The effects of bank size and funding liquidity on financial stability: does bank regulation matter? evidence from BRICS
This paper investigates whether the effect of funding liquidity on financial stability changes depending upon bank regulation and bank size, using bank-level data for 254 banks in BRICS over the period 2005-2014. The paper employs the system GMM techniques on dynamic panel analysis. The results show...
| Main Authors: | , |
|---|---|
| Format: | Article |
| Language: | English |
| Published: |
Faculty of Economics and Management, Universiti Putra Malaysia
2018
|
| Online Access: | http://psasir.upm.edu.my/id/eprint/16084/ http://psasir.upm.edu.my/id/eprint/16084/1/3%29%20The%20Effect%20of%20Bank%20Size.pdf |
| _version_ | 1848842861395574784 |
|---|---|
| author | Mahat, Fauziah Dahir, Ahmed Mohamed |
| author_facet | Mahat, Fauziah Dahir, Ahmed Mohamed |
| author_sort | Mahat, Fauziah |
| building | UPM Institutional Repository |
| collection | Online Access |
| description | This paper investigates whether the effect of funding liquidity on financial stability changes depending upon bank regulation and bank size, using bank-level data for 254 banks in BRICS over the period 2005-2014. The paper employs the system GMM techniques on dynamic panel analysis. The results show that the effect of funding liquidity on financial stability is positively and negatively associated with bank regulation and bank size, respectively, suggesting that bank regulation improves the financial stability, while the size hurts the stability. Moreover, the impact of funding liquidity on stability is strongly pronounced following the 2008 crisis. These findings provide further insights about bank regulation and bank size. |
| first_indexed | 2025-11-15T08:05:51Z |
| format | Article |
| id | upm-16084 |
| institution | Universiti Putra Malaysia |
| institution_category | Local University |
| language | English |
| last_indexed | 2025-11-15T08:05:51Z |
| publishDate | 2018 |
| publisher | Faculty of Economics and Management, Universiti Putra Malaysia |
| recordtype | eprints |
| repository_type | Digital Repository |
| spelling | upm-160842019-11-12T06:49:17Z http://psasir.upm.edu.my/id/eprint/16084/ The effects of bank size and funding liquidity on financial stability: does bank regulation matter? evidence from BRICS Mahat, Fauziah Dahir, Ahmed Mohamed This paper investigates whether the effect of funding liquidity on financial stability changes depending upon bank regulation and bank size, using bank-level data for 254 banks in BRICS over the period 2005-2014. The paper employs the system GMM techniques on dynamic panel analysis. The results show that the effect of funding liquidity on financial stability is positively and negatively associated with bank regulation and bank size, respectively, suggesting that bank regulation improves the financial stability, while the size hurts the stability. Moreover, the impact of funding liquidity on stability is strongly pronounced following the 2008 crisis. These findings provide further insights about bank regulation and bank size. Faculty of Economics and Management, Universiti Putra Malaysia 2018 Article PeerReviewed text en http://psasir.upm.edu.my/id/eprint/16084/1/3%29%20The%20Effect%20of%20Bank%20Size.pdf Mahat, Fauziah and Dahir, Ahmed Mohamed (2018) The effects of bank size and funding liquidity on financial stability: does bank regulation matter? evidence from BRICS. International Journal of Economics and Management, 12 (spec. 2). pp. 339-350. ISSN 1823-836X; ESSN: 2600-9390 http://www.ijem.upm.edu.my/vol12_noS2/3)%20The%20Effect%20of%20Bank%20Size.pdf |
| spellingShingle | Mahat, Fauziah Dahir, Ahmed Mohamed The effects of bank size and funding liquidity on financial stability: does bank regulation matter? evidence from BRICS |
| title | The effects of bank size and funding liquidity on financial stability: does bank regulation matter? evidence from BRICS |
| title_full | The effects of bank size and funding liquidity on financial stability: does bank regulation matter? evidence from BRICS |
| title_fullStr | The effects of bank size and funding liquidity on financial stability: does bank regulation matter? evidence from BRICS |
| title_full_unstemmed | The effects of bank size and funding liquidity on financial stability: does bank regulation matter? evidence from BRICS |
| title_short | The effects of bank size and funding liquidity on financial stability: does bank regulation matter? evidence from BRICS |
| title_sort | effects of bank size and funding liquidity on financial stability: does bank regulation matter? evidence from brics |
| url | http://psasir.upm.edu.my/id/eprint/16084/ http://psasir.upm.edu.my/id/eprint/16084/ http://psasir.upm.edu.my/id/eprint/16084/1/3%29%20The%20Effect%20of%20Bank%20Size.pdf |