Banking Sector :Finance Research Assessment

Examples of research topic, description, objectives, and research questions

EXAMPLE 1:

Research Topic

The effect of financial sector reforms on bank net interest margins in Ghana

Abstract

This research will examine the effect of financial sector reforms on net interest margin of Ghanaian banks during the period 1997-2022. Changes have taken place in Ghana as in other countries. However, net interest margins have not declined as much in Ghana as they have elsewhere due to the influence of the degree of risk aversion, high operating costs, and uncompetitive nature of the market structure. Although banks have relied heavily on fee- and commission-based services as additional sources of income to lower margins, this research will argue that despite recent developments in the Ghanaian financial landscape, financial sector reforms have not yet succeeded in bringing about a major reduction in the operating costs of banks that would translate into substantially narrower margins.

Research Objectives

1. To ascertain the overall experience of Ghana with financial sector reforms.
2. To determine the effects of financial sector reforms on bank net interest margins in Ghana.
3. To explain the extent to which the market structure influence net interest margins in Ghanaian banking.

Research Questions (these are the research objectives framed into questions)

1. What has been the overall experience of Ghana with financial sector reforms?
2. Are there effects of financial sector reforms on bank net interest margins in Ghana?
3. To what extent does the market structure influence interest margins in Ghanaian banking?

EXAMPLE 2:

Research Topic

Cost efficiency of the Ghanaian banking sector: the post-liberalization experience

Abstract

Economic liberalization is characterized by the entry of foreign companies and the emergence of new domestic institutions to compete with the existing institutions of lending, and there is a view that the process leads to greater efficiency, especially because foreign banks bring new expertise. Extracting information from accounts lodged with Ghana Central Bank over the period 1997-2022, this research will rank the cost efficiency of banks using the Theil Index decomposition to allow for a comparison of performance between banks under different types of ownership. The outcome of the research expects differences in efficiency scores within and between groups by type of ownership, but foreign ownership, per se, may not be the determining factor. The result of the study is also expected to reveal whether bank size matters in the cost efficiency of banks.

Research Objectives

1. To determine the extent to which bank ownership contributes to (in)efficiency of Ghanaian banks.
2. To ascertain the level of competition that financial liberalisation has had on the efficiency of Ghanaian banks.
3. To explain the overall contribution of bank size to the efficiency of the Ghanaian banking sector in the post-liberalization era.

Research Questions (these are the research objectives framed into questions)

1. To what extent does bank ownership determine the (in)efficiency of Ghanaian banks?
2. What level of competition has financial liberalisation had on the efficiency of Ghanaian banks?
3. Does bank size explain the contribution of financial liberalisation to the efficiency of the Ghanaian banking sector?