Session
Management, Business and Economics
Description
Recently, movements in the financial markets have demonstrated that management of net interest margin (NIM) is important for the well functioning of the financial sector in general and banking sector in particular. In this regard, net interest margin (NIM) accepted as the main indicator of financing balance and profitability of the banking sector and hence its stability and improved capacity for financing of sustainable real economic growth. According to literature, asset, liability and equity structure, non-interest income such as fees & commission, market concentration and efficiency, quality of management and some economic variables have been considered as factors affecting the NIM. This paper mainly investigates the relationship of NIM of the selected banking groups in Turkey with the macroeconomic, market and banking sector specific variables. It has also been identified whether the ownership affect the reaction of the NIM to explanatory variables.
Keywords:
Interest Margin in Turkey, Interest Rate Risk, NIM and Resilience.
Proceedings Editor
Edmond Hajrizi
ISBN
978-9951-550-47-5
Location
UBT Kampus, Lipjan
Start Date
30-10-2021 12:00 AM
End Date
30-10-2021 12:00 AM
DOI
10.33107/ubt-ic.2021.537
Recommended Citation
Unal, Halit Targan and Ozdemir, Neslihan, "Net Interest Margin [NIM] in Turkish Financial Sector" (2021). UBT International Conference. 561.
https://knowledgecenter.ubt-uni.net/conference/2021UBTIC/all-events/561
Included in
Net Interest Margin [NIM] in Turkish Financial Sector
UBT Kampus, Lipjan
Recently, movements in the financial markets have demonstrated that management of net interest margin (NIM) is important for the well functioning of the financial sector in general and banking sector in particular. In this regard, net interest margin (NIM) accepted as the main indicator of financing balance and profitability of the banking sector and hence its stability and improved capacity for financing of sustainable real economic growth. According to literature, asset, liability and equity structure, non-interest income such as fees & commission, market concentration and efficiency, quality of management and some economic variables have been considered as factors affecting the NIM. This paper mainly investigates the relationship of NIM of the selected banking groups in Turkey with the macroeconomic, market and banking sector specific variables. It has also been identified whether the ownership affect the reaction of the NIM to explanatory variables.