IDEAS home Printed from
MyIDEAS: Log in (now much improved!) to save this article

Assessing the effects of the Asian financial crisis on banking performance in Southeast Asia

Listed author(s):
  • Catarina Figueira
  • Panagiotis Andrikopoulos
  • Ho Yan Tsang

This study examines whether domestic banks perform better than their foreign-owned counterparts, by examining the banking system across eight Southeast Asian countries for the period 1994–2005. According to our results, banks' performance worsened in the post-Asian crisis period. The higher non-performing loan to total assets ratio is a sign of higher risk and is negatively associated with bank profits. Our results also suggest that multinational banks, possessing global advantage, are more cost efficient than domestic banks in developed countries, while the reverse seems to occur in developing countries. This home-field advantage pattern appears to be stable over time, while that for global advantage has changed: no such advantage was reported after the recovery from the financial crisis. As a result, the significant improvement in efficiency of state-owned and domestic banks may be due to the implementation of bank restructuring programmes and governments' financial support, following the 1997 financial crisis.

If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.

File URL:
Download Restriction: Access to full text is restricted to subscribers.

As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.

Article provided by Inderscience Enterprises Ltd in its journal Int. J. of Financial Services Management.

Volume (Year): 4 (2010)
Issue (Month): 4 ()
Pages: 338-360

in new window

Handle: RePEc:ids:ijfsmg:v:4:y:2010:i:4:p:338-360
Contact details of provider: Web page:

No references listed on IDEAS
You can help add them by filling out this form.

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

When requesting a correction, please mention this item's handle: RePEc:ids:ijfsmg:v:4:y:2010:i:4:p:338-360. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Darren Simpson)

If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

If references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

Please note that corrections may take a couple of weeks to filter through the various RePEc services.

This information is provided to you by IDEAS at the Research Division of the Federal Reserve Bank of St. Louis using RePEc data.