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Research Paper | Accounting | Volume 9 Issue 2, February 2020 | Pages: 1167 - 1176 | Turkiye
The Effect of Corporate Governance, risk Management on the Performance of Banks in Turkey
Abstract: It is widely believed that banks are the backbone of the economy and the financial sector of any country. The stability and growth of any economy depends largely on the stability of its banking sector. So this study aims to contribute by declare the variables that affect performance of banks in turkey. The study included two independent variables corporate governance (CC) and risk management (RM), and one dependent variable is performance (P). In the study the proxy variable selected is two ratio to represent each variable. CC represented by capital adequacy ratio (ACC) and equity to total assets ratio (BCC), RM represented with liquidity ratio; proportion of liquid assets to total assets (ARM) and proportion of liquid assets to short-term liabilities (BRM),. performance measured by return on assets (AP). These ratios selected based on revision the literature review and availability from secondary published data from banks association of turkey and participation banks association of turkey web sites. Three participation (Islamic) banks and twelve deposit banks are included. STATA application is used by applying ordinary least square OLS analysis in order to find out the correlation among these ratios selected. Panel data for eighth years from 2010 to 2017 are used. The (pooled) OLS is a pooled linear regression without fixed and/or random effects. It assumes a constant intercept and slopes regardless of group and time period. This pooled OLS model fits the data well at the.05 significance level (F=17.31 and p
Keywords: corporate governance, risk management, bank performance in turkey
How to Cite?: Adnan M. Alrujoubi, Dr. H. Kamil Buyukmirza, "The Effect of Corporate Governance, risk Management on the Performance of Banks in Turkey", Volume 9 Issue 2, February 2020, International Journal of Science and Research (IJSR), Pages: 1167-1176, https://www.ijsr.net/getabstract.php?paperid=ART20204491, DOI: https://dx.doi.org/10.21275/ART20204491