The Impact of Capital Structure on the Financial Performance of Financial Institutions in Ghana
Richard Arhinful,
Leviticus Mensah,
Jerry Seth Owusu-Sarfo
Issue:
Volume 9, Issue 2, April 2023
Pages:
19-29
Received:
12 October 2022
Accepted:
8 November 2022
Published:
17 May 2023
Abstract: The study aimed to discover how capital structures (capitalization ratios and debt-to-EBITDA ratios) affect the financial performance of Ghanaian financial institutions. The study selected 15 financial institutions in Ghana using a purposive sampling strategy. Ten (10) financial organizations are listed on the Ghana Stock Exchange, while the remaining five (5) are not. The data was gathered from their audited annual report. The Stata software analyzed the data into fixed and random effects. The Hausman specification test was used to determine the appropriate method to present the study results. The random effect was considered the appropriate method to present the study's findings. We discovered that the capitalization ratio has a negative effect on the net interest margin, loan-to-asset ratio, and return on assets. The debt-to-EBITDA ratio was discovered to have a negative effect on net interest margin and return on an asset but a positive effect on the loan-to-asset ratio. The debt-to-EBITDA ratio was discovered to have a statistically significant effect on net interest margin and return on assets. We also found that financial institutions that are listed on Ghana's stock exchange have a statistically significant effect on net interest margin. In contrast, financial institutions that are not listed do not. The use of debt financing was found to have a statistically significant impact on the performance of financial institutions compared to equity financing. The use of debt financing gives managers a chance to take advantage of the tax shield by lowering the amount of tax they have to pay to the government. The use of debt financing helps maximize the wealth of shareholders.
Abstract: The study aimed to discover how capital structures (capitalization ratios and debt-to-EBITDA ratios) affect the financial performance of Ghanaian financial institutions. The study selected 15 financial institutions in Ghana using a purposive sampling strategy. Ten (10) financial organizations are listed on the Ghana Stock Exchange, while the remain...
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Enhancing Mobile Banking Security through Blockchain Technology: Mitigating Unauthorized Access and Protecting Financial Assets
Issue:
Volume 9, Issue 2, April 2023
Pages:
30-38
Received:
8 May 2023
Accepted:
1 June 2023
Published:
15 June 2023
Abstract: Mobile banking has revolutionized the way individuals access financial services, providing convenience and accessibility through mobile devices. However, the increasing prevalence of mobile malware and security threats has raised concerns about the safety of mobile banking platforms. This study proposes a solution to enhance the security of mobile banking by leveraging blockchain technology and implementing various security features. Through a qualitative research approach, the study emphasizes the need to address cybercrime and fraudulent activities in mobile banking. The proposed solution includes measures such as authentication, authorization, data confidentiality, secure data cleanup, prevention of data transfer, device integrity checks, and encryption. These measures aim to strengthen security, protect against intrusions, and reduce fraudulent activities. Additionally, the solution offers a customizable and user-friendly mobile app that banks can adapt to meet their customers' needs. By incorporating blockchain technology and preventive measures, the proposed solution aims to increase user trust and confidence in mobile banking. This research contributes to understanding mobile banking security issues and provides practical recommendations for addressing these concerns. It lays the groundwork for future research and development in the field, highlighting the importance of proactive measures and staying updated with evolving technologies and threats.
Abstract: Mobile banking has revolutionized the way individuals access financial services, providing convenience and accessibility through mobile devices. However, the increasing prevalence of mobile malware and security threats has raised concerns about the safety of mobile banking platforms. This study proposes a solution to enhance the security of mobile ...
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