Overseas Bank Research Articles

The Impact of the COVID-19 Pandemic on Banking Liquidity: A Case Study of Various Bank Types in Indonesia

This study aims to examine the condition of banking liquidity in Indonesia during the COVID-19 pandemic, utilizing linear regression to analyze factors influencing the liquidity of commercial banks in Indonesia from March 2020 to June 2023. The dependent variable used is the Loan Deposit Ratio (LDR), while the independent variables include Capital Adequacy Ratio (CAR), Return on Assets (ROA), Non-Performing Loans (NPL-gross), and Credit Restructuring Ratio to total Credit. The results reveal that CAR has a significant negative effect on the liquidity of Regional Development Banks (BPD), State-Owned Enterprises (BUMN), Private Banks, and Overseas Bank Branch Offices (KCBLN). Conversely, ROA has a positive and significant impact on state-owned banks but is not significant for BPD, private, and KCBLN banks. The NPL ratio does not significantly influence liquidity across all types of banks. Credit Restructuring Ratio negatively affects BPD and positively affects KCBLN, but it does not have a statistically significant effect on State-Owned and Private Banks. This research is unique as it is the first to examine commercial banks in Indonesia during the pandemic, providing valuable insights into the factors affecting bank liquidity during this period. The findings highlight the importance of maintaining adequate capital and profitability to support bank liquidity, especially during economic crises.

Determination of Profitability And Liquidity Analysis of Banking Industry In India

The banking industry has a key function in the public sector, and the majority of people profit from it. It also plays a significant role in global commerce. This study focuses on the financial performance of selected commercial banks, including Bank of Baroda, Bank of India, Bank of Maharashtra, Canara Bank, Central Bank of India, Indian Bank, Indian Overseas Bank, Punjab & Sind Bank, Punjab National Bank, and State Bank of India. Secondary data is acquired from the bank's balance sheets and websites. The following financial ratios were employed in this study: net profit margin, return on assets, return on net worth, and return on long-term funds, current ratio, and quick ratio. To investigate the financial performance of selected banks and organisations that demonstrate strong profitability and liquidity maintenance.

An Analysis of Indian Overseas Bank's Case Study on the Conceptual Framework of Lending Technologies for Financing Small and Medium-sized Businesses

This to examine the Indian Overseas Bank’s credit facilities MSMEs with various financing options available and also examine the constraints in credit facilities. The sample respondents was 90, which comprised of seventy-one manufacturing enterprises and nineteen service enterprise respondents. Statistical tools such as Percentage analysis, Chi-square Test, factor analysis was used to analyse the data. The study revealed that, among manufacturing enterprise and service enterprise respondents, majority (67.60 per cent and 57.89 per cent) were small entrepreneurs. in middle age group (37.78 per cent). About 40 per cent were graduates and 78.89 per cent were sole proprietors. There was a significant association between type of business and age group, form of organization and business experience. 98 per cent of respondents were aware about term loan of which 65.90 per cent availed loan. 91 per cent of the respondents were aware of working capital finance of which 70.73 per cent availed loan. Bank officers (67.77 per cent) were main source of information. The source of finance (64.44 per cent) was IOB loan. They were willing to avail loan amount of Rs. 1-10 lakhs for two years. Maximum respondents repaid 25-50 per cent of loan. Difficulties faced by the customers in availing credit facilities were grouped under seven factors. Top five ranks were given to the statements such as; network of bank branches is not good, no wide range of services, non-availability of timely rehabilitation finance, lack of dissemination of information and lack of MSME loan processing centres at key locations. Majority of the respondents suggested for specialized branches of MSMEs (40 per cent).

See Leong Chye @ Sze Leong Chye v United Overseas Bank (Malaysia) Berhad & Other Appeals: A Forced Marriage of Original Proprietor and Subsequent Chargee

Deferred indefeasibility is one of the most important concepts in the Malaysian Torrens System. Under the doctrine of deferred indefeasibility, when there exist vitiating factors in the immediate transaction, the immediate purchaser will acquire a voidable title in contrast with the subsequent purchaser who will acquire good title or interest if he obtains the title or interest in good faith and with valuable consideration. However, whether a purchaser is immediate or subsequent depends on the construction of section 340 of the National Land Code (Revised 2020). In 2021, the Federal Court laid down the decision of See Leong Chye @ Sze Leong Chye v United Overseas Bank (Malaysia) Berhad & Other Appeals which states that the financial institution which acquired interest from an immediate purchaser was a subsequent purchaser, thereby enjoyed indefeasibility in its charge. However, such an interpretation ran afoul of section 340 of the National Land Code. This article provides a commentary on the case of See Leong Chye in respect of the concept of immediate and subsequent purchasers under the doctrine of deferred indefeasibility.

Financial liberalization and house prices: Evidence from China

I investigate whether financial liberalization can affect house prices. I exploit the 2008 US financial crisis as an exogenous shock that negatively affected foreign banks’ operations in China. Using cross-sectional variation in foreign banks’ establishment and asset value, I document that cities with a higher level of financial openness have more volatile house price movements. I also show that the drops in house price growth rates in 2008 were larger for cities with higher withdrawal or exit rates of overseas banks. I exclude alternative explanations for the negative treatment effect, such as shocks to international trade and local economic conditions in 2008. The evidence suggests a credit supply channel. Further analyses show that the negative effect of financial liberalization on the house price growth rate is more pronounced for more geographically constrained cities.

The Effect of Cash Flow Presentation Method on Investors’ Forecast of Future Cash Flows

The decision usefulness of the direct versus indirect presentation method of a cash flow statement has been a long-standing issue in both practice and accounting research. By capitalizing on comparative advantages of experimental methods, we provide insights into how investors process the information contained in different presentation methods to make cash flow forecasts, especially in the context of various types of nonrecurring items. We predict and find that, when nonrecurring accrued expenses are present, the indirect method leads to lower forecast errors by activating investors’ underlying knowledge structures of operating cash flows in terms of an accrual (versus cash) basis. We also find that, in the presence of nonrecurring cash or nonrecurring accrued revenues, there is no difference in forecast errors between the indirect and direct methods. Moreover, we find that the combination of the direct and indirect methods (the direct-plus-indirect method) leads to lower forecast errors than the direct method, but it does not provide an incremental benefit for forecast accuracy beyond the indirect method. This paper was accepted by Brian Bushee, accounting. Funding: The authors acknowledge financial support from Chulalongkorn Business School, Korea University Business School, and the United Overseas Bank Endowment Fund. Supplemental Material: The e-companion and data are available at https://doi.org/10.1287/mnsc.2022.4406 .

Satisfaction Level of Customers in Demographic Variables in Public Sector Banks

The aim of our study is to look at the impact of various demographic parameters on Internet banking service excellence, client value, fulfillment, and trust. Increased competition and the emergence of financial liberalization-driven technology are pushing significant changes in the way Indian banks operate and provide services to their consumers. Banks are rapidly going into a new era of fantastic technological banking in order to ensure functional excellence and improved consumer loyalty. Because using technology to provide banking services costs money and time, it's vital to assess whether technological advancements genuinely improve client satisfaction. The aim of our study is to look at the effect of demographic factors on several determinants of consumer satisfaction in the Indian banking industry, as well as their relationship to service quality, value, and overall performance in electronic banking. In Thiruvananthapuram district, Kerala, India, a customer survey (N=290) of Indian public sector banks such as UDC Bank, Indian Bank, and Indian Overseas Bank gathered the required data. According to the data, consumers with a higher level of education and revenue who utilize Internet banking for a large portion of their financial requirements and have done so for a longer period appear to have a higher level of satisfaction. Customers' evaluations of the efficiency, value, satisfaction, and loyalty component of internet banking service were used to determine gender and age.

Deficiencies in Banking Services and Improvement in Banking Services in Tamil Nadu

Business homes have entered into economic carrier activities. Public zone banks have begun fund trusts and completely different economic carrier subsidiaries. These subsidiaries have brought new merchandise within the market, that has an aggressive side over merchandise of the various banks. Even personal zone and overseas banks have brought trendy services. A financial organisation is an establishment that offers money and credit. For a frequent man, a financial organisation is capable of keeping residents of cash for a business person; it's a bunch of finance and for every day-to-day shopper; it's an installation for his savings. Truly, banks square measure business enterprise corporations promoting financial organisation services. Banks play a vital perform to serve the folks and enhance the national economy of any country. Nowadays, the banking zone acts because of the spine of gift day business. The development of any bank ordinarily depends upon the industry. A financial organisation offers deposits and advances and completely different associated services. There is a huge distinction between male and feminine with relation to the dimension of assurance. There is no right smart distinction between male and feminine with relation to the dimension of responsiveness, charges, facilities and area. There's a massive distinction between male and feminine with relation to the dimension of facilities and data. There is no Brobdingnagian distinction between male and feminine with relation to the dimension of strategy, orientation, empathy, responsiveness, accessibility, area and system. Within the days to return, banks square measure anticipated to play an important perform within the financial improvement and, therefore, the rising market can grant business enterprise and advertising and selling potentialities to harness. As banking in India can return to be additional and additional info supported, capital can emerge because of the greatest property of the industry.

A study on privatization of banks in india

The Banking Regulation Act, 1949 defines “Banking “;as “the means of accepting, for the purpose of lending or investment of deposits of money from the public repayable on demand or otherwise. It also defines “Banking Company” as any company which transaction business. Banking is entirely different and distinctive from any other business institution. It is made up of common man's deposits. The decision to privatize banks is taken after 51 years of independence. The first time the nationalization of banks happened in 1969. The responsibility to select Public Sector Banks to be privatized in the FY2021–22 was given to NITI Aayog. Central Bank and the Indian Overseas Bank are the foremost choices for privatization. The two departments: Department of Financial Services (DFS) and the Department of Investment and Public Asset Management (DIPAM) will scrutinize and decide which bank will be privatized. Finance Minister Mrs. Nirmala Sitharaman said in her 2021–22 Budget Speech that in 2021-22-year the government will privatize two banks. The paper tries to find the reason for the Privatization of banks, why only few banks are going to be privatized, the effect of post-Privatization, challenges in the way of its implementation.

Assets Recovery of Money Laundering Criminal Acts: A Study of Restoring Assets for Money laundring Criminal Acts Related in the Account of Overseas Bank

This research was conducted to investigate the obstacles to asset recovery for the proceeds of money laundering deposited in offshore bank accounts, as mandated in Law Number 8 of 2010. The issues raised in this study are about the relationship between corruption and money laundering. As well as law enforcement in the monetary sector in Indonesia through the criminal approach and Asset Recovery in the Money Laundering case. Based on the research, it was found that the recovery of assets resulting from money laundering that was stored abroad experienced obstacles due to differences in legal concepts (money laundering and assets proceeds from money laundering). The research was conducted through juridical normative methods and data collection. It is concluded that the Asset Recovery approach is more of a deterrent effect for the perpetrators of corruption than punishment. To facilitate the withdrawal of money laundering funds abroad, a bilateral cooperation agreement between the Indonesian and recipient countries of money laundering assets is necessary.

News and Reports: Singapore Business Federation Partners with United Overseas Bank and Keppel Land to Assist Singapore Businesses in Overseas Ventures

News and Reports: Singapore Business Federation Partners with United Overseas Bank and Keppel Land to Assist Singapore Businesses in Overseas Ventures

1930년대 중후반 식민지 조선 금융기구 개편론의 전개와 함의

When the Bank of Joseon withdrew from Manchuria in the mid-1930s, multilateral discussions on the reorganization of financial institutions took place. The discussions largely centered on the policy authorities and related financial institutions, and the authorities agreed on the principle of making the Bank of Joseon the central financial institution in Joseon. However, the Government General of Korea tried to secure supervisory authority over the Bank of Joseon, which was dominated by the Ministry of Finance, and also tried to minimize the reduction of the general banking operations of Joseon Siksan Bank, over which it had the supervisory authority. On the other hand, the Ministry of Finance tried to control colonial finance from the parent state through supervisory authority over the Bank of Joseon, while at the same time attempting to dramatically reduce the role of Joseon Siksan Bank. The administrative authorities were in opposite positions over the control of finance in colonial Joseon.<BR> The Bank of Joseon and Joseon Siksan Bank, which had the closest interest in reorganization, responded actively. First, the Bank of Joseon demanded entry into China as compensation for the loss of its vested interests in Manchuria. The authorities suggested Joseon as compensation for the bank’s withdrawal from Manchuria, but the Bank of Joseon demanded the larger market in China and sought to realize it by establishing an overseas bank called Dong-A Bank. Unlike the conception of the Ministry of Finance or the Japanese Government General of Korea, the Bank of Joseon had no intention to concentrate on Joseon. The Bank of Joseon argued that its concentration on Joseon was very likely to worsen the situation in Joseon and demanded the establishment of a large overseas bank with strong financing and expanded business areas. That is, the Bank of Joseon was not interested in expanding its business in Joseon, but with this opportunity, tried to realize its dream of becoming a huge overseas bank that it had pursued since its foundation.<BR> On the other hand, Joseon Siksan Bank focused on maintaining the vested interests it had enjoyed as a central financial institution in Joseon. In particular, Joseon Siksan Bank criticized that the Ministry of Finance"s attempt to subordinate it to the Bank of Joseon through reorganization was an action that disregarded the reality of Joseon finance. Joseon Siksan Bank pursued unbalanced development with itself as the peak and rationalized it by citing the special circumstances of Joseon.

Digital technology disruption on bank business models

This research investigates the impact of digital technology, via Fin-Tech challenger banks on banks' business models. Fin-Techs are exerting a pervasively disruptive influence on bank business models. Notwithstanding the obvious benefits, analysis in this area from high-income transition economy remains unexplored. The paper exploits this gap via a drop/pick-up survey questionnaire administered on a sample of all 68 UAE-Federation of Bank members. The results indicate that digital technology is transforming the banking ecosystem from classical competitive models to innovative bank-to-Fin-Tech collaborative models, where classical banking is disintermediated into multi-modal, multi-directional and smaller models, generating opportunities never seen before, more so for overseas banks from developed economies. The sample period is short if we consider the frenetic pace of technological change, which may compromise the extension of the results to a wider population. The paper contributes to research on bank models by providing insights on how classical bank models are being transformed.

Digital technology disruption on bank business models

This research investigates the impact of digital technology, via Fin-Tech challenger banks on banks' business models. Fin-Techs are exerting a pervasively disruptive influence on bank business models. Notwithstanding the obvious benefits, analysis in this area from high-income transition economy remains unexplored. The paper exploits this gap via a drop/pick-up survey questionnaire administered on a sample of all 68 UAE-Federation of Bank members. The results indicate that digital technology is transforming the banking ecosystem from classical competitive models to innovative bank-to-Fin-Tech collaborative models, where classical banking is disintermediated into multi-modal, multi-directional and smaller models, generating opportunities never seen before, more so for overseas banks from developed economies. The sample period is short if we consider the frenetic pace of technological change, which may compromise the extension of the results to a wider population. The paper contributes to research on bank models by providing insights on how classical bank models are being transformed.

A Study on Effects of Job Stress of Employees in Indian Overseas Bank, Villupuram District

This article “A study on effects of job stress of employees in Indian Overseas Bank, Villupuram District” focused mainly on employee’s welfare and their main objective is to bring out the mental burden of employees during their work and all my following objectives are given from the original study area. To study the profile of Indian Overseas Bank in Villupuram branch. To analyze the staff stress in Indian Overseas bank in study area. To find out the finding related suggestions and conclusion. Sampling Technique The study was mainly carried out by empirical investigation through the collection of primary data from the employee at Indian overseas bank, Villupuram. There were only 50 employees at Indian overseas bank, Villupuram. Hence, the entire populations were selected as the samples for the study. A limitation of the Study The present study has a few limitations. The following are some of them. Since the study is confined to bank managers and bank staff members onlyit may not apply to other types bank staff members and managers. The findings of the study are based only on the views of the bank managers, other Staff in IOB bank in Villupuram branch at the particular period of study. The findings may not hold good forever. The questions involving the family set up and other personal details, which may have an impact on the stress level of individuals, were omitted in order to limit the size of the study.

A Study On Effectiveness Of Recovery Mechanism Of Npa With Special Reference To Indian Overseas Bank

Banking sector has a major role in determining the economy of the country. Thus by having a high rate of Non Performing Asset the banks fails to raise their profitability which has a direct relation with the countries economic growth. In this study we deal with the different recovery mechanism which is being preferred by the employees of Indian Overseas Bank. The recovering of NPA from the customers which will increase the profitability and also the bank’s credibility. Even though the NPA is high in the commercial bank, bankers are forced to lend to people by RBI. Proper awareness has to be incorporated to customers as well as the managers so that it will help them in recovering the loans at ease of time.

Service Use Behaviors, Factors and Integrated Marketing Communications Strategies Which Affected the Choice of Personal Loan Service of Bank Customers in Thailand

This research was aimed to study service use behaviors in personal loan service of bank customers in Thailand, to analyze factors and integrated marketing communications strategies which affected the choice of personal loan service of bank customers in Thailand. This is a mixed-method research study in which the survey was done with 4000 bank customers who used personal loan service of United Overseas Bank (UOB) and Siam Commercial Bank (SCB) as well as executive panels whereas the qualitative data was collected through interviews with 20 marketing communications staff members of UOB PLC and SCB PLC. The statistical methods were mean score, standard deviation and factor analysis.&#x0D; &#x0D; The survey findings about the behaviors of personal loan service showed that the majority of bank customers have been customers for about 5 years with personal loan credit of between 80,001 and 1,000,000 Baht. They chose to use personal loan service because of the suggestions by bank staff members. The people who influenced their choice the most were themselves. The reason why they chose personal loan service was because the banks had a good image and they were well-known. The average personal loan service behavior was at a high level (=4.31, S.D.=0.53). The results from factor analysis showed that there were 6 independent factors which affected the choice of personal loan service of bank customers in Thailand. The correlations were 0.577-0.981, or at a high level. These 6 factors have the predictive ability of 83.333% and the error is 16.667. The factors could be ranked according to the influence which affected the choice of personal loan service as follows: 1) Marketing through special events, 2) Direct marketing, 3) Sales communications, 4) Sales through staff members, 5) Publicity, 6) Advertisements. The equation for the predictive ability and the indicator is as follows: Y= 0.981(Factor1) + 0.577(Factor 2) + 0.812(Factor 3) + 0.914(Factor 4) + 0.942(Factor 5) + 0.934(Factor 6).&#x0D; &#x0D; The findings from the marketing staff members from those banks through integrated marketing strategies showed that &amp;ldquo;Above the Line&amp;rdquo; strategy was used when the banks put up big boards for outdoor display. However, the banks should have more media such as TV or radio spots to attract the attention of the audience. The banks should support TV programs so that customers want to know more about the banks or the products of the banks and that the banks will get more trust from the customers. Regarding the &amp;ldquo;Below the Line&amp;rdquo; strategy, the banks should set up booths in department stores to give information to customers and to offer gifts to customers who used the service. There should be more promotional activities and the banks should offer a point system so that customers can collect points and redeem points with rewards or services or discounts to the customers. The banks should have skilled and experienced staff members who can tell about personal loan service so that the customers will get the right information. Moreover, the banks should engage in community activities or local and national events such as Loy Krathong Day or New Year Day in order to attract more customers.

Estimating probabilities of default of different firms and the statistical tests

The probability of default (PD) is the essential credit risks in the finance world. It provides an estimate of the likelihood that a borrower will be unable to meet its debt obligations.PurposeThis paper computes the probability of default (PD) of utilizing market-based data which outlines their convenience for monetary reconnaissance. There are numerous models that provide assistance to analyze credit risks, for example, the probability of default, migration risk, and loss gain default. Every one of these models is vital for estimating credit risk, however, the most imperative model is PD, i.e., employed in this paper.Design/methodology/approachIn this paper, the Black-Scholes Model for European Call Option (BSM-CO) is utilized to gauge the PD of the Jammu and Kashmir Bank, Bank of Baroda, Indian Overseas Bank, and Canara Bank. The information has been taken from a term of 5 years on a yearly premise from 2012 to 2016. This paper demonstrates how d2 in Black Scholes displayed help in assessing the PD of the various firms.FindingsThe fundamental findings of this paper are whether there are any mean contrasts between the mean differences of PD between the organizations utilizing ANOVA and the Tukey strategy.

CAMEL Analysis on Performance of ASEAN Public Listed Banks

The study is conducted to measure the performance of public listed banks in five ASEAN countries. This study covers 63 public listed banks from Malaysia, Singapore, Thailand, and the Philippines over the period of 1997 to 2011. The CAMEL analysis which is based on Capital Adequacy, Asset Quality, Management Efficiency, Earning Quality, and Liquidity is employed in this study. The objectives of the study are to measure the performance of public listed banks as well as to compare the performance across countries. The results of the CAMEL analysis show that Singaporean public listed banks are the top performer as compared to their counterparts. Next, the comprehensive results reveal that Public Bank in Malaysia, United Overseas Bank in Singapore, Bank ArthaGraha in Indonesia, Bank of Ayudhya in Thailand and Union Bank of the Philippines are the top performed banks.

Trend of NPAs in public sector Banks: A study of pre and post crisis period

An effort has been made to evaluate the impact of crisis on non-performing assets of Public Sector Banks. Secondary data were used in the present study. The secondary data to non-performing assets from 2001–02 to 2011–12 were collected from various issues of RBI Bulletins. The results mainly indicate that Public Sector Banks have high ratio of nonperforming assets in agriculture Sector due to their primary obligation to lend this sector. The impact of crisis was seen in all Public Sector Banks where the non-performing assets were decreased significantly in the pre-crisis period but was increased at higher rate in Allahabad Bank. The government has realized the importance of management and control of NPAs and in that light introduced legislation through the Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (the SARFAESI Act), to institutionalize the process of creating value for investors in the Non-Performing Asset Portfolios of banks and financial institutions. During the pre-crisis period level of NPAs were low but during post crisis period level of NPAs increase in all public Sector Banks. But the impact of crisis was seen in SBI, SBOP, Central Bank of India, Indian Overseas Bank, Vijaya Bank and PNB. Information collected through field survey and secondary data was also used and analysed with different statistical tools simple regression and step wise multiple regression.