Banking in transition economies: Does foreign ownership enhance profitability?

I. Naaborg, B.W. Lensink*

*Bijbehorende auteur voor dit werk

OnderzoeksoutputAcademicpeer review

13 Citaten (Scopus)

Samenvatting

This paper studies the relationship between foreign ownership and bank performance. A cross-section of 216 banks in transition economies in Central and Eastern Europe and Central Asia is used. In the analyses a continuous foreign ownership variable is applied. The results are checked by using a foreign ownership dummy variable. A negative relationship is found between foreign ownership and banks' interest revenues and profitability, although overhead costs are negatively related to foreign bank ownership as well. The results are independent of countries' GDP per capita and concentration in the banking sector. Evidence is presented for the existence of a home field advantage for domestic banks.

Originele taal-2English
Pagina's (van-tot)545-562
Aantal pagina's18
TijdschriftEuropean Journal of Finance
Volume14
Nummer van het tijdschrift7
DOI's
StatusPublished - 2008
EvenementFinance for Growth and Poverty Reduction - Experience and Policy Conference -
Duur: 10-apr-200212-apr-2002

Citeer dit