Analyzing the determinants of bank performance in Malaysia / Nurdiana Amira Muhidin

The purpose of this study is to investigate the determinants of bank performance in Malaysia. This research paper covered for period 2007 to 2016 among top brand bank in Malaysia using panel data method. The internal determinants are taken from partial of CAMEL framework while external determinants...

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Bibliographic Details
Main Author: Muhidin, Nurdiana Amira
Format: Thesis
Language:English
Published: 2017
Subjects:
Online Access:https://ir.uitm.edu.my/id/eprint/53155/1/53155.pdf
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Summary:The purpose of this study is to investigate the determinants of bank performance in Malaysia. This research paper covered for period 2007 to 2016 among top brand bank in Malaysia using panel data method. The internal determinants are taken from partial of CAMEL framework while external determinants taken from macroeconomics variables. In addition, this study made use of several diagnostic tests, such as normality of errors, covariance analysis, multiple regression and descriptive analysis. The findings suggest that there are exist a positive relationship between capital adequacy, asset quality and GDP while inflation rate having negative relationship with ROA. The study recommends due to the fast and furious revolution in banking industry, banks need to always monitor their health using the efficient tools that cater with current condition of banking industry. Research and study need to be further in order to ensure the risk exposed to bank performance is determined. In other hand, Central bank and government need to always monitor and maintain the stability of banking sector as possible as their stability will effecting entire economy and financial market as a whole.