Cost-efficiency and bank profitability during health crisis

Daniel Taylor, Bernard Sarpong and Eunice Yaa Cudjoe ()
Additional contact information
Daniel Taylor: CleRMa - Clermont Recherche Management - ESC Clermont-Ferrand - École Supérieure de Commerce (ESC) - Clermont-Ferrand - UCA - Université Clermont Auvergne
Bernard Sarpong: GRIPS - National Graduate Institute for Policy Studies (GRIPS), Tokyo, Japan
Eunice Yaa Cudjoe: MAGELLAN - Laboratoire de Recherche Magellan - UJML - Université Jean Moulin - Lyon 3 - Université de Lyon - Institut d'Administration des Entreprises (IAE) - Lyon

Post-Print from HAL

Abstract: This paper examines the impact of cost-efficiency on bank profitability in the context of the Covid-19 pandemic using quarterly data from a panel of banks operating in five (5) Sub-Saharan African countries. The findings show that cost-efficient banks are more profitable amid the pandemic. Additionally, we found that revenue diversification is associated with strong financial performance. Our findings contribute to literature by proposing the adoption of aggressive cost control and revenue diversification strategies by the management of banks to ensure sustainable and resilient financial performance in times of crises when interest incomes are sticky.

Keywords: Earnings management; Covid-19 crisis; Banks; Reporting quality; Governance; Europe (search for similar items in EconPapers)
Date: 2024
References: Add references at CitEc
Citations:

Published in Applied Economics Letters, 2024, 31 (8), pp.732-737. ⟨10.1080/13504851.2022.2146644⟩

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

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:hal:journl:hal-03891471

DOI: 10.1080/13504851.2022.2146644

Access Statistics for this paper

More papers in Post-Print from HAL
Bibliographic data for series maintained by CCSD ().