A Proposal on the "I Bank Index," A measure of Bank's Ability to Nurture Client Businesses
Yoshihara, Kiyotsugu | October 2018
Abstract
The main objective of this paper is to measure banks’ capability to nurture and develop client firms.
Banks nowadays are required not only to act as providers of capital but also to provide consultation to and continuously support the restructuring and development of client firms through long-term business relationships.
In this line of thought, it is natural to evaluate banks based on the degree to which they contribute to the growth and development of client firms. Banks can reaffirm the meaning of their existence by making improvements in their client firms’ performance over the long term. It is therefore desirable to align banks’ evaluating index with the aforementioned goal.
The new index is defined as the difference between the average for a specific indicator of management among a bank’s client firms and the national average on the particular indicator. The new index will highly value banks that are able to improve the performance of client firms regarding the particular indicator.
Citation
Yoshihara, Kiyotsugu. 2018. A Proposal on the "I Bank Index," A measure of Bank's Ability to Nurture Client Businesses. © Asian Development Bank Institute. http://hdl.handle.net/11540/8874.Keywords
Financial Stability
Financial Management System
Financial Restructuring
Capital Market Development
Market Development
Economics
Erosion
International Economics
Macroeconomic
Macroeconomic Analysis
Performance Evaluation
Impact Evaluation
Foreign and Domestic Financing
Foreign Direct Investment
International Financial Market
Multilateral Financial Institutions
Economic Recession
Market
Crisis
Economic indicators
Growth models
Gross domestic product
Macroeconomics
Economic forecast
Business Financing
Investment Requirements
Business recessions
Multilateral development banks
Regulatory reform
Capital
Exports
Economic development projects
Economic policy
Economic forecasting
Investment Requirements
Banks
International banks and banking
Capital movements
Central banks and banking
Bills of exchange
Swaps
Banks and banking
Financial crisis
Credit control
Credit allocation
Capital market
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