Banking concentration and developments in FYROM: A country in transition

Nikolas Hourvouliades and Ljupco Davcev

Cogent Economics & Finance, 2014, vol. 2, issue 1, 1-12

Abstract: The Former Yugoslav Republic of Macedonia (FYROM) belongs to the transition economies that have witnessed significant structural changes in their domestic markets during the 2000s. We examine the evolution of the banking competition from 2003 until 2011, covering the first period of economic growth followed by the acute financial crisis that still threatens European countries. We apply the Herfindahl-Hirschman index and the CR3 and CR5 indicators in order to estimate banking concentration on five industry variables. Our findings show that the market has been persistently operating under oligopolistic, if not monopolistic, conditions where the leading three or five institutions dominate the market. Foreign newcomers and legislative developments have not changed the situation during the past 10 years and bank customers seem to keep their preferences unaffected, staying loyal to their prior choices. We analyze the banking sector profitability since 2008 and during the economic crisis, as well as the operational performance and the future trends concerning this sector.

Date: 2014
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
http://hdl.handle.net/10.1080/23322039.2014.895395 (text/html)
Access to full text is restricted to subscribers.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:taf:oaefxx:doi:10.1080/23322039.2014.895395

Ordering information: This journal article can be ordered from
http://www.tandfonline.com/pricing/journal/OAEF20

DOI: 10.1080/23322039.2014.895395

Access Statistics for this article

Cogent Economics & Finance is currently edited by Steve Cook, Caroline Elliott, David McMillan, Duncan Watson and Xibin Zhang

More articles in Cogent Economics & Finance from Taylor & Francis Journals
Bibliographic data for series maintained by Chris Longhurst ().