THE IMPACT OF CAPITAL STRUCTURE ON BANK PERFORMANCE IN TURKIYE

Öz

The aim of this study is to examine the impact of capital structure on Turkish banking performance by using panel regression model for the period between 2012 and 2023. The ratio of return on assets (ROA) and return on equity (ROE) are used as a dependent variable which are one of the important indicators of the banking performance. There are 9 bank-spesific and 2 macroeconomic (inflation and economic growth) independent variables in the analysis. Panel data analysis results reveal that the capital structure [Debt ratio (DTA) and Debt to equity ratio (DTE)] negatively impacts business performance (ROA) of Turkish private deposit banks. The financial performance, which is measured by ROA, is significantly and negatively associated with variables such as Non-Performing loan ratio (NPL), credit risk (CIR) and cost management (OA), whereas effect of bank size (BS), economic growt (GDP) and inflation (INF) have positive impact. On the other hand, the effects of DTA, DTE, BS, NPL, CIR, OA and GDP on ROE are significant. Besides, the effects of DTA, BS and GDP are positive, whereas the effect of DTE, NPL, CIR and OA are negative. The study concludes that the capital structure proxies have impact on financial performance of Turkish private deposit banks measured both by return on assets and return on equity.

Anahtar Kelimeler

• Capital structure
• Bank profitability
• Banking performance
• Bank capital
• Leverage
• Panel data analysis

TÜRKİYE'DE SERMAYE YAPISININ BANKA PERFORMANSINA ETKİSİ

Öz

Bu çalışmanın amacı, 2012-2023 dönemi için panel regresyon modelini kullanarak sermaye yapısının Türk Bankacılık Sektörü performansı üzerindeki etkisini incelemektir. Çalışmada bankacılık performansının önemli göstergelerinden biri olan aktif getirisi (ROA) ve öz sermaye getirisi (ROE) oranı bağımlı değişken olarak kullanılmıştır. Analizde 9 banka özelinde ve 2 makroekonomik (enflasyon ve ekonomik büyüme) bağımsız değişken bulunmaktadır. Panel veri analizi sonuçları, sermaye yapısının [Borçlanma oranı (DTA) ve Borç-özkaynak oranı (DTE)] Türk özel mevduat bankalarının iş performansını (ROA) negatif yönde etkilediğini göstermektedir. ROA ile ölçülen finansal performans Takipteki krediler oranı (NPL), kredi riski (CIR) ve maliyet yönetimi (OA) gibi değişkenlerle anlamlı ve negatif ilişkiliyken; banka büyüklüğü (BS), ekonomik büyüme (GSYİH) ve enflasyona (INF) etkisi pozitiftir. Diğer taraftan DTA, DTE, BS, NPL, CIR, OA ve GSYİH'nin ROE üzerindeki etkileri anlamlıdır. DTA, BS ve GDP'nin etkileri pozitif iken; DTE, NPL, CIR ve OA'nın etkisi negatiftir. Çalışmada, sermaye yapısı değişkenlerinin hem varlık getirisi hem de öz sermaye getirisi ile ölçülen Türk mevduat bankalarının finansal performansı üzerinde etkisi olduğu sonucuna varılmıştır.

Anahtar Kelimeler

• Sermaye yapısı
• Banka karlılığı
• Banka performansı
• Banka sermayesi
• Panel veri analizi

Kaynakça

1. Akkaynak, B. (2022). “Capital structure theories and determinants of capital structure of the Turkish banking system”, Akdeniz İİBF Journal, 22(1), 57-68. https://doi.org/10.25294/auiibfd.1033601
2. Al-Hashimi, A. (2007). “Determinants of Bank Spreads in Sub-Saharan Africa,” draft.
3. Andrieș, A-M., Căpraru, B., Leșan-Muntean, F., & Ihnatov, L. (2016). “The impact of international financial crisis on bank performance in Eastern and Central European countries”, Euro Economica, 35(1), 110-126.
4. Angelini, P., Clerc, L., Cúrdia, V., Gambacorta, L., Gerali, A., Locarno, A., Motto, R., Roeger, W., Van den Heuvel, S., & Vlček, J. (2014). “Basel III: Long-term impact on economic performance and fluctuations”, The Manchester School, 83(2), 217-251. https://doi.org/10.1111/manc.12056
5. Barth, J.R., Nolle, D.E., & Rice, T.N. (1997). “Commercial banking structure, regulation, and performance: An international comparison”, Managerial Finance, 23(11), 1-39. https://doi.org/10.1108/eb018653
6. Berger, A.N. (1995). “The relationship between capital and earnings in banking”, Journal of Money, Credit and Banking, 27(2), 432-456. https://doi.org/10.2307/2077877
7. Berger, A.N. & Bouwman, C.H.S. (2013). “How does capital affect bank performance during financial crises?”, Journal of Financial Economics, 109, 146-176. https://doi.org/10.1016/j.jfineco.2013.02.008
8. BIS (2011). “Basel committee on banking supervision: Basel III: A global regulatory framework for more resilient banks and banking systems”. https://www.bis.org/publ/bcbs189.pdf

9. Birru, M.W. (2016). “The impact of capital structure on financial performance of commercial banks in Ethiopia”, Global Journal of Management and Business Research, 16(8), 42-52.
10. BRSA (2009). From crisis to financial stability (Turkey experience), Working Paper, (Revised Second Edition). file:///C:/Users/Serpil/Downloads/CM4-2nd.PDF
11. BRSA Report (2023). https://www.bddk.org.tr/KurumHakkinda/EkGetir/5?ekId=262
12. Demirhan, D. (2010). “Türkiye’deki mevduat bankalarının finansal yapıya ilişkin kararlarının kârlılığa etkisi”, Muhasebe ve Finansman Dergisi, 45, 157-168.
13. Flamini, V., McDonald, C. A., & Schumacher, L. B. (2009). “The determinants of commercial bank profitability in Sub-Saharan Africa”, IMF Working Papers, 1-30. http://dx.doi.org/10.5089/9781451871623.001
14. Francis, M.E. (2013). “Determinants of commercial bank profitability in Sub-Saharan Africa”, International Journal of Economics and Finance, 5(9), 134-147. http://dx.doi.org/10.5539/ijef.v5n9p134
15. Furlong, F.T., & Keeley, M.C. (1989). “Capital regulation and bank risk-taking: A note”, Journal of Banking & Finance, 13(6), 883-891. https://doi.org/10.1016/0378-4266(89)90008-3
16. Ganioğlu, A., & Us, V. (2014). “The Structure of the Turkish banking sector before and after the global crises”, Central Bank of the Republic of Turkey Working Paper, 14/29, 1-39.
17. Gülhan, Ü., & Uzunlar, E. (2011). “Bankacılık sektöründe kârlılığı etkileyen faktörler: Türk bankacılık sektörüne yönelik bir uygulama”, Atatürk Üniversitesi Sosyal Bilimler Enstitüsü Dergisi, 15(1), 341-368.
18. Güzel, A. (2023). The Role of capital in banks, its determinants and the management of capital structure: The case of Turkey. Ankara Hacı Bayram Veli University Journal of Economic and Administrative Sciences, 25(2), 539-566
19. Gropp, N., & Heider., F. (2009). “The determinants of bank capital structure”, European Central Bank Working Paper Series, No 1096, 1-50.
20. Hsiao, C. (2022). Analysis of panel data (No. 64). Cambridge university press.
21. Iqbal, A., & Kume, O. (2014). Impact of financial crisis on firms’ capital structure in UK, France, and Germany”, Multinational Finance Journal, 18(3/4), 249-280.
22. Jouida, S. (2018). “Bank capital structure, capital requirements and SRISK across bank ownership types and financial crisis: panel VAR approach”, Review of Quantitative Finance and Accounting, 53, 295–325. https://doi.org/10.1007/s11156-018-0750-5
23. Kahveci, E., Ekşi, İ.H., & Kaya, Z. (2016). “Türkiye'deki mevduat bankalarında sermaye yapısı-karlılık ilişkisi: 2002- 2014 Yılları Arası Panel Veri Uygulama”, Kastamonu Üniversitesi İktisadi ve İdari Bilimler Fakültesi Dergisi, 12(2), 446-461.
24. Kahveci, E., & Sayılgan, G. (2006). “Türkiye’deki mevduat bankalarının sermaye yapılarının net faiz gelirleri üzerindeki etkisi (2002-2004 Panel Veri Analizi)”, 10. Ulusal Finans Sempozyumu, İzmir.
25. Kaufman, G.G. (1991). "Capital in banking: past, present and future", Journal of Financial Services Research, 5, 385-402.
26. Kazak, H. (2024). “Avrupa Birliği ülkeleri arasında banka sermaye yapısı açısından yakınsama”, Nevşehir Hacı Bektaş Veli Üniversitesi SBE Dergisi, 14(2),789-801. https://doi.org/10.30783/nevsosbilen.1464698
27. Kumar, N. (2018). “Capital structure and financial performance of banks”, International Journal of Applied Business and Economic Research, 15(23), 303-312.
28. Mishkin, F. (2000). The Economics of Money, Banking and Financial Markets. 6th ed., Addison Wesley, New York.
29. Muhammed, S., Desalegn, G., & Emese, P. (2024). “Article effect of capital structure on the financial performance of Ethiopian Commercial Banks”, MDPI Working Papers, 1-15. https://doi.org/10.3390/risks12040069
30. Nguyen,T.T., Nguyen,T.D., Dinh, T.T., & Vu, K.L. (2021). “The impact of capital structure on bank performance: GMM estimation for the case of Vietnam”, PressAcademia Procedia, 13(15),73-83. https://doi.org/10.17261/Pressacademia.2021.1426
31. Okuyan, H.A. (2013). “Türk bankacılık sektöründe sermaye yapısı”, Ege Academic Review, 13(3), 295-295. http://dx.doi.org/10.21121/eab.2013318089
32. Ozdemir, B. (2024). “Türk bankacılık sektöründe sermaye yapısının performans üzerine etkisi”, Adnan Menderes University, Journal of Institute of Social Sciences, 6(1), 65-26.
33. Raj, B., & Baltagi, B. H. (Eds.). (2012). Panel data analysis. Springer Science & Business Media.
34. Saeed, M.M., Gull, A.A., & Rasheed, M.Y. (2013). “Impact of capital structure on bank performance: A case study of Pakistan”, Interdisciplinary Journal of Contemporary Research in Business, 4(10), 393-403.
35. Siddik, N.A., Kabiraj, S., & Joghee, S. (2017). “Impacts of capital structure on performance of banks in a developing economy: Evidence from Bangladesh”, International Journal of Financial Studies, 5(2), 1-18. https://doi.org/10.3390/ijfs5020013
36. Sufian, F., & Habibullah, M.S. (2010). “Assessing the impact of financial crisis on bank performance: Empirical evidence from Indonesia”, ASEAN Economic Bulletin, 27(3), 245-262.
37. Svitek, I.M. (2001). “Functions of bank capital”, Nẩrodnẩ Banka Slovenska, 9(5), 37-40.
38. Taştemel, G., & Koç, Y.D. (2023). “Finansal yapı ve sahiplik yapısının finansal performans üzerine etkisi: Türk bankacılık sektörü üzerine uygulama”, Journal of Economics and Financial Researches, 5(2), 122-138. https://doi:10.56668/jefr.1308082
39. Wanke, P., Skully, M., Wijesiri, M., Walker, T., & Pellegrina, L.D. (2021). “Does ownership structure affect firm performance? Evidence of Indian bank efficiency before and after the Global Financial Crisis”, International Transactions in Operational Research, 29(3), 1842-1867. https://doi.org/10.1111/itor.13072
40. Zidi, M., & Hamdi, H. (2024). “A Panel-corrected standard error (PCSE) framework to estimate capital structure and banking performance within the Tunisian context”, International Journal of Economics and Financial Issues, 14(2),196-202. https://doi.org/10.32479/ijefi.15793