Submitted for the degree of Doctor of Business administration: The competitiveness and efficiency of the Vietnamese banking sector in the face of financial liberalisation-Thac si - Tien si - Cao hoc - 1248350 pdf

  • 3 months ago
  • 0 lượt xem
  • 0 bình luận

  • Ít hơn 1 phút để đọc

Giới thiệu

The overall goal of this thesis is to define, measure, estimate and decompose the technical efficiency at bank level (for the main study) and the allocative efficiency at branch level (for the pilot study) of Vietnamese banks during the financial liberalisation period by applying both parametric methods and non-parametric methods (data envelopment analysis, or DEA). The two-stage model DEA method is applied in the thesis for two specific stages of banking business (the production stage and the intermediation stage). Both methods (parametric and non-parametric) are equally and consistently applied for both the pilot study and the main study.

Thông tin tài liệu

Loại file: PDF , dung lượng : 4.50 M, số trang : 232 ,tên 1248350 pdf

Chi tiết

The Competitiveness and Efficiency of the Vietnamese Banking Sector in
the Face of Financial Liberalisation
Pham Chi Quang
Submitted for the degree of Doctor of Business Administration
Heriot-Watt University
Edinburgh Business School
February 2016
The copyright in this thesis is owned by the author. Any quotation from the
thesis or use of any of the information contained in it must acknowledge this
thesis as the source of the quotation or information.
ABSTRACT
This thesis provides empirical evidence of the impact of financial liberalisation on the
competitiveness and efficiency of the Vietnamese banking sector by applying a
combination of non-parametric frontier estimation methods, stochastic frontier methods
and Tobit panel data regression techniques. There have been few studies in Vietnam
linking financial liberalisation to banking sector competitiveness and efficiency. In the
thesis, these parametric and non-parametric methods are applied in a pilot study to
measure the allocative efficiency at branch level of the Vietnam Bank for Agricultural
and Rural Development (VBARD) the largest bank in Vietnam in terms of total assets.
The technical efficiency of the Vietnamese banking sector at bank level is then estimated
using the same methods.
The empirical investigation of the thesis is based on the use of branch-level data and
bank-level data for a sample of more than 50 branches of VBARD across the country
over the period 20042008 and around 40 banks over the period 20022012. Using data
envelopment analysis (DEA) to measure allocative efficiency at branch level and
technical efficiency at bank level and using stochastic frontier analysis (SFA) to estimate
cost and profit efficiency at branch level, the thesis suggests that the contributions of
financial liberalisation to bank efficiency are generally mixed, depending on the measures
of bank efficiency used and the sub-periods taken into account. The thesis presents weak
empirical evidence of the positive impacts of financial liberalisation on efficiency
improvements of the Vietnamese banking sector at both branch and bank level. Banking
efficiency is inconsistently increased over the period of financial liberalisation as the
financial market is more liberated and the size of the banking sector substantially
increased. Hence, industry rationalisation through reconsolidating and restructuring
mergers and acquisitions (M&A) is required. The thesis suggests that both financial
liberalisation and greater competition contribute to lower profit efficiency and higher
costs for banks.
The thesis indicates that the Vietnamese banking system is dominated by large banks and
that the state-owned commercial banks (SOCBs) are more efficient than the joint stock
commercial banks (JSCBs), mainly because of their competitive advantage in terms of
size. Furthermore, Vietnamese banking efficiency at both branch and bank levels is
significantly improved by high levels of capitalisation, larger size and a better labour
i
force, while it is hampered by low loan quality. The findings also suggest that the
northern banks in Vietnam are more efficient than the southern banks.
The empirical evidence of the thesis is also focused on investigating the impact of
financial liberalisation on bank technical efficiency and productivity growth, making use
of a two-step approach consisting of DEA and Tobit panel data regressions. The analysis
conducted across the different location groups (north and south) suggests that the impact
on the technical efficiency of banks is more pronounced in the northern areas than in the
southern areas. Furthermore, the Tobit estimation takes into account bank-specific
differences in terms of total assets, the equitytotal assets ratio, the labourcapital ratio
and the provisioncapital ratio; the evidence suggests that these influences are also
mostly significant under financial liberalisation. As a result, the thesis suggests that
financial liberalisation reinforces an independent impact on the technical efficiency of
banks.
ii

Download

Xem thêm
Thông tin phản hồi của bạn
Hủy bỏ