The role of social development, banking concentration and competitiveness on banking stability in middle and low income countries

Subject Areas : Journal of Iranian Social Development Studies

mohamad kamal mazhar al yaser ¹ , hosein sharifi renani ^{2 *} , ghasan taregh zaher almamori ³ , mostafa rajabi ⁴

1 - PhD student in Economics, Isfahan branch (Khorasgan), Islamic Azad University, Isfahan, Iran
2 - Associate Professor of Economics, Isfahan Branch (Khorasgan), Islamic Azad University, Isfahan, Iran
3 - Assistant Professor of Economics, Al Muthani University, Samawa, Iraq
4 - Assistant Professor of Economics, Khomeini Shahr Branch, Islamic Azad University, Khomeini Shahr, Iran

Received: 2024-05-31 Accepted : 2024-07-27 Published : 2025-05-04

Keywords: Social Development, Bank Concentration, Bank Competitiveness, Bank Stability.,

Abstract :

Social development changes the basis of material life and the social structure of the society, increases the formal education levels of people and provides the possibility of wider access to information through the use of mass media and in this way can affect the stability of the banking sector. . Also, banking competition and measuring the level of concentration, especially in academic and research studies, considering the tremendous development and wide openness of banking, is of great importance and can play a role in the stability of the banking sector. Therefore, this study was conducted with the aim of investigating the role of social development, concentration and banking competitiveness on banking stability. In order to analyze the data, the macroeconomic information of 60 selected middle and low income developing countries in a 13-year period from 2010 to 2022 has been used using the panel data method. The results showed that social development has led to the strengthening of banking stability in the studied countries. It was also observed that banking competitiveness had positive and significant effects on the stability of the banking sector.

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