Search results for "banking"
showing 10 items of 282 documents
Contingent convertible bonds for sovereign debt risk management
2015
We consider convertible bonds that contractually stipulate payment standstill, contingent on a market indicator of a sovereign's creditworthiness breaching a distress threshold. This financial innovation limits ex-ante the likelihood of debt crises and imposes ex-post risk sharing between creditors and the debtor. Drawing from literature on contingent contracts, neglected risks, and bank CoCo, we extend prevailing arguments in favor of sovereign CoCo (S-CoCo). We discuss issues relating to their design: which market trigger, market discipline and sovereign incentives, and errors of false alarms or missed crises, and provide supporting evidence with eurozone data and a simple simulation on t…
Social Network Banking : A Case Study of 100 Leading Global Banks
2018
Social media is widely recognized as a challenging new communication technology in both economic and social contexts. The present article explores how banks have exploited this technology in the range of consumer retail banking services offered by 100 leading global banks on the three major social networking sites (SNS): Facebook, Twitter, and YouTube. Viewing social network (SN) banking as a separate delivery channel and offering a working definition of SN banking, the article shows that banks have been more cautious than other businesses in using SNS. The available services are classified on nine main dimensions: marketing, financial education and advice, information support, customer sup…
Consumers' perceptions of mobile banking continuous usage in Finland and South Africa
2015
This study examines continuous usage behaviour related to mobile banking (m-banking) among consumers living in Finland (FI) and South Africa (ZA). The study investigates three post-adoption behavioural consequences - namely, trust, satisfaction and word of mouth. Using purposeful sampling techniques, we found that trust plays a significant role in promoting continuous usage of m-banking. In general, the respondents reported high levels of trust in m-banking technology and were satisfied with the m-banking application and services. In addition, convenience, user friendliness and speed emerged as the main sub-topics related to satisfaction. In most cases, the convenience of using m-banking do…
Digital Banking in Northern India: The Risks on Customer Satisfaction
2021
The widespread use of digital technologies and the current pandemic (COVID) have fueled the need and call for digital transformation in the banking sector. Although this has various benefits, it is a disruption to the norm to which a bank customer has to become accustomed. This variance means that customers would have to make some changes to their routine. This can constitute risks in terms of maintaining customer satisfaction at previous levels. These risks are associated with customer retention because a service or product needs to be aligned with customer expectations to avoid them switching to other service providers. Moreover, it can also have an effect on reputa- tion. Offering digita…
Consumption values and mobile banking services : understanding the urban-rural dichotomy in a developing economy
2021
PurposeThis study develops a theoretical model of consumption values regarding the technology adoption of mobile banking (m-banking) services, with the financial service sector as the empirical context. This study aims to evaluate whether consumption values influence trust and intention. Furthermore, the authors explore how the consumer type (i.e. urban vs rural) differs in consumption values regarding adopting m-banking services.Design/methodology/approachThe data for this study were gathered from 246 responses collected from individuals living in a country with a developing market, using a survey instrument. The six study hypotheses were tested using partial least squares structural equat…
The cost of equity and exchange listing evidence from the French stock market
1997
We reconsider the behaviour of prices around the period close to the listing on the Marché à Règlement Mensuel (RM). First, an event study based on a sample of 60 firms has been set up to test the existence of the exchange listing effect on the French market. Then we discuss and test the financial reasons which can justify abnormal returns around the announcement day and the day of the listing. We explore four reasons to explain the impact of the stock exchange listings: one is the informative content of the operation which induces an upward revision of the future earnings. Three other hypotheses rely on a decrease in the discount rate originated by less risky cash flows, an increase in tra…
Diversity of human capital attributes and diversity of remunerating systems
2008
08004 - 17 p.; Document de travail de l'IREDU 2008-02; This paper aims at comparing the respective impact of the traditional Human Capital Variables (HCV) and of competences explicitly assessed on employees' remuneration. The data are derived from an original survey conducted in five large banking companies in Portugal. Six hundred clerks were interviewed regarding their individual characteristics (age, gender, education, experience in the labour market, experience in the company). Their respective supervisors were asked to assess their competences using a list of thirty skills. Complementary models are used in this research, relating to earnings and the distribution of profit shares to emp…
EARLY DEVELOPMENT ECONOMICS DEBATES REVISITED
2007
Development economics in its early years created the image of a fierce fight between advocates of contrasting theories or approaches—“balanced growth” vs. “unbalanced growth,” or “program loans” vs. “project loans.” This view has the merit of highlighting such conflicts in great detail; yet, it fails to take into account the reality of development economics as it was practiced in the field. This paper reassesses these old conflicts by complementing the traditional focus on theoretical debates with an emphasis on the practice of development economics.A particularly interesting example is the debate between Albert Hirschman, one of the fathers of the “unbalanced growth” approach, and Lauchlin…
The social costs of bank market power: Evidence from Mexico
2008
This paper estimates the social costs of market power (Harberger's triangle) in the Mexican banking system over the period 1993–2005. It also tests the so-called “quiet life” hypothesis which postulates a negative effect of market power on bank management efficiency. The social cost attributable to market power in 2005 is 0.15% of GDP, while that deriving from the cost (profit) inefficiency of banking management is 0.021% (0.075%) of GDP. The results allow us to reject the quiet life hypothesis in the deposits market. However, market power in the setting of the interest rate on loans has a negative effect on cost efficiency. Journal of Comparative Economics 36 (3) (2008) 467–488.
European Union commitment towards RES market penetration: From the first legislative acts to the publication of the recent guidelines on State aid 20…
2015
Abstract During the last three decades, the European Union (EU) commitment towards the Renewable Energy Sources (RES) market penetration has been very complex, involving several aspects pertaining to the economic and political action of Member States. This paper seeks to overview the historical development of the legislative EU framework, including a description of the main financial programmes established and managed by the EU Directorates General. Moreover, the work will proceed with the picture of some Investment Funds, ad hoc created for RES undertakings, and managed by the European Investment Bank (EIB) in collaboration with the EU or other foreign Bank Institutes. The delicate matter …