Journal of Applied Finance & Banking

Determinants of bank capital: Case of Tunisia

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  • Abstract

    The capital is essential for increasing the strength and efficiency of the banking system. Indeed, it is interesting to know the determinants of bank capital. In the context of this article, we studied a sample of 18 banks in Tunisia over the period (20002013). We found that return on assets, net interest margin, liquidity, rate of inflation, foreign ownership and private ownership affect significantly bank capital.

    JEL classification numbers: C23, G21, C32
    Keywords: Bank, capital, return on assets, net interest margin, rate of inflation, liquidity, foreign ownership, private ownership.