• The Journal of Asian Finance, Economics and Business
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• 제7권11호
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• pp.707-715
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• 2020

Globalization has led to an increase in foreign banks' penetration. It is argued that the presence of foreign banks may affect the banking sector of the host countries in several ways including their competition level. It is mentioned that the presence of the foreign banks could heightened the level of competition in the banking sector. Nonetheless, the impact of the foreign banks on competition could be influenced by the degree of information sharing in the banking industry. This study investigates the role of information sharing in moderating the impact of foreign bank penetration on host banking sector competition in selected developing countries. We employ panel data samples of 54 developing countries during the period from 1998 to 2016. The estimation is carried out using the two-step system of the Generalized Method of Moments (GMM) regression technique. This technique is adopted due to its robustness to all forms of endogeneity. The findings of this study show that the presence of information sharing could affect the relationship between foreign banks' penetration and competition. They suggest that improvement in information sharing by a host country may help foreign banks to improve monitoring and reduce the moral hazard and adverse selection problem.

• KSII Transactions on Internet and Information Systems (TIIS)
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• 제17권6호
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• pp.1657-1673
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• 2023

With the advancement of information technology, criminals employ multiple cyberspaces to promote cybercrime. To combat cybercrime and cyber dangers, banks and financial institutions use artificial intelligence (AI). AI technologies assist the banking sector to develop and grow in many ways. Transparency and explanation of AI's ability are required to preserve trust. Deep learning protects client behavior and interest data. Deep learning techniques may anticipate cyber-attack behavior, allowing for secure banking transactions. This proposed approach is based on a user-centric design that safeguards people's private data over banking. Here, initially, the attack data can be generated over banking transactions. Routing is done for the configuration of the nodes. Then, the obtained data can be preprocessed for removing the errors. Followed by hierarchical network feature extraction can be used to identify the abnormal features related to the attack. Finally, the user data can be protected and the malicious attack in the transmission route can be identified by using the Wrapper stepwise ResNet classifier. The proposed work outperforms other techniques in terms of attack detection and accuracy, and the findings are depicted in the graphical format by employing the Python tool.

• The Journal of Asian Finance, Economics and Business
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• 제8권3호
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• pp.1083-1094
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• 2021

This paper explores the effect of IFRS on the financial performance of Iraqi commercial banks. It also investigates the value significance of financial performance statements using the Ohlson model, which has been used for the stock value relevance test in a number of studies. Using a sample of 66 listed banks on the Iraq Stock Exchange over three years of IFRS pre-adoption (2011-2013) and three years of IFRS post-adoption (2016-2018), we find financial performance components EPS and BVS value relevant to the stock returns. The findings also indicate that the implementation of IFRS has a major positive effect on the value relevance of the BVS, while the adoption of IFRS does not have a significant impact on the value relevance of the EPS reported by Iraqi banks. Our results indicate that the market value of the bank rises dramatically with enhanced financial performance reporting. In addition, the implementation of IFRS has a major effect on the financial performance measures and the value relevance of financial reporting in the Iraqi banking sector. This paper adds to previous value relevance literature and IFRS by throwing light on the banking sector in a developing country that has recently moved from applying local accounting standards to IFRS.

• KDI Journal of Economic Policy
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• 제44권3호
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• pp.1-26
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• 2022

This paper analyzes the effects of the cut in the legal maximum interest rate (from 27.4% to 24%) that occurred in February of 2018 on loan interest rates, the default rates, and the loan approval rate of borrowers in the non-banking sector. We use the difference-in-difference identification strategy to estimate the effect of the cut in the legal maximum interest rate using micro-level data from a major credit-rating company. The legal maximum rate cut significantly lowers the loan interest rate and default rate of low-credit borrowers (i.e., high-credit-risk borrowers) in the non-banking sector. However, this effect is limited to borrowers who have not been excluded from the market despite the legal maximum interest rate cut. The loan approval rate of low-credit borrowers decreased significantly after the legal maximum interest rate cut. Meanwhile, the loan approval rate of high-credit and medium-credit (i.e., low credit risk and medium credit risk) borrowers increased. This implies that financial institutions in the non-banking sector should reduce the loan supply to low-credit borrowers who are no longer profitable while increasing the loan supply to high- and medium-credit borrowers.

• 아태비즈니스연구
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• 제5권1호
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• pp.1-11
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• 2014

The study provides new empirical evidence on the level of profit efficiency and returns to scale of the Bangladesh banking sector. We employ the Slack-Based Data Envelopment Analysis (SBM-DEA) method to assess the level of profit efficiency of individual banks over the years 2004 to 2011. The empirical findings indicate that the Bangladesh banking sector has exhibited the highest and lowest level of profit efficiency during years 2004 and 2011 respectively. We find that only eight banks have been profit efficient throughout the period under study. The empirical findings seem to suggest that most of the Bangladesh banks have been experiencing economies of scale due to being at less than the optimum size, or diseconomies of scale due to being at more than the optimum size. Thus, decreasing or increasing the scale of production could result in cost savings or efficiencies.

• The Journal of Asian Finance, Economics and Business
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• 제8권1호
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• pp.573-585
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• 2021

The banking sector is one of the most important sectors in Pakistan's struggling economy. Recent studies have recommended that suitable methods can be applied to predict bankruptcy. In this context, this work analyzes Pakistan's banking sector's financial status through the five-factor Altman Z-score model, which determines the probability of bankruptcy for an organization. Banking data has been collected through the Pakistan Stock Exchange (PSX) in the period 2013-2017. The Z-score assessment criteria is defined as: Z> 2.99 - "safe" zone; Z> 1.8 Z>2.98- "grey" zone; and Z <1.8 - "distress" zone. Results show good predictions for the local banking industry, while most foreign Pakistani banks were found bankrupt with the Z-score below 1.1. One of the financial risks investors face when investing in any company is the risk of bankruptcy. One of the most used models for predicting financial distress for any company is Altman's Z-score model. On the other hand, the Z-score analysis suggests that all banking establishments are not bankrupt because they have sufficient ability to control bankruptcy. At the same time, foreign banks failed financially and would not be able to be sustained in the future because they do not have the ability to pay the short-term and long-term debt.

• Safety and Health at Work
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• 제13권2호
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• pp.220-226
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• 2022

Background: Research on the impact of psychosocial risks on well-being at work remains scarce in low- and middle-income countries, especially in the banking sector. This study sought to examine the relationships between job demands, job resources, well-being, job satisfaction, and work engagement in the Zimbabwean banking sector. Methods: An online survey was administered to 259 employees from five banks. Hierarchical multiple regression tested the relationships between job demands (quantitative demands, emotional demands, work pace, and work-family conflict), job resources (possibilities for development, social support from colleagues and supervisors, quality of leadership, and influence at work), well-being, work engagement, and job satisfaction. Interactions between all variables were tested. Results: Job demands were negatively related to well-being, work engagement, and job satisfaction. Job resources had positive relationships with the same. Work pace had positive relationships with well-being and work engagement. Influence at work moderated the relationship between emotional demands and work pace with well-being. Possibilities for development moderated the relationship between work-family conflict and well-being. Work-family conflict moderated the relationship between social support from colleagues and job satisfaction. Emotional demands, work pace, and quantitative demands moderated the relationship between influence at work with job satisfaction and work engagement. Conclusion: Job demands should be reduced where possible in order to enhance employee well-being, work engagement, and job satisfaction. The job resources that should be availed to facilitate a positive psychosocial work environment in the banking sector include social support from supervisors, influence at work, and possibilities for development.

• 동아시아경상학회지
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• 제4권4호
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• pp.8-20
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• 2016

Banks are the engines that drive the operations in financial sector, money markets and growth of economy. With growing banking industry in India, frauds in Banks are increasing and fraudsters are becoming more sophisticated and ingenious. Shockingly, banking industry in India dubs rising fraud as "an inevitable cost of doing business." As part of study, a questionnaire-based survey was conducted in 2012-13 among 345 Bank employees "to know their perception towards bank frauds and evaluate factors that influence the degree of their compliance level." The study reveals, "there are poor employment practices and lack of effective employee training; usually over-burdened staff, weak internal control systems, and low compliance levels on the part of Bank Managers, Offices and Clerks. Although banks cannot be 100% secure against unknown threats, a certain level of preparedness can go a long way in countering fraud risk. Internal audit professionals should play an integral role in organization's fraud-fighting efforts. Some other promising steps are: educate customers about fraud prevention, make application of laws more stringent, leverage the power of data analysis technologies, follow fraud mitigation best practices, and employ multipoint scrutiny.

• 한국정보시스템학회지:정보시스템연구
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• 제13권2호
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• pp.89-117
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• 2004

Mobile technologies and services have become one of the inevitable parts of people's lives and mobile businesses have also been widespread. Popular mobile internet services through cell phones have made people in the financial industry consider that 'mobile' is promising. Nevertheless, there have been little studies of mobile services in the financial industry and most of the studies have been concentrated on internet services. The main purpose of this study is to investigate on the determinants of intention to use mobile banking. To achieve the goal, based on the theoretical backgrounds of the Technology Acceptance Model(TAM). Survey questionnaires were distributed via post & email to 500 users who have been experiences with cell phone and have an account. Out of 291 responded questionnaires, 275 data sets were available for statistical analysis with SPSS 10.1. Research hypotheses are analyzed by LISREL 8.30. Factor analysis identified seven external factors : (1) convenience, (2) cost, (3) unusefulness, (4) riskiness, (5) personal innovativeness (6) users' self-efficacy (7) experience of mobile services. Results of this study show that convenience, unusefulness, riskiness, personal innovativeness and experience of mobile services have significant effects on intention to use mobile banking . Much of the previous researches have dealt with service provider only and have focused on mobile internet. In this regard, when it comes to a viewpoint that regards the mobile banking sector as a new sector of mobile businesses. This study may provide a guideline to activate of mobile banking acceptance.

• The Journal of Asian Finance, Economics and Business
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• 제8권3호
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• pp.1171-1180
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• 2021

This study aims to investigate the impact of the multimarket contract on risk-adjusted profitability. Risk-adjusted profitability is measured in terms of risk-adjusted return on assets. This study employs dynamic panel data of 27 commercial banks in Vietnam using the GMM estimator to test the multimarket contact hypothesis in the Vietnamese banking sector. The results show that there is a negative impact of multimarket contact on the profitability of banks. Multimarket contact, deposit to asset ratio, non-interest income to total income, GDP growth rate, Worldwide Governance Indicator (WGI), and operating cost to assets are the major determinants of risk-adjusted profitability of commercial banks. Our main findings show that Vietnamese banks' focus to increase the multimarket contact may lead to lower profitability and there is evidence that supports theory predictions, since the average number of contacts among banks, bank size, and capitalization are positively related to risk-adjusted profitability. The study has policy implications for commercial banks in that they should not only focus on interest as a source of income and diversify their income source from non-interest income as well since it helps to improve risk-adjusted profitability for them.