Title of article
DETERMINANTS OF BANK PROFITABILITY IN A DEVELOPING ECONOMY: EMPIRICAL EVIDENCE FROM THE PHILIPPINES
Author/Authors
Sufian, Fadzlan Universiti Putra Malaysia - Faculty of Economics and Management - Department of Economics, Malaysia , Sufian, Fadzlan Khazanah Nasional Berhad - Khazanah Research and Investment Strategy, Malaysia , Chong, Royfaizal Razali Universiti Putra Malaysia - Faculty of Economics and Management - Department of Economics, Malaysia
From page
91
To page
112
Abstract
The present paper seeks to examine the determinants of Philippines banks profitability during the period 1990–2005. The empirical findings suggest that all the bank-specific determinant variables have a statistically significantly impact on bank profitability. The empirical findings suggest that size, credit risk, and expense preference behaviour are negatively related to banks profitability, while non-interest income and capitalisation have a positive impact. During the period under study, the results suggest that inflation has a negative impact on bank profitability, while the impact of economic growth, money supply, and stock market capitalisation have not significantly explained the variations in the profitability of the Philippines banks.
Keywords
banks , profitability , multivariate regression analysis , Philippines
Journal title
Asian Academy of Management Journal of Accounting and Finance (AAMJAF)
Journal title
Asian Academy of Management Journal of Accounting and Finance (AAMJAF)
Record number
2546625
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