59, 520–537. https://doi.org/10.1016/j.jbankfin.2015.06.018
Black, L., Correa, R., Huang, X., & Zhou, H. (2016). The systemic risk of European banks during the financial and sovereign debt crises q. Journal of Banking and Finance (Vol. 63). https://doi.org/10.1016/j.jbankfin.2015.09.007
Brewer, E., & Saidenberg, M. (1996). Franchise value, ownership structure, and risk at savings institutions. Retrieved from http://www.newyorkfed.org/research/staff_reports/research_papers/9632.pdf
Carbó-Valverde, S., Benink, H. A., Berglund, T., & Wihlborg, C. (2015). Regulatory response to the financial crisis in Europe: recent developments ( 2010-2013 ). Journal of Financial Economic Policy, 7(1), 29–50. https://doi.org/10.1108/JFEP-11-2014-0071
Chen, S., Hwang, T.-C., & Liu, H.-H. (2012). Motivation of risk-taking behavior of banks in different countries : an international perspective. Banks and Bank Systems, 7(2), 116–128.
Chinn, M. D., & Ito, H. (2006). What Matters for Financial Development? Capital Controls, Institutions, and Interactions". Journal of Development Economics, 81(1), 163–192.
Cihák, M., & Schaeck, K. (2010). How well do aggregate prudential ratios identify banking system problems ? Journal of Financial Stability, 6, 130–144. https://doi.org/10.1016/j.jfs.2010.03.001
de Moraes, C. O., Montes, G. C., & Antunes, J. A. P. J. A. P. (2016). How does capital regulation react to monetary policy? New evidence on the risk-taking channel. Economic Modelling, 56, 177–186. https://doi.org/10.1016/j.econmod.2016.03.025
Delis, M. D., & Kouretas, G. P. (2011). Interest rates and bank risk-taking. Journal of Banking and Finance, 35(4), 840–855. https://doi.org/10.1016/j.jbankfin.2010.09.032
Dell’Ariccia, G., Laeven, L., & Marquez, R. (2014). Real interest rates, leverage, and bank risk-taking. Journal of Economic Theory, 149(1), 65–99. https://doi.org/10.1016/j.jet.2013.06.002
Distinguin, I., Roulet, C., & Tarazi, A. (2013). Bank regulatory capital and liquidity : Evidence from US and European publicly traded banks. Journal of Banking and Finance, 37(9), 3295–3317. https://doi.org/10.1016/j.jbankfin.2013.04.027
Dong, Y., Firth, M., Hou, W., & Yang, W. W. (2014). Evaluating the performance of Chinese commercial banks: a comparative analysis of different types of banks. European Journal of Operational Research, 252, 280–295. https://doi.org/10.1016/j.ejor.2015.12.038
Fiador, V. O. (2015). Monetary Policy and Economic Performance - Evidence from Selected African countries. University of Capetown. Retrieved from https://open.uct.ac.za/bitstream/handle/11427/20705/thesis_com_2016_fiador_vera_ogeh_lassey.pdf?sequence=1
Fiador, V. O., & Biekpe, N. (2015). Monetary policy and exchange market pressure- evidene from sub-Saharan Africa. Applied Economics, 47(37), 3921–3937. https://doi.org/10.1080/00036846.2015.1023937
Forssbæck, J. (2011). Ownership structure , market discipline , and banks ’ risk-taking incentives under deposit insurance. Journal of Banking & Finance, 35, 2666–2678. https://doi.org/10.1016/j.jbankfin.2011.02.024
Galí, J., & Monacelli, T. (2005). Monetary policy and exchange rate volatility in a small open economy. Review of Economic Studies, 72(3), 707–734. https://doi.org/10.1111/j.1467-937X.2005.00349.x
Gambacorta, L. (2009). Monetary policy and the risk-taking channel. BIS Quarterly Review, (December), 43–53.
García-Kuhnert, Y., Marchica, M. T., & Mura, R. (2013). Shareholder diversification and bank risk-taking. Journal of Financial Intermediation, 24, 602–635. https://doi.org/10.1016/j.jfi.2015.03.001
Hamza, H., & Saadaoui, Z. (2013). Investment Deposits, Risk-taking and Capital Decisions in Islamic Banks. Studies in Economics and Finance, 30(3), 244–265. https://doi.org/10.1108/SEF-Feb-2012-0016
Iannotta, G., Nocera, G., & Sironi, A. (2007). Ownership structure, risk and performance in the European banking industry. Journal of Banking and Finance, 31(7), 2127–2149. https://doi.org/10.1016/j.jbankfin.2006.07.013
Ioannidou, V., Ongena, S., & Peydró, J. L. (2015). Monetary policy, risk-taking, and pricing: Evidence from a quasi-natural experiment. Review of Finance, 19(1), 95–144. https://doi.org/10.1093/rof/rfu035
Jiménez, G., Lopez, J. A., & Saurina, J. (2013). How does competition affect bank risk-taking? Journal of Financial Stability, 9(2), 185–195. https://doi.org/10.1016/j.jfs.2013.02.004
Jiménez, G., Ongena, S., Peydró, J.-L. L., & Saurina, J. (2008). Hazardous Times for Monetary Policy: What Do Twenty-Three Million Bank Loans Say About The Effects of Monetary Policy on Credit Risk-Taking? Documentos de Trabajo (Vol. 82). https://doi.org/10.3982/ECTA10104
Jokipii, T., & Milne, A. (2011). Bank capital buffer and risk adjustment decisions. Journal of Financial Stability, 7(3), 165–178. https://doi.org/10.1016/j.jfs.2010.02.002
Kar, A. K. (2012). Does capital and financing structure have any relevance to the performance of microfinance institutions? International Review of Applied Economics, 26(3), 329–348. https://doi.org/10.1080/02692171.2011.580267
Kara, A., Özkan, A., & Altunbas, Y. (2016). Securitisation and banking risk: What do we know so far? Review of Behavioural Finance, 8(1), 2–16. https://doi.org/10.1108/RBF-07-2014-0039
Karim, M. Z. A., Chan, S.-G., & Hassan, S. (2010). Bank Efficiency and Non-Performing Loans: Evidence from Malaysia and Singapore. Prague Economic Papers, 19(2), 118–132. https://doi.org/10.18267/j.pep.367
Konishi, M., & Yasuda, Y. (2004). Factors affecting bank risk taking: Evidence from Japan. Journal of Banking & Finance, 28(1), 215–232. https://doi.org/10.1016/S0378-4266(02)00405-3
Kuranchie-Pong, L., Bokpin, G. A., & Andoh, C. (2016). Empirical evidence on disclosure and risk-taking of banks in Ghana. Journal of Financial Regulation and Compliance, 24(2), 197–212.
Laeven, L., & Levine, R. (2009). Bank governance, regulation and risk taking. Journal of Financial Economics, 93(2), 259–275. https://doi.org/10.1016/j.jfineco.2008.09.003
Laeven, L., Ratnovski, L., & Tong, H. (2015). Bank size, capital, and systemic risk: Some international evidence. Journal of Banking & Finance, 69, S25–S34. https://doi.org/10.1016/j.jbankfin.2015.06.022
Laeven, L., & Valencia, F. (2013). Systemic Banking Crises Database. International Monetary Fund, 61(2), 225–270. https://doi.org/10.1057/imfer.2013.12
Luo, Y., Tanna, S., & De Vita, G. (2016). Financial openness, risk and bank efficiency: Cross-country evidence. Journal of Financial Stability, 24, 132–148. https://doi.org/10.1016/j.jfs.2016.05.003
Maddaloni, A., & Peydró, J.-L. (2011). Bank Risk-taking, Securitization, Supervision, and Low Interest Rates: Evidence from the Euro-area and the U.S. Lending Standards. Review of Financial Studies , 24(6), 2121–2165. https://doi.org/10.1093/rfs/hhr015
Matemilola, B. T., Bany-Ariffin, A. N., Etudaiye, F., & Muhtar, F. E. (2015). The impact of monetary policy on bank lending rate in South Africa. Borsa Istanbul Review, 15(1), 53–59. https://doi.org/10.1016/j.bir.2014.09.003
Mensah, C. (2013). The Relationship between Loan Default and Repayment Schedule in Microfinance Institutions in Ghana : A Case Study of Sinapi Aba Trust. Research Journal of Finance and Accounting, 4(19), 165–176.
Ofoeda, I., Abor, J., & Adjasi, C. (2012). The Impact of Capital-Based Regulation on Bank Risk-Taking. Journal of Financial Regulation and Compliance, 8(4), 317–352. https://doi.org/10.1006/jfin.1999.0276
Oima, D., & Ojwang, C. (2013). Market-Based and Bank-Based Financial Structure on Economic Growth in Some Selected Ecowas Countries. International Journal of Education and Research, 1(2), 1–10.
Özşuca, E. A., & Akbostancı, E. (2016). An Empirical Analysis of the Risk-Taking Channel of Monetary Policy in Turkey. Emerging Markets Finance and Trade Journal, 52(3), 589–609. https://doi.org/10.1080/1540496X.2015.1047300
Pathan, S. (2009). Strong boards, CEO power and bank risk-taking. Journal of Banking and Finance, 33(7), 1340–1350. https://doi.org/10.1016/j.jbankfin.2009.02.001
Quartey, P., Afful, M. G., & Afful-Mensah, G. (2014). Financial and Monetary Policies in Ghana: A review of recent Trends. Review of Development Finance, 4(2), 115–125. https://doi.org/10.1016/j.rdf.2014.07.001
Rahman, M. M., Zheng, C., & Ashraf, B. N. (2015). Bank Size , Risk-taking and Capital Regulation in Bangladesh. Eurasian Journal of Business and Economics, 8(15), 95–114. https://doi.org/10.17015/ejbe.2015.015.05
Ren, Y., & Schmit, J. T. (2006). Franchise Value, Competition and Insurer Risk Taking. SSRN Electronic Journal, (July).
Sarkar, S., & Sensarma, R. (2016). The relationship between competition and risk-taking behaviour of Indian banks. Journal of Financial Economic Policy, 8(1), 95–119. https://doi.org/10.1108/JFEP-05-2015-0030
Shahid, F. H. R., Haque, F., & Shahid, R. (2016). Ownership, risk-taking and performance of banks in emerging economies: evidence from India. Journal of Financial Economic Policy, 8(3). https://doi.org/http://dx.doi.org/10.1108/JFEP-09-2015-0054
Stolz, S., & Wedow, M. (2011). Banks’ regulatory capital buffer and the business cycle: Evidence for Germany. Journal of Financial Stability, 7(2), 98–110. https://doi.org/10.1016/j.jfs.2009.09.001
Tabak, B. M., Gomes, G. M. R., & Da Silva Medeiros, M. (2014). The impact of market power at bank level in risk-taking: The Brazilian case. International Review of Financial Analysis, 40, 154–165. https://doi.org/10.1016/j.irfa.2015.05.014
Terraza, V. (2015). The Effect of Bank Size on Risk Ratios: Implications of Banks’ Performance. Procedia Economics and Finance, 30(15), 903–909. https://doi.org/10.1016/S2212-5671(15)01340-4
Zheng, C., Xu, T., & Liang, W. (2012). The empirical research of banks’ capital buffer and risk adjustment decision making: Evidence from China’s banks. China Finance Review International, 2(2), 163–179. https://doi.org/10.1108/20441391211215833
Agoraki, M. E. K., Delis, M. D., & Pasiouras, F. (2011). Regulations, competition and bank risk-taking in transition countries. Journal of Financial Stability, 7(1), 38–48. https://doi.org/10.1016/j.jfs.2009.08.002
Alter, A., & Schüler, Y. S. (2012). Credit spread interdependencies of European states and banks during the financial crisis. Journal of Banking and Finance, 36(12), 3444–3468. https://doi.org/10.1016/j.jbankfin.2012.08.002
Altunbas, Y., Gambacorta, L., & Marques-Ibanez, D. (2010). Bank risk and monetary policy. Journal of Financial Stability, 6(3), 121–129. https://doi.org/10.1016/j.jfs.2009.07.001
Altunbas, Y., Gambacorta, L., & Marques-Ibanez, D. (2012). Do bank characteristics influence the effect of monetary policy on bank risk? Economics Letters, 117(1), 220–222. https://doi.org/10.1016/j.econlet.2012.04.106
Altunbas, Y., Gambacorta, L., & Marques-Ibanez, D. (2014). Does monetary policy affect bank risk? International Journal of Central Banking, 10(1), 95–135. https://doi.org/10.1016/j.jfi.2004.04.002
Angkinand, A., & Wihlborg, C. (2010). Deposit insurance coverage, ownership, and banks’ risk-taking in emerging markets. Journal of International Money and Finance, 29(2), 252–274. https://doi.org/10.1016/j.jimonfin.2009.08.001
Beck, N., & Katz, J. (1995). What to do (and not to do) with Time-Series Cross-Section Data. The American Political Science Review, 89(3), 634–647. Retrieved from http://www.jstor.org/stable/2082979
Bekaert, G., Hoerova, M., & Lo Duca, M. (2013). Risk, uncertainty and monetary policy. Journal of Monetary Economics, 60(7), 771–788. https://doi.org/10.1016/j.jmoneco.2013.06.003
Bhagat, S., Bolton, B., & Lu, J. (2015). Size , leverage , and risk-taking of financial institutions. Journal of Banking and Finance, 59, 520–537. https://doi.org/10.1016/j.jbankfin.2015.06.018
Black, L., Correa, R., Huang, X., & Zhou, H. (2016). The systemic risk of European banks during the financial and sovereign debt crises q. Journal of Banking and Finance (Vol. 63). https://doi.org/10.1016/j.jbankfin.2015.09.007
Brewer, E., & Saidenberg, M. (1996). Franchise value, ownership structure, and risk at savings institutions. Retrieved from http://www.newyorkfed.org/research/staff_reports/research_papers/9632.pdf
Carbó-Valverde, S., Benink, H. A., Berglund, T., & Wihlborg, C. (2015). Regulatory response to the financial crisis in Europe: recent developments ( 2010-2013 ). Journal of Financial Economic Policy, 7(1), 29–50. https://doi.org/10.1108/JFEP-11-2014-0071
Chen, S., Hwang, T.-C., & Liu, H.-H. (2012). Motivation of risk-taking behavior of banks in different countries : an international perspective. Banks and Bank Systems, 7(2), 116–128.
Chinn, M. D., & Ito, H. (2006). What Matters for Financial Development? Capital Controls, Institutions, and Interactions". Journal of Development Economics, 81(1), 163–192.
Cihák, M., & Schaeck, K. (2010). How well do aggregate prudential ratios identify banking system problems ? Journal of Financial Stability, 6, 130–144. https://doi.org/10.1016/j.jfs.2010.03.001
de Moraes, C. O., Montes, G. C., & Antunes, J. A. P. J. A. P. (2016). How does capital regulation react to monetary policy? New evidence on the risk-taking channel. Economic Modelling, 56, 177–186. https://doi.org/10.1016/j.econmod.2016.03.025
Delis, M. D., & Kouretas, G. P. (2011). Interest rates and bank risk-taking. Journal of Banking and Finance, 35(4), 840–855. https://doi.org/10.1016/j.jbankfin.2010.09.032
Dell’Ariccia, G., Laeven, L., & Marquez, R. (2014). Real interest rates, leverage, and bank risk-taking. Journal of Economic Theory, 149(1), 65–99. https://doi.org/10.1016/j.jet.2013.06.002
Distinguin, I., Roulet, C., & Tarazi, A. (2013). Bank regulatory capital and liquidity : Evidence from US and European publicly traded banks. Journal of Banking and Finance, 37(9), 3295–3317. https://doi.org/10.1016/j.jbankfin.2013.04.027
Dong, Y., Firth, M., Hou, W., & Yang, W. W. (2014). Evaluating the performance of Chinese commercial banks: a comparative analysis of different types of banks. European Journal of Operational Research, 252, 280–295. https://doi.org/10.1016/j.ejor.2015.12.038
Fiador, V. O. (2015). Monetary Policy and Economic Performance - Evidence from Selected African countries. University of Capetown. Retrieved from https://open.uct.ac.za/bitstream/handle/11427/20705/thesis_com_2016_fiador_vera_ogeh_lassey.pdf?sequence=1
Fiador, V. O., & Biekpe, N. (2015). Monetary policy and exchange market pressure- evidene from sub-Saharan Africa. Applied Economics, 47(37), 3921–3937. https://doi.org/10.1080/00036846.2015.1023937
Forssbæck, J. (2011). Ownership structure , market discipline , and banks ’ risk-taking incentives under deposit insurance. Journal of Banking & Finance, 35, 2666–2678. https://doi.org/10.1016/j.jbankfin.2011.02.024
Galí, J., & Monacelli, T. (2005). Monetary policy and exchange rate volatility in a small open economy. Review of Economic Studies, 72(3), 707–734. https://doi.org/10.1111/j.1467-937X.2005.00349.x
Gambacorta, L. (2009). Monetary policy and the risk-taking channel. BIS Quarterly Review, (December), 43–53.
García-Kuhnert, Y., Marchica, M. T., & Mura, R. (2013). Shareholder diversification and bank risk-taking. Journal of Financial Intermediation, 24, 602–635. https://doi.org/10.1016/j.jfi.2015.03.001
Hamza, H., & Saadaoui, Z. (2013). Investment Deposits, Risk-taking and Capital Decisions in Islamic Banks. Studies in Economics and Finance, 30(3), 244–265. https://doi.org/10.1108/SEF-Feb-2012-0016
Iannotta, G., Nocera, G., & Sironi, A. (2007). Ownership structure, risk and performance in the European banking industry. Journal of Banking and Finance, 31(7), 2127–2149. https://doi.org/10.1016/j.jbankfin.2006.07.013
Ioannidou, V., Ongena, S., & Peydró, J. L. (2015). Monetary policy, risk-taking, and pricing: Evidence from a quasi-natural experiment. Review of Finance, 19(1), 95–144. https://doi.org/10.1093/rof/rfu035
Jiménez, G., Lopez, J. A., & Saurina, J. (2013). How does competition affect bank risk-taking? Journal of Financial Stability, 9(2), 185–195. https://doi.org/10.1016/j.jfs.2013.02.004
Jiménez, G., Ongena, S., Peydró, J.-L. L., & Saurina, J. (2008). Hazardous Times for Monetary Policy: What Do Twenty-Three Million Bank Loans Say About The Effects of Monetary Policy on Credit Risk-Taking? Documentos de Trabajo (Vol. 82). https://doi.org/10.3982/ECTA10104
Jokipii, T., & Milne, A. (2011). Bank capital buffer and risk adjustment decisions. Journal of Financial Stability, 7(3), 165–178. https://doi.org/10.1016/j.jfs.2010.02.002
Kar, A. K. (2012). Does capital and financing structure have any relevance to the performance of microfinance institutions? International Review of Applied Economics, 26(3), 329–348. https://doi.org/10.1080/02692171.2011.580267
Kara, A., Özkan, A., & Altunbas, Y. (2016). Securitisation and banking risk: What do we know so far? Review of Behavioural Finance, 8(1), 2–16. https://doi.org/10.1108/RBF-07-2014-0039
Karim, M. Z. A., Chan, S.-G., & Hassan, S. (2010). Bank Efficiency and Non-Performing Loans: Evidence from Malaysia and Singapore. Prague Economic Papers, 19(2), 118–132. https://doi.org/10.18267/j.pep.367
Konishi, M., & Yasuda, Y. (2004). Factors affecting bank risk taking: Evidence from Japan. Journal of Banking & Finance, 28(1), 215–232. https://doi.org/10.1016/S0378-4266(02)00405-3
Kuranchie-Pong, L., Bokpin, G. A., & Andoh, C. (2016). Empirical evidence on disclosure and risk-taking of banks in Ghana. Journal of Financial Regulation and Compliance, 24(2), 197–212.
Laeven, L., & Levine, R. (2009). Bank governance, regulation and risk taking. Journal of Financial Economics, 93(2), 259–275. https://doi.org/10.1016/j.jfineco.2008.09.003
Laeven, L., Ratnovski, L., & Tong, H. (2015). Bank size, capital, and systemic risk: Some international evidence. Journal of Banking & Finance, 69, S25–S34. https://doi.org/10.1016/j.jbankfin.2015.06.022
Laeven, L., & Valencia, F. (2013). Systemic Banking Crises Database. International Monetary Fund, 61(2), 225–270. https://doi.org/10.1057/imfer.2013.12
Luo, Y., Tanna, S., & De Vita, G. (2016). Financial openness, risk and bank efficiency: Cross-country evidence. Journal of Financial Stability, 24, 132–148. https://doi.org/10.1016/j.jfs.2016.05.003
Maddaloni, A., & Peydró, J.-L. (2011). Bank Risk-taking, Securitization, Supervision, and Low Interest Rates: Evidence from the Euro-area and the U.S. Lending Standards. Review of Financial Studies , 24(6), 2121–2165. https://doi.org/10.1093/rfs/hhr015
Matemilola, B. T., Bany-Ariffin, A. N., Etudaiye, F., & Muhtar, F. E. (2015). The impact of monetary policy on bank lending rate in South Africa. Borsa Istanbul Review, 15(1), 53–59. https://doi.org/10.1016/j.bir.2014.09.003
Mensah, C. (2013). The Relationship between Loan Default and Repayment Schedule in Microfinance Institutions in Ghana : A Case Study of Sinapi Aba Trust. Research Journal of Finance and Accounting, 4(19), 165–176.
Ofoeda, I., Abor, J., & Adjasi, C. (2012). The Impact of Capital-Based Regulation on Bank Risk-Taking. Journal of Financial Regulation and Compliance, 8(4), 317–352. https://doi.org/10.1006/jfin.1999.0276
Oima, D., & Ojwang, C. (2013). Market-Based and Bank-Based Financial Structure on Economic Growth in Some Selected Ecowas Countries. International Journal of Education and Research, 1(2), 1–10.
Özşuca, E. A., & Akbostancı, E. (2016). An Empirical Analysis of the Risk-Taking Channel of Monetary Policy in Turkey. Emerging Markets Finance and Trade Journal, 52(3), 589–609. https://doi.org/10.1080/1540496X.2015.1047300
Pathan, S. (2009). Strong boards, CEO power and bank risk-taking. Journal of Banking and Finance, 33(7), 1340–1350. https://doi.org/10.1016/j.jbankfin.2009.02.001
Quartey, P., Afful, M. G., & Afful-Mensah, G. (2014). Financial and Monetary Policies in Ghana: A review of recent Trends. Review of Development Finance, 4(2), 115–125. https://doi.org/10.1016/j.rdf.2014.07.001
Rahman, M. M., Zheng, C., & Ashraf, B. N. (2015). Bank Size , Risk-taking and Capital Regulation in Bangladesh. Eurasian Journal of Business and Economics, 8(15), 95–114. https://doi.org/10.17015/ejbe.2015.015.05
Ren, Y., & Schmit, J. T. (2006). Franchise Value, Competition and Insurer Risk Taking. SSRN Electronic Journal, (July).
Sarkar, S., & Sensarma, R. (2016). The relationship between competition and risk-taking behaviour of Indian banks. Journal of Financial Economic Policy, 8(1), 95–119. https://doi.org/10.1108/JFEP-05-2015-0030
Shahid, F. H. R., Haque, F., & Shahid, R. (2016). Ownership, risk-taking and performance of banks in emerging economies: evidence from India. Journal of Financial Economic Policy, 8(3). https://doi.org/http://dx.doi.org/10.1108/JFEP-09-2015-0054
Stolz, S., & Wedow, M. (2011). Banks’ regulatory capital buffer and the business cycle: Evidence for Germany. Journal of Financial Stability, 7(2), 98–110. https://doi.org/10.1016/j.jfs.2009.09.001
Tabak, B. M., Gomes, G. M. R., & Da Silva Medeiros, M. (2014). The impact of market power at bank level in risk-taking: The Brazilian case. International Review of Financial Analysis, 40, 154–165. https://doi.org/10.1016/j.irfa.2015.05.014
Terraza, V. (2015). The Effect of Bank Size on Risk Ratios: Implications of Banks’ Performance. Procedia Economics and Finance, 30(15), 903–909. https://doi.org/10.1016/S2212-5671(15)01340-4
Zheng, C., Xu, T., & Liang, W. (2012). The empirical research of banks’ capital buffer and risk adjustment decision making: Evidence from China’s banks. China Finance Review International, 2(2), 163–179. https://doi.org/10.1108/20441391211215833
Published
2021/04/08
Section
Original Scientific Paper
