The aim of this paper is to provide a comprehensive review on Capital Structure Dynamics of Listed Banks in Ghana. The study examines the determinants of capital structure, the significance of performance on equity and leverage. Seven (7) Banks on the Ghana Stock Exchange were used for the periods 2005 to 2012 The fixed and random effect regression technique was used. The study found Asset Tangibility and Non-debt tax shield to have a positive relationship with equity. The study also discovered that, the size of a bank was a significant determinant of equity and also has a positive association with equity. There was a positive relationship between performance and equity. There was also a negative relation with Growth opportunity of a bank, Dividend policy and equity. Performance and size of a bank are the determinants of leverage. There was a statistically significant positive relation with leverage and a negative statistically significant relation with the size of a bank. The study found Leverage to have positive relationships with Asset Tangibility, Non-debt tax shield and Dividend ratio. The study also discovered a negative association between Growth Opportunity of a bank and Leverage.
| Published in | International Journal of Finance and Banking Research (Volume 2, Issue 5) |
| DOI | 10.11648/j.ijfbr.20160205.12 |
| Page(s) | 167-177 |
| Creative Commons |
This is an Open Access article, distributed under the terms of the Creative Commons Attribution 4.0 International License (http://creativecommons.org/licenses/by/4.0/), which permits unrestricted use, distribution and reproduction in any medium or format, provided the original work is properly cited. |
| Copyright |
Copyright © The Author(s), 2016. Published by Science Publishing Group |
Capital Structure, Equity, Performance, Panel Data, Listed Banks, Ghana
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APA Style
Anthony Kusi, Joseph Yensu, Kobina Eduful Aggrey. (2016). Capital Structure Dynamics of Listed Banks in Ghana. International Journal of Finance and Banking Research, 2(5), 167-177. https://doi.org/10.11648/j.ijfbr.20160205.12
ACS Style
Anthony Kusi; Joseph Yensu; Kobina Eduful Aggrey. Capital Structure Dynamics of Listed Banks in Ghana. Int. J. Finance Bank. Res. 2016, 2(5), 167-177. doi: 10.11648/j.ijfbr.20160205.12
AMA Style
Anthony Kusi, Joseph Yensu, Kobina Eduful Aggrey. Capital Structure Dynamics of Listed Banks in Ghana. Int J Finance Bank Res. 2016;2(5):167-177. doi: 10.11648/j.ijfbr.20160205.12
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Download@article{10.11648/j.ijfbr.20160205.12,
author = {Anthony Kusi and Joseph Yensu and Kobina Eduful Aggrey},
title = {Capital Structure Dynamics of Listed Banks in Ghana},
journal = {International Journal of Finance and Banking Research},
volume = {2},
number = {5},
pages = {167-177},
doi = {10.11648/j.ijfbr.20160205.12},
url = {https://doi.org/10.11648/j.ijfbr.20160205.12},
eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.ijfbr.20160205.12},
abstract = {The aim of this paper is to provide a comprehensive review on Capital Structure Dynamics of Listed Banks in Ghana. The study examines the determinants of capital structure, the significance of performance on equity and leverage. Seven (7) Banks on the Ghana Stock Exchange were used for the periods 2005 to 2012 The fixed and random effect regression technique was used. The study found Asset Tangibility and Non-debt tax shield to have a positive relationship with equity. The study also discovered that, the size of a bank was a significant determinant of equity and also has a positive association with equity. There was a positive relationship between performance and equity. There was also a negative relation with Growth opportunity of a bank, Dividend policy and equity. Performance and size of a bank are the determinants of leverage. There was a statistically significant positive relation with leverage and a negative statistically significant relation with the size of a bank. The study found Leverage to have positive relationships with Asset Tangibility, Non-debt tax shield and Dividend ratio. The study also discovered a negative association between Growth Opportunity of a bank and Leverage.},
year = {2016}
}
TY - JOUR T1 - Capital Structure Dynamics of Listed Banks in Ghana AU - Anthony Kusi AU - Joseph Yensu AU - Kobina Eduful Aggrey Y1 - 2016/08/22 PY - 2016 N1 - https://doi.org/10.11648/j.ijfbr.20160205.12 DO - 10.11648/j.ijfbr.20160205.12 T2 - International Journal of Finance and Banking Research JF - International Journal of Finance and Banking Research JO - International Journal of Finance and Banking Research SP - 167 EP - 177 PB - Science Publishing Group SN - 2472-2278 UR - https://doi.org/10.11648/j.ijfbr.20160205.12 AB - The aim of this paper is to provide a comprehensive review on Capital Structure Dynamics of Listed Banks in Ghana. The study examines the determinants of capital structure, the significance of performance on equity and leverage. Seven (7) Banks on the Ghana Stock Exchange were used for the periods 2005 to 2012 The fixed and random effect regression technique was used. The study found Asset Tangibility and Non-debt tax shield to have a positive relationship with equity. The study also discovered that, the size of a bank was a significant determinant of equity and also has a positive association with equity. There was a positive relationship between performance and equity. There was also a negative relation with Growth opportunity of a bank, Dividend policy and equity. Performance and size of a bank are the determinants of leverage. There was a statistically significant positive relation with leverage and a negative statistically significant relation with the size of a bank. The study found Leverage to have positive relationships with Asset Tangibility, Non-debt tax shield and Dividend ratio. The study also discovered a negative association between Growth Opportunity of a bank and Leverage. VL - 2 IS - 5 ER -
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