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A Comparative Study of Banking in China and India, Nonperforming Loans and the Level Playing Field

Daya Shanker, Ikm Mokhtarul Wadud and Harminder Singh ()
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Harminder Singh: Deakin University

No 2008_25, Economics Series from Deakin University, Faculty of Business and Law, School of Accounting, Economics and Finance

Abstract: This paper compares the operative performances of the banking institutions in China and India, taking into account the contentious issue of institutional differences in banking sectors in these two economies, reflected in the generation of non-performing loans. The study also examines the issue of the use of banks to provide countervailable subsidies to exporting organizations. Our results show that the efficiency differences between banks in these two countries can be directly related to their institutional differences.

Keywords: Technical efficiency; Non-performing loans; Subsidies. (search for similar items in EconPapers)
Date: 2008-11-24
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