TY - JOUR AU - Byükoğlu, Burak AU - Šit, Ahmet AU - Ekši, İbrahim Halil PY - 2021/06/07 Y2 - 2024/03/28 TI - Governance matters on non-performing loans: Evidence from emerging markets JF - PSL Quarterly Review JA - PSL QR VL - 74 IS - 296 SE - Perspectives DO - 10.13133/2037-3643/17486 UR - https://rosa.uniroma1.it/rosa04/psl_quarterly_review/article/view/17486 SP - 75-91 AB - <div class="page" title="Page 1"><div class="layoutArea"><div class="column"><p>In this study, new determinants of non-performing&nbsp;loans (NPL) for the MSCI emerging countries were investigated. For this purpose, a new index was&nbsp;formed using the World Bank’s Worldwide Governance Indicator data from 2002 to 2018. To&nbsp;test the effect of governance on NPL, we used the&nbsp;GMM technique. As a robustness test for GMM results,&nbsp;we employed the DOLSMG technique. According to&nbsp;the results, NPL was affected negatively by the DOI: governance index. This result could be of interest to policymakers and regulators as a macroprudential policy tool.</p><p>&nbsp;</p><div class="page" title="Page 1"><div class="layoutArea"><div class="column"><p><strong>JEL codes</strong>:</p><p>C51; G21; G2</p><p><strong>Keywords</strong>:<br>Non-performing loans; Worldwide Governance Indicators</p></div></div></div></div></div></div> ER -