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EVALUATION OF DEPOSIT BANKS OPERATING IN TURKEY WITH CAMELS ANALYSIS

Year 2023, Volume: 8 Issue: 4, 895 - 905, 31.12.2023

Burhan Erdoğan

https://doi.org/10.29106/fesa.1355514

Abstract

The banking sector fulfills many important roles such as growing the financial sector, increasing economic welfare, promoting investments and supporting all other segments of society. Due to these aspects, it is very important to closely monitor the sector and analyze its performance continuously. In this study, CAMELS method is preferred to analyze the performance of 12 deposit banks operating in the banking sector between 2011 and 2021. According to the results obtained, it was determined that the performance of Ziraat Bank, Halkbank and Vakıflar Bank, which are publicly owned banks, followed a poor course in general, while private capital banks generally have a good outlook, and Akbank and Citibank are the private capital banks with the best performance.

Keywords

Banking Performance CAMELS

References

  • ALTAY, O. (2021). Sovereign-bank nexus of Turkey: An analysis of sovereign risk and banking industry performance indicators based on camels rating system. Doğuş University Journal, 22 (2), 217-235.
  • ALTEMUR, N., KARACA, S. S., and GÜVEMLİ, B. (2018). Türkiye’deki yabancı sermayeli bankaların camels analizi ile performanslarının ölçülmesi. Journal of International Management Educational and Economics Perspectives, 6(1),57-65.
  • BATIR, E., T. (2019). Evaluation of public participation banks in Turkey on the basis of banking sector: An analysis of the years 2015-2017 with camels analysis. The Journal of Accounting and Finance, (83), 193-212.
  • BAWANEH, A. A., and DAHIYAT, A. (2019). Performance measurement of commercial banks in Jordan using the camels rating system. Academy of Accounting and Financial Studies Journal, 23(6), 1-7.
  • BECK, T., DEMİRGÜÇ-KUNT, A., and LEVINE, R. E. (2002). Law and finance: Why does legal origin matter? (December 2002). NBER Working Paper No. w9379, Retrieved January 15, 2023, from https://ssrn.com/abstract=359316.
  • BEKTAŞ, H. (2013). Efficiency analysis in the Turkish banking sector. Sosyoekonomi, 19(19), 277-294.
  • BOATENG, K. (2019). Credit risk management and performance of banks in Ghana: The ‘camels’ rating model approach. International Journal of Business and Management Invention, 8(02).
  • BOZDOĞAN, T., ERSOY, B., and KAYGUSUZ M. (2018), Analysis of financial performance of banks by topsis method with camels evaluation system. Journal of Social and Humanities Sciences Research, 5(30), 4309-4323.
  • COŞKUN, S. A. and KARĞIN, S. (2016). Sınır ötesi birleşme ve satın almaların bankaların finansal performansına etkileri: Üç banka üzerinde camels analizi. Muhasebe ve Finansman Dergisi, (69), 41-60. DOI: 10.25095/mufad.396657.
  • DEMİRGÜÇ-KUNT, A., and HUIZINGA, H. (2010). Bank activity and funding strategies: The impact on risk and returns. Journal of Financial Economics, 98(3), 626-650.
  • EGE, I., TOPALOĞLU, E. E., and KARAKOZAK, Ö. (2015), Camels performance assessment model: An empirical application on deposit banks in Turkey. Academic Review of Economics and Administrative Sciences, 8(4),109-126.
  • ERDOĞAN, B. (2022a). Evaluation of financial performance of banks registered on Bist with ahp-sd based piv method. Pamukkale University Journal of Social Sciences Institute, (52), 93-109.
  • ERDOĞAN, B. (2022b). Analysis of the performance of foreign banks operating by opening branches in Turkey with the crıtıc-edas hybrid method. H. Karadal, İ. Erdoğan Tarakçı, R. Aslan & E. Dinçer (Ed.) Business and Economics Studies (59-78). İstanbul: Efe Academy Publication.
  • ERDOĞAN, O., and USLU, A. (2022). Türkiye’deki kamu ve özel sermayeli mevduat bankalarının camels yaklaşımı ile performanslarının değerlendirilmesi. Denetim ve Güvence Hizmetleri Dergisi, 2(2), 103-120.
  • GEORGIOS, K., and ELVIS, K. (2019). Bank value using camels model evidence from Balkans banking system. International Research Journal of Finance and Economics, 176, 182-195.
  • GAOUAL, Z. I., and GERYVILLE, Z. (2021). The camels Banking rating system as an effective model for evaluating the performance of Algerian public banks a case study of the Algerian national bank BNA. Revue de L’innovation et Marketing, 80(1), 212-232.
  • GÜLEÇ, M., HAZAR, A., and BABUŞÇU, Ş. (2021). Türkiye’de sistemik önemli bankaların camels analizi. Bankacılık ve Sermaye Piyasası Araştırmaları Dergisi, 5(11), 1-19. Retrieved from https://dergipark.org.tr/en/pub/bspad/issue/63559/882191
  • KAMATH, K. V., KOHLI, S. S., SHENOY, P. S., KUMAR, R., NAYAK, R. M., KUPPUSWAMY, P. T., and RAVICHANDRAN, N. (2003). Indian banking sector: Challenges and opportunities. Vikalpa, 28(3), 83-100.
  • KARACA, S. S., ALTEMUR, N. and Çevik, M. (2019). Türkiye'deki mevduat bankalarının camels analizi ile finansal performans ölçümü. Muhasebe ve Finans İncelemeleri Dergisi, 2(2), 130-148.
  • KAUSHAL, S., and GHOSH, A. (2016). Financial institutions and economic growth: an empirical analysis of Indian economy in the post liberalized era. International Journal of Economics and Financial Issues, 6(3),1003-1013. KAYA, Y. T. (2001). Türk bankacılık sektöründe camels analizi. BDDK Mali Sektör Politikaları Dairesi, Çalışma Raporları: 2001/6, Eylül. KAYGUSUZ, Ö. M., ERSOY, Ö. B., and BOZDOĞAN, D. T. (2020). Analysis of financial performance of banks by topsis method with camels evaluation system. Journal of the Human and Social Science Researches, 9(1), 67-95. MAGOMA, A., MBWAMBO, H., SALLWA, A., and MWASHA, N. (2022). Financial performance of listed commercial banks in Tanzania: A camel model approach. African Journal of Applied Research, 8(1), 228-239.
  • NGUYEN, H. D. H., and DANG, V. D. (2020). Bank-specific determinants of loan growth in Vietnam: Evidence from the camels approach. The Journal of Asian Finance, Economics and Business, 7(9), 179-189.
  • NUGROHO, M., HALİK, A., and ARİF, D. (2020). Effect of camels ratio on Indonesia banking share prices. The Journal of Asian Finance, Economics and Business, 7(11), 101-106.
  • ÖZKAN, T. (2020). The Use of topsis method in measuring financial performance in the Turkish banking sector: An application on participation banks. Journal of Finance Letters, (113), 47-64.
  • PAOLICELLI, P., TREGUB, I., and BYVSHEV, V. (2021). Analysis of the impact of camels framework and macroeconomic indicators on the Italian cooperative bank's financial performance. In 2021 14th International Conference Management of Large-Scale System Development (MLSD) (pp. 1-5). IEEE.
  • PASIOURAS F., GAGANIS C., and ZOPOUNIDIS C. (2006). The impact of bank regulations, supervision, market structure, and bank characteristics on individual bank ratings: A crosscountry analysis. Review of Quantitative Finance and Accounting, 27(4):403-438.
  • PRODANOV, S., YAPRAKOV, O., & ZARKOVA, S. (2022). Camel evaluation of the banks in Bulgaria. Economic Alternatives, 2, 201-219.
  • QURESHI, M. H., & KALIM, R. (2018). How shariah compliance and traditional banks are performing? A case of Pakistan. International Journal of Islamic Economics and Finance Studies, 4 (3), 6-20.
  • SAUNDERS, A., and CORNETT, M. M. (2017). Financial institutions management: A risk management approach (9th ed.). McGraw-Hill Education.
  • STIGLITZ, J. E., and WEISS, A. (1981). Credit rationing in markets with imperfect information. The American Economic Review, 71(3), 393-410.
  • QUOC TRUNG, N. K. (2021). Determinants of bank performance in Vietnamese commercial banks: An application of the camels model. Cogent Business & Management, 8(1), 1979443.
  • THISARANGA, K. D. I. U., and ARIYASENA, D. L. M. N. K. (2021). Effect of camel model on bank performance: with special reference to listed commercial banks in Sri Lanka. Business Research Unit Faculty of Business University of Moratuwa, 188-213.
  • Turkish Bank Association (2023). Statistical reports. Accessed from https://www.tbb.org.tr/tr/bankacilik/banka-ve-sektor-bilgileri/istatistiki-raporlar/59 on 02.05.2023.
  • TÜRKER KAYA, Y. (2001). Camels analysis in the Turkish banking sector. Banking Regulation and Supervision Agency. Financial Sector Policy Department Working Papers, No: 2001/6.
  • ULLAH, M., ISLAM, A., and MAMUN, A. (2022). Financial performance measurement using Camel model: A study on selected public and private banks of Bangladesh. BAUET Journal, 3(2), 74-91.
  • USLU A., TÜRK M., and ERTAŞ F. C. (2019), Türkiye’deki Mevduat Bankalarının CAMELS Performans Analizi, BMIJ, (2019), 7 (3): 122-139doi:http://dx.doi.org/10.15295/bmij.v7i3.1235
  • USLU, A. (2019). Measuring the performance of foreign capital banks in Turkey with Camels analysis. Journal of Accounting and Finance, (82), 199-220.
  • VARGA, J., BÁNKUTI, G., and KOVÁCS-SZAMOSİ, R. (2020). Analysis of the Turkish Islamic banking sector using camel and similarity analysis methods. Acta Oeconomica, 70(2), 275-296.
  • YADAV, S., and JANG, J. (2021). Impact of merger on HDFC bank financial performance: A camel analysis approach. International Journal of Economics and Finance, 13(8).

MEVDUAT BANKALARININ PERFORMANSININ CAMELS ANALİZİ İLE DEĞERLENDİRİLMESİ

Year 2023, Volume: 8 Issue: 4, 895 - 905, 31.12.2023

Burhan Erdoğan

https://doi.org/10.29106/fesa.1355514

Abstract

Bankacılık sektörü finansal sektörün büyümesi, ekonomik refahın yükselmesi, yatırımların teşvik edilmesi ve toplumun diğer bütün kesimlerinin desteklenmesi gibi bir çok önemli rolü yerine getirmektedir. Bu yönleri itibari ile de sektörün yakından izlenmesi ve performansının sürekli analiz edilmesi oldukça önemlidir. Bu çalışmada bankacılık sektöründe faaliyet gösteren 12 mevduat bankasının 2011-2021 yılları arasındaki performanslarının incelenmesi için CAMELS yöntemi tercih edilmiştir. Elde edilen sonuçlara göre kamu sermayeli bankalardan Ziraat bankası, Halkbank ve Vakıflar bankasının performansının genel olarak kötü bir seyir izlediği öte yandan özel sermayeli bankaların genel olarak iyi bir görünüme sahip olmakla birlikte Akbank ve Citibank’ın en iyi performansa sahip özel sermayeli bankalar olduğu tespit edilmiştir.

Keywords

Bankacılık Performans CAMELS

References

  • ALTAY, O. (2021). Sovereign-bank nexus of Turkey: An analysis of sovereign risk and banking industry performance indicators based on camels rating system. Doğuş University Journal, 22 (2), 217-235.
  • ALTEMUR, N., KARACA, S. S., and GÜVEMLİ, B. (2018). Türkiye’deki yabancı sermayeli bankaların camels analizi ile performanslarının ölçülmesi. Journal of International Management Educational and Economics Perspectives, 6(1),57-65.
  • BATIR, E., T. (2019). Evaluation of public participation banks in Turkey on the basis of banking sector: An analysis of the years 2015-2017 with camels analysis. The Journal of Accounting and Finance, (83), 193-212.
  • BAWANEH, A. A., and DAHIYAT, A. (2019). Performance measurement of commercial banks in Jordan using the camels rating system. Academy of Accounting and Financial Studies Journal, 23(6), 1-7.
  • BECK, T., DEMİRGÜÇ-KUNT, A., and LEVINE, R. E. (2002). Law and finance: Why does legal origin matter? (December 2002). NBER Working Paper No. w9379, Retrieved January 15, 2023, from https://ssrn.com/abstract=359316.
  • BEKTAŞ, H. (2013). Efficiency analysis in the Turkish banking sector. Sosyoekonomi, 19(19), 277-294.
  • BOATENG, K. (2019). Credit risk management and performance of banks in Ghana: The ‘camels’ rating model approach. International Journal of Business and Management Invention, 8(02).
  • BOZDOĞAN, T., ERSOY, B., and KAYGUSUZ M. (2018), Analysis of financial performance of banks by topsis method with camels evaluation system. Journal of Social and Humanities Sciences Research, 5(30), 4309-4323.
  • COŞKUN, S. A. and KARĞIN, S. (2016). Sınır ötesi birleşme ve satın almaların bankaların finansal performansına etkileri: Üç banka üzerinde camels analizi. Muhasebe ve Finansman Dergisi, (69), 41-60. DOI: 10.25095/mufad.396657.
  • DEMİRGÜÇ-KUNT, A., and HUIZINGA, H. (2010). Bank activity and funding strategies: The impact on risk and returns. Journal of Financial Economics, 98(3), 626-650.
  • EGE, I., TOPALOĞLU, E. E., and KARAKOZAK, Ö. (2015), Camels performance assessment model: An empirical application on deposit banks in Turkey. Academic Review of Economics and Administrative Sciences, 8(4),109-126.
  • ERDOĞAN, B. (2022a). Evaluation of financial performance of banks registered on Bist with ahp-sd based piv method. Pamukkale University Journal of Social Sciences Institute, (52), 93-109.
  • ERDOĞAN, B. (2022b). Analysis of the performance of foreign banks operating by opening branches in Turkey with the crıtıc-edas hybrid method. H. Karadal, İ. Erdoğan Tarakçı, R. Aslan & E. Dinçer (Ed.) Business and Economics Studies (59-78). İstanbul: Efe Academy Publication.
  • ERDOĞAN, O., and USLU, A. (2022). Türkiye’deki kamu ve özel sermayeli mevduat bankalarının camels yaklaşımı ile performanslarının değerlendirilmesi. Denetim ve Güvence Hizmetleri Dergisi, 2(2), 103-120.
  • GEORGIOS, K., and ELVIS, K. (2019). Bank value using camels model evidence from Balkans banking system. International Research Journal of Finance and Economics, 176, 182-195.
  • GAOUAL, Z. I., and GERYVILLE, Z. (2021). The camels Banking rating system as an effective model for evaluating the performance of Algerian public banks a case study of the Algerian national bank BNA. Revue de L’innovation et Marketing, 80(1), 212-232.
  • GÜLEÇ, M., HAZAR, A., and BABUŞÇU, Ş. (2021). Türkiye’de sistemik önemli bankaların camels analizi. Bankacılık ve Sermaye Piyasası Araştırmaları Dergisi, 5(11), 1-19. Retrieved from https://dergipark.org.tr/en/pub/bspad/issue/63559/882191
  • KAMATH, K. V., KOHLI, S. S., SHENOY, P. S., KUMAR, R., NAYAK, R. M., KUPPUSWAMY, P. T., and RAVICHANDRAN, N. (2003). Indian banking sector: Challenges and opportunities. Vikalpa, 28(3), 83-100.
  • KARACA, S. S., ALTEMUR, N. and Çevik, M. (2019). Türkiye'deki mevduat bankalarının camels analizi ile finansal performans ölçümü. Muhasebe ve Finans İncelemeleri Dergisi, 2(2), 130-148.
  • KAUSHAL, S., and GHOSH, A. (2016). Financial institutions and economic growth: an empirical analysis of Indian economy in the post liberalized era. International Journal of Economics and Financial Issues, 6(3),1003-1013. KAYA, Y. T. (2001). Türk bankacılık sektöründe camels analizi. BDDK Mali Sektör Politikaları Dairesi, Çalışma Raporları: 2001/6, Eylül. KAYGUSUZ, Ö. M., ERSOY, Ö. B., and BOZDOĞAN, D. T. (2020). Analysis of financial performance of banks by topsis method with camels evaluation system. Journal of the Human and Social Science Researches, 9(1), 67-95. MAGOMA, A., MBWAMBO, H., SALLWA, A., and MWASHA, N. (2022). Financial performance of listed commercial banks in Tanzania: A camel model approach. African Journal of Applied Research, 8(1), 228-239.
  • NGUYEN, H. D. H., and DANG, V. D. (2020). Bank-specific determinants of loan growth in Vietnam: Evidence from the camels approach. The Journal of Asian Finance, Economics and Business, 7(9), 179-189.
  • NUGROHO, M., HALİK, A., and ARİF, D. (2020). Effect of camels ratio on Indonesia banking share prices. The Journal of Asian Finance, Economics and Business, 7(11), 101-106.
  • ÖZKAN, T. (2020). The Use of topsis method in measuring financial performance in the Turkish banking sector: An application on participation banks. Journal of Finance Letters, (113), 47-64.
  • PAOLICELLI, P., TREGUB, I., and BYVSHEV, V. (2021). Analysis of the impact of camels framework and macroeconomic indicators on the Italian cooperative bank's financial performance. In 2021 14th International Conference Management of Large-Scale System Development (MLSD) (pp. 1-5). IEEE.
  • PASIOURAS F., GAGANIS C., and ZOPOUNIDIS C. (2006). The impact of bank regulations, supervision, market structure, and bank characteristics on individual bank ratings: A crosscountry analysis. Review of Quantitative Finance and Accounting, 27(4):403-438.
  • PRODANOV, S., YAPRAKOV, O., & ZARKOVA, S. (2022). Camel evaluation of the banks in Bulgaria. Economic Alternatives, 2, 201-219.
  • QURESHI, M. H., & KALIM, R. (2018). How shariah compliance and traditional banks are performing? A case of Pakistan. International Journal of Islamic Economics and Finance Studies, 4 (3), 6-20.
  • SAUNDERS, A., and CORNETT, M. M. (2017). Financial institutions management: A risk management approach (9th ed.). McGraw-Hill Education.
  • STIGLITZ, J. E., and WEISS, A. (1981). Credit rationing in markets with imperfect information. The American Economic Review, 71(3), 393-410.
  • QUOC TRUNG, N. K. (2021). Determinants of bank performance in Vietnamese commercial banks: An application of the camels model. Cogent Business & Management, 8(1), 1979443.
  • THISARANGA, K. D. I. U., and ARIYASENA, D. L. M. N. K. (2021). Effect of camel model on bank performance: with special reference to listed commercial banks in Sri Lanka. Business Research Unit Faculty of Business University of Moratuwa, 188-213.
  • Turkish Bank Association (2023). Statistical reports. Accessed from https://www.tbb.org.tr/tr/bankacilik/banka-ve-sektor-bilgileri/istatistiki-raporlar/59 on 02.05.2023.
  • TÜRKER KAYA, Y. (2001). Camels analysis in the Turkish banking sector. Banking Regulation and Supervision Agency. Financial Sector Policy Department Working Papers, No: 2001/6.
  • ULLAH, M., ISLAM, A., and MAMUN, A. (2022). Financial performance measurement using Camel model: A study on selected public and private banks of Bangladesh. BAUET Journal, 3(2), 74-91.
  • USLU A., TÜRK M., and ERTAŞ F. C. (2019), Türkiye’deki Mevduat Bankalarının CAMELS Performans Analizi, BMIJ, (2019), 7 (3): 122-139doi:http://dx.doi.org/10.15295/bmij.v7i3.1235
  • USLU, A. (2019). Measuring the performance of foreign capital banks in Turkey with Camels analysis. Journal of Accounting and Finance, (82), 199-220.
  • VARGA, J., BÁNKUTI, G., and KOVÁCS-SZAMOSİ, R. (2020). Analysis of the Turkish Islamic banking sector using camel and similarity analysis methods. Acta Oeconomica, 70(2), 275-296.
  • YADAV, S., and JANG, J. (2021). Impact of merger on HDFC bank financial performance: A camel analysis approach. International Journal of Economics and Finance, 13(8).
There are 38 citations in total.

Details

Primary Language English
Subjects Monetary-Banking
Journal Section Araştırma Makaleleri
Authors

Burhan Erdoğan 0000-0002-6171-0554

Early Pub Date January 1, 2024
Publication Date December 31, 2023
Submission Date September 5, 2023
Acceptance Date December 19, 2023
Published in Issue Year 2023 Volume: 8 Issue: 4

Cite

APA Erdoğan, B. (2023). EVALUATION OF DEPOSIT BANKS OPERATING IN TURKEY WITH CAMELS ANALYSIS. Finans Ekonomi Ve Sosyal Araştırmalar Dergisi, 8(4), 895-905. https://doi.org/10.29106/fesa.1355514
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