A cross - Border evidence of income diversification, foreign ownership and bank stability

Adyati Pritakinari, Viverita

Research output: Chapter in Book/Report/Conference proceedingConference contributionpeer-review

Abstract

This study aims to investigate the impact of income diversification and foreign ownership on the financial stability of the banks. By employing panel regression technique with random effect of listed banks from 8 Asia Pacific countries throughout 2005-2015, the results suggest that income diversification and foreign ownership influenced the financial stability of banks. This result is consistent with the conventional wisdom that non-traditional income is more stable, and fee-based income will reduce banks' risk. This finding implies that foreign ownership increases financial stability in the Asia Pacific region by reducing risk, which indicates evidence of the global advantage hypothesis.

Original languageEnglish
Title of host publicationProceedings of the 32nd International Business Information Management Association Conference, IBIMA 2018 - Vision 2020
Subtitle of host publicationSustainable Economic Development and Application of Innovation Management from Regional expansion to Global Growth
EditorsKhalid S. Soliman
PublisherInternational Business Information Management Association, IBIMA
Pages3894-3907
Number of pages14
ISBN (Electronic)9780999855119
Publication statusPublished - 1 Jan 2018
Event32nd International Business Information Management Association Conference, IBIMA 2018 - Seville, Spain
Duration: 15 Nov 201816 Nov 2018

Publication series

NameProceedings of the 32nd International Business Information Management Association Conference, IBIMA 2018 - Vision 2020: Sustainable Economic Development and Application of Innovation Management from Regional expansion to Global Growth

Conference

Conference32nd International Business Information Management Association Conference, IBIMA 2018
Country/TerritorySpain
CitySeville
Period15/11/1816/11/18

Keywords

  • Asia Pacific
  • Diversification
  • Financial stability
  • Foreign ownership

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