Economics at your fingertips  

The impact of soft information and institutional quality on foreign bank efficiency – Evidence from ASEAN-5 countries

Sok-Gee Chan, Bora Aktan, Bruce Burton and Eric H.Y. Koh

International Review of Economics & Finance, 2021, vol. 74, issue C, 23-32

Abstract: This paper provides evidence regarding the impact of soft information on foreign bank efficiency in the ASEAN-5 market in the years following the Asian crisis. The analysis presented here develops previous literature by disaggregating soft information into five difference types and examining whether institutional quality (proxied for by host-country economic risk stability index) mitigates the impact. Using a three-stage estimation process we find that soft information does indeed affect foreign banks’ efficiencies in an identifiable manner, but host-country institutional quality acts so as to significantly lessen the effect.

Keywords: Foreign bank efficiency; Soft information; Institutional quality; ASEAN-5; Data envelopment analysis; Generalized method of moments (search for similar items in EconPapers)
JEL-codes: G15 G21 G34 (search for similar items in EconPapers)
Date: 2021
References: View references in EconPapers View complete reference list from CitEc
Citations: Track citations by RSS feed

Downloads: (external link)
Full text for ScienceDirect subscribers only

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:

DOI: 10.1016/j.iref.2021.01.017

Access Statistics for this article

International Review of Economics & Finance is currently edited by H. Beladi and C. Chen

More articles in International Review of Economics & Finance from Elsevier
Bibliographic data for series maintained by Catherine Liu ().

Page updated 2024-02-18
Handle: RePEc:eee:reveco:v:74:y:2021:i:c:p:23-32