Key determinants of Japanese commercial banks performance
This paper reports how six bank-specific characteristics and several market and macroeconomic factors influence Japan's commercial bank performance in the recent years that cover global crises. The results suggest that net interest margin is an important performance variable. It is negatively c...
| Main Authors: | , , |
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| Format: | Article |
| Language: | English |
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Universiti Putra Malaysia Press
2014
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| Online Access: | http://psasir.upm.edu.my/id/eprint/34320/ http://psasir.upm.edu.my/id/eprint/34320/1/Key%20Determinants%20of%20Japanese%20Commercial%20Banks%20Performance.pdf |
| _version_ | 1848847738791264256 |
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| author | Nasserinia, Ali Syed Mohamed, Mohamed Ariff Cheng, Fan Fah |
| author_facet | Nasserinia, Ali Syed Mohamed, Mohamed Ariff Cheng, Fan Fah |
| author_sort | Nasserinia, Ali |
| building | UPM Institutional Repository |
| collection | Online Access |
| description | This paper reports how six bank-specific characteristics and several market and macroeconomic factors influence Japan's commercial bank performance in the recent years that cover global crises. The results suggest that net interest margin is an important performance variable. It is negatively correlated with credit risk, capital adequacy, while liquidity risk, asset quality, management efficiency have positive influences. The effects of income diversification and size are positive though not significant; so, is bank concentration positive for performance. GDP growth and money supply have negative and significant relationships on performance although their effects are marginal compared with bank-specific variables. The global crisis did have significant effect. To take into account profit persistence, GMM technique was applied and it produced moderate support for earnings persistence and there is good deal of competition. These are findings on Japanese banking. |
| first_indexed | 2025-11-15T09:23:23Z |
| format | Article |
| id | upm-34320 |
| institution | Universiti Putra Malaysia |
| institution_category | Local University |
| language | English |
| last_indexed | 2025-11-15T09:23:23Z |
| publishDate | 2014 |
| publisher | Universiti Putra Malaysia Press |
| recordtype | eprints |
| repository_type | Digital Repository |
| spelling | upm-343202017-05-19T09:06:45Z http://psasir.upm.edu.my/id/eprint/34320/ Key determinants of Japanese commercial banks performance Nasserinia, Ali Syed Mohamed, Mohamed Ariff Cheng, Fan Fah This paper reports how six bank-specific characteristics and several market and macroeconomic factors influence Japan's commercial bank performance in the recent years that cover global crises. The results suggest that net interest margin is an important performance variable. It is negatively correlated with credit risk, capital adequacy, while liquidity risk, asset quality, management efficiency have positive influences. The effects of income diversification and size are positive though not significant; so, is bank concentration positive for performance. GDP growth and money supply have negative and significant relationships on performance although their effects are marginal compared with bank-specific variables. The global crisis did have significant effect. To take into account profit persistence, GMM technique was applied and it produced moderate support for earnings persistence and there is good deal of competition. These are findings on Japanese banking. Universiti Putra Malaysia Press 2014-12 Article PeerReviewed application/pdf en http://psasir.upm.edu.my/id/eprint/34320/1/Key%20Determinants%20of%20Japanese%20Commercial%20Banks%20Performance.pdf Nasserinia, Ali and Syed Mohamed, Mohamed Ariff and Cheng, Fan Fah (2014) Key determinants of Japanese commercial banks performance. Pertanika Journal of Social Sciences & Humanities, 22 (spec. Dec.). pp. 17-38. ISSN 0128-7702; ESSN: 2231-8534 http://www.pertanika.upm.edu.my/Pertanika%20PAPERS/JSSH%20Vol.%2022%20(S)%20Dec.%202014/02%20JSSH%20Vol%2022%20(S)%20Dec%202014_pg17-38%20(JSSH-1203-2014).pdf |
| spellingShingle | Nasserinia, Ali Syed Mohamed, Mohamed Ariff Cheng, Fan Fah Key determinants of Japanese commercial banks performance |
| title | Key determinants of Japanese commercial banks performance |
| title_full | Key determinants of Japanese commercial banks performance |
| title_fullStr | Key determinants of Japanese commercial banks performance |
| title_full_unstemmed | Key determinants of Japanese commercial banks performance |
| title_short | Key determinants of Japanese commercial banks performance |
| title_sort | key determinants of japanese commercial banks performance |
| url | http://psasir.upm.edu.my/id/eprint/34320/ http://psasir.upm.edu.my/id/eprint/34320/ http://psasir.upm.edu.my/id/eprint/34320/1/Key%20Determinants%20of%20Japanese%20Commercial%20Banks%20Performance.pdf |