Effects of the Ethiopian Financial Sector Reform on the Performance of Banks and the Market Share Dynamics
| dc.contributor.advisor | Professor Teshome, Mulat | |
| dc.contributor.author | Dawit, Keno | |
| dc.date.accessioned | 2021-03-24T13:12:56Z | |
| dc.date.accessioned | 2023-11-04T10:28:39Z | |
| dc.date.available | 2021-03-24T13:12:56Z | |
| dc.date.available | 2023-11-04T10:28:39Z | |
| dc.date.issued | 2009-10 | |
| dc.description | A thesis submitted to the School of Graduate Studies of Addis Ababa University in partial fulfillment ofthe requirements for the degree of Masters of Science in Economics | en_US |
| dc.description.abstract | This paper examined the effects of the 1994 financial sector reform on the performance of banks using descriptive analyses. It also estimated the determinants of market share in the Ethiopian banking industry by employing the standard fixed effect panel data model. The model allows explanatory variables to vary over two dimensions (firms and time), which helps to have accurate estimators in cases where there are only few firm s and the time period is short. As the banking business dominates the Ethiopian financial sector, the paper is focused on studying the banking sector performance whil e gleani ng through rather briefly the financial sector performance as a whole. The descriptive part of the study analyzed the pre- and post-reform data of public and private banks by applying standard financial ratio and comparative trend analyses. The results of the study suggest that the sector has gained progress in terms of profitability, asset quality and efficiency after the reform, as expected. However, considering the intermediation effect to the larger economy, contribution of the financial sector is not substantial. The major problems include confining banking service to trade and service financing, weak fiscal stance and ineffective economic policy of the government and lack of strategic planning and program development by the central bank. Resource reallocation of banks towards production and manufacturing sector of the economy does not show significant improvement following the financial sector reform. The government's redundant involvement in the economy is crowding out the private sector, which would have been the efficient sector. The recently tightening . financial regulation and absence of long term financial development program of the central bank has also endangered the prospects for effective intermediation role of banks in Ethiopia. | en_US |
| dc.identifier.uri | http://etd.aau.edu.et/handle/123456789/25665 | |
| dc.language.iso | en | en_US |
| dc.publisher | A.A.U | en_US |
| dc.subject | Financial Sector | en_US |
| dc.subject | Market Share Dynamics | en_US |
| dc.title | Effects of the Ethiopian Financial Sector Reform on the Performance of Banks and the Market Share Dynamics | en_US |
| dc.type | Thesis | en_US |