Factors determining bank deposit growth in Turkey: an empirical analysis

Purpose – This paper aims to examine the key factors determining bank deposit growth in Turkey for the period 2000Q1–2016Q4. Design/methodology/approach – The study employs the autoregressive distributed lag approach to investigate the effect of bank-level and macroeconomic factors on deposit growth...

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Bibliographic Details
Main Authors: Ibrahim Nandom Yakubu, Aziza Hashi Abokor
Format: Article
Language:English
Published: Emerald Publishing 2020-10-01
Series:Rajagiri Management Journal
Subjects:
Online Access:https://www.emerald.com/insight/content/doi/10.1108/RAMJ-05-2020-0017/full/pdf?title=factors-determining-bank-deposit-growth-in-turkey-an-empirical-analysis
Description
Summary:Purpose – This paper aims to examine the key factors determining bank deposit growth in Turkey for the period 2000Q1–2016Q4. Design/methodology/approach – The study employs the autoregressive distributed lag approach to investigate the effect of bank-level and macroeconomic factors on deposit growth. Findings – The results reveal that bank stability, banking sector efficiency, broad money supply, economic growth, and inflation are significant determinants of deposit growth in the long run. The findings further show that in the short run, only branch expansion and broad money supply are relevant for bank deposit mobilization. Originality/value – This paper departs from the extant empirical studies that focus on the determinants of individual savings behaviour in Turkey. Considering the short- and long-run time dimensions, the authors distinctively examine how bank characteristics influence deposit growth, thus presenting a relatively pioneering attempt in this context.
ISSN:0972-9968
2633-0091