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The effect of credit growth on credit quality evidences of commercial banks in dong nai province

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Nội dung chi tiết: The effect of credit growth on credit quality evidences of commercial banks in dong nai province

The effect of credit growth on credit quality evidences of commercial banks in dong nai province

UNIVERSITY OF ECONOMICS ERAMUS UNIVERSITY ROTTERDAM HO CHI MINH CITYINSTITUTE OFSOCIAL STUDIES VIETNAMTHE NETHERLANDSVIETNAM - THE NETHERLANDS PROGRAM

The effect of credit growth on credit quality evidences of commercial banks in dong nai province MME FOR M.A IN DEVELOPMENT ECONOMICSTHE EFFECT OF CREDIT Growth on Credit QUALITY: Evidence FROM THE COMMERCIAL BANKS IN DONG Naia thesis submitted in

partial fulfilment of the requirements for the degree ofMaster of Arts in Development EconomicsByTrinh Hoang VIETAcademic SupervisorDr. Vo Hong DueHo The effect of credit growth on credit quality evidences of commercial banks in dong nai province

Chi Minh City, December 2015DeclarationI hereby declare that the thesis “The Effect of Credit Growth on Credit Quality: Evidence from The Commercial

The effect of credit growth on credit quality evidences of commercial banks in dong nai province

Banks in Dong Nai”, which is submitted to Vietnam - Netherlands Programme, is my original research work. All of the contents which are not from my own

UNIVERSITY OF ECONOMICS ERAMUS UNIVERSITY ROTTERDAM HO CHI MINH CITYINSTITUTE OFSOCIAL STUDIES VIETNAMTHE NETHERLANDSVIETNAM - THE NETHERLANDS PROGRAM

The effect of credit growth on credit quality evidences of commercial banks in dong nai province her degrees.This thesis was done under the supervision and guidance of Dr. Vo Hong Due, Economic Regulation Authority, Western Australia and the Edith

Cowan University, Australia. Any other contributions to this thesis are presented in the Acknowledgement section.SignatureTYinh Hoang VietHo Chi Minh The effect of credit growth on credit quality evidences of commercial banks in dong nai province

City, 1st November 2015In my capacity as the supervisor of this thesis, I certified that the statements above are true to the best of my knowledge.Si

The effect of credit growth on credit quality evidences of commercial banks in dong nai province

gnatureDr. Vo Hong DueDate:...................AcknowledgementI would like (0 express my great appreciation to VNP Lecturer Team for their dedication i

UNIVERSITY OF ECONOMICS ERAMUS UNIVERSITY ROTTERDAM HO CHI MINH CITYINSTITUTE OFSOCIAL STUDIES VIETNAMTHE NETHERLANDSVIETNAM - THE NETHERLANDS PROGRAM

The effect of credit growth on credit quality evidences of commercial banks in dong nai province y research supervisors, for his patient guidance and useful critiques of this research work.I would like to offer my special thanks to Mr. Pham Quoc B

ao and Mr. Pham Thanh Huu for facilitating me to collect necessary data during my internship in The State Bank of Viet Nam, Dong Nai Branch.I wish to The effect of credit growth on credit quality evidences of commercial banks in dong nai province

acknowledge the contributions of all VNP students in Class 20, especially Mr. Vo Van Hung and Mr. Nguyen Son Kien, for sharing learning experiences an

The effect of credit growth on credit quality evidences of commercial banks in dong nai province

d valuable academic materials.I would also like to extend my thanks to all VNP Staffs for their enthusiasm of assisting my study over the last two yea

UNIVERSITY OF ECONOMICS ERAMUS UNIVERSITY ROTTERDAM HO CHI MINH CITYINSTITUTE OFSOCIAL STUDIES VIETNAMTHE NETHERLANDSVIETNAM - THE NETHERLANDS PROGRAM

The effect of credit growth on credit quality evidences of commercial banks in dong nai province rch is conducted (0 examine and quantify the effect of credit growth on credit quality for the commercial banks in Dong Nai. In relation to this possi

ble effect, theoretical framework of the so-called “three shifts” in the credit market is likely to explain that credit growth might have positive or The effect of credit growth on credit quality evidences of commercial banks in dong nai province

negative effect on credit quality. These three shifts are generally known as: (i) a supply shift (an expansion in bank loan supply by lowering credit

The effect of credit growth on credit quality evidences of commercial banks in dong nai province

standards), (ii) a demand shift (an increase in loan demand to optimize business activities) and (ill) productivity shift (a positive change in macroe

UNIVERSITY OF ECONOMICS ERAMUS UNIVERSITY ROTTERDAM HO CHI MINH CITYINSTITUTE OFSOCIAL STUDIES VIETNAMTHE NETHERLANDSVIETNAM - THE NETHERLANDS PROGRAM

The effect of credit growth on credit quality evidences of commercial banks in dong nai province t of credit quality. The macroeconomic context for banking industry' indicates that the decline in credit quality after a period of growth might be a

reflection of (1) negative changes in the macroeconomic determinants which have a bad influence on the business activities of borrowers; and (2) infor The effect of credit growth on credit quality evidences of commercial banks in dong nai province

mation externality which makes banks hardly gain efficiency in evaluating their customers.This study utilizes the data of 29 commercial banks operatin

The effect of credit growth on credit quality evidences of commercial banks in dong nai province

g in Dong Nai province for the period from 2009Q3 to 2014Q4. The econometric technique of Difference GMM for dynamic panel data model is adopted in or

UNIVERSITY OF ECONOMICS ERAMUS UNIVERSITY ROTTERDAM HO CHI MINH CITYINSTITUTE OFSOCIAL STUDIES VIETNAMTHE NETHERLANDSVIETNAM - THE NETHERLANDS PROGRAM

The effect of credit growth on credit quality evidences of commercial banks in dong nai province o confirm that credit growth causes the decrease in credit quality after three quarters to one year. In addition, this effect of credit growth in the

long run is found in this study.These findings obtained from this study reflects that: (i) commercial banks in Dong Nai might have lowered their credi The effect of credit growth on credit quality evidences of commercial banks in dong nai province

t standards to increase their lending to business customers and individuals; (ii) the conditions of local economy in Dong Nai might have not been real

The effect of credit growth on credit quality evidences of commercial banks in dong nai province

ly favorable for business activities during the research period; (iii) and the information externality in the loan market might have distorted the acc

UNIVERSITY OF ECONOMICS ERAMUS UNIVERSITY ROTTERDAM HO CHI MINH CITYINSTITUTE OFSOCIAL STUDIES VIETNAMTHE NETHERLANDSVIETNAM - THE NETHERLANDS PROGRAM

UNIVERSITY OF ECONOMICS ERAMUS UNIVERSITY ROTTERDAM HO CHI MINH CITYINSTITUTE OFSOCIAL STUDIES VIETNAMTHE NETHERLANDSVIETNAM - THE NETHERLANDS PROGRAM

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