Generolo Jono Žemaičio Lietuvos karo akademija

This paper examines the impact of ownership strategy on bank performance in Vietnam from 2000 to 2017. The results show that the ownership structure has a significant impact on bank performance, namely that state-owned banks are more efficient than private ones in terms of technical efficiency, but not in terms of scale efficiency. Furthermore, state-owned banks do not appear to be excellent at investment activities while provisions for credit losses are substantially high, which can negatively affect their performance. Listed banks may be more encouraged to implement activities which can increase bank performance, to make present stakeholders satisfied as well as to attract new ones. The larger the scale, the more efficient the listed banks will be. However, they will not achieve good results in terms of technical efficiency.

The purpose of the paper is to assess the impact of corporate governance on Vietnam banks’ performance measured by ROA (return on assets) and OER (operating efficiency ratio). The article uses a research method which is a quantitative research method through the construction of a binary Probit model with two aggregate variables, namely Macroeconomic indicators and financial index variables. The results are consistent with prior research findings, and more importantly, presents statistical justification for pursuing further corporate governance reforms to enhance Vietnam banks’ performance. These findings also lay a foundation for policy makers to make necessary changes to improve corporate governance (i.e role of board of directors, shareholder issues) of Vietnam banks in the future. Social Implications: the study used Vietnam listed banks’ financial data collected covering a period 2008 to 2018. The findings indicated that board size, CEO duality and large shareholder had statistically significant effect on bank performance in both ROA (return on assets) and OER (operating efficiency ratio). While institutional shareholders and foreign shareholders made no impact on Vietnam banks’ performance.

This paper finds out the impact of a board diversity in terms of nationality and gender diversity on sustainability of bank performance and risk in Indian Banking and Financial Industry over the period of 2011 – 2015. Our results show that the presence of foreign directors is found to lead into a worse firm performance, but no significant relationship is found for the existence of women directors on bank performance. The nationality and gender diversity are found to have positive and significant impact to the bank risk. By looking at this, the regulation in India should pay more attention to the inclusion of foreign and women directors in their board as the improvement of corporate governance in emerging markets. Some contributions are made in this paper, which are first, this study gives new perspective in India as emerging market especially in financial industry, while most of the studies are conducted in U.S. and Europe. Most of the studies in India regarding the impact of board diversity to bank performance are conducted in all sectors, not specifically on the banking and financial industry and there is not any research which is conducted to find the impact on bank risk. However, some limitations are found. First, limited sample as it only covers 22 banks and financial industries due to lack of data on board diversities. Second, only 2 diversities are examined, while there are more diversities could be observed, such as age, education, experience.