Capital structure and dynamic performance : evidence from ASEAN-5 banks

Date

2019

Journal Title

Journal ISSN

Volume Title

Publisher

World Scientific Publishing Co. Pte Ltd

Abstract

In today's dynamic economy, banks should focus on improving their dynamic performance to stay competitive. Using a dataset for the period 2007-2013, this paper evaluates the dynamic performance of ASEAN-5 banks through a data envelopment analysis (DEA) model, called the dynamic slacks-based measure (DSBM) model. The DEA results indicate that banks in Malaysia perform better than those in Singapore, Thailand, Indonesia and the Philippines. Frontier projections through DEA indicate that banks in the ASEAN-5 countries underutilize their long-term assets, resulting in inefficiencies. Furthermore, this study finds that capital structure as a whole is positively related to bank performance. © 2019 World Scientific Publishing Company.

Description

Full text of this article is available in CUD LRC electronic resources at:: https://search-ebscohost-com.ezp.cud.ac.ae/login.aspx?direct=true&db=bth&AN=136663038&site=bsi-live

Keywords

Bank performance, Capital structure, Data envelopment analysis, Dynamic slacks-based measure, OR in banking, ASEAN, Banking, Capital market, Data set, Performance assessment, Indonesia, Malaysia, Singapore [Southeast Asia], Thailand

Citation

Nourani, M., Ting, I. W. K., Lu, W.-M., & Kweh, Q. L. (2019). Capital structure and dynamic performance: Evidence from ASEAN-5 banks. Singapore Economic Review, 64(3), 495–516. https://doi.org/10.1142/S021759081650034X

DOI