Regulation, institutional quality, and stability of the banking system in West African Economic and Monetary Union

被引:2
|
作者
Sodokin, Koffi [1 ,2 ]
Egbeleo, Essowaba [1 ]
Kuessi, Richard [1 ]
Couchoro, Mawuli Kodjovi [1 ]
Agbodji, Akoete Ega [1 ]
机构
[1] Univ Lome, Res Ctr Appl Econ & Management Org CREAMO, Dept Econ, Lome, Togo
[2] Univ Lome, Dept Econ, Appl Econ & Management Org CREAMO, Lome 1515, Togo
来源
COGENT ECONOMICS & FINANCE | 2023年 / 11卷 / 02期
关键词
banking regulation and supervision; institutional quality; banking risk management; G38; G21; L51; O16; RISK-TAKING; CAPITAL REGULATION; EMPIRICAL-EVIDENCE; FINANCIAL STABILITY; PANEL-DATA; COMPETITION; DETERMINANTS; CRISES; SUPERVISION; PERFORMANCE;
D O I
10.1080/23322039.2023.2256127
中图分类号
F [经济];
学科分类号
02 ;
摘要
This study investigates the relationship between prudential regulation and banking risk in the West African Economic and Monetary Union contingent on institutional quality. The empirical analysis employed panel data from 63 banks spanning 2006-2019. The key findings reveal that stringent banking regulations and supervision enhance banks' stability. Capital regulations, activity restrictions, and supervisory authorities reduce the risk of bank insolvency. The results suggest that a favorable institutional climate promotes rigorous enforcement of regulatory standards and robust supervision, thereby amplifying their efficacy. Overall, this study concludes that prudential policies exhibit risk-mitigating effects in West African Economic and Monetary Union countries conditional on sound institutional frameworks.
引用
收藏
页数:22
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