Search results

This paper empirically investigates whether trade openness (TO) in Brazil, Russia, India, China and South Africa (BRICS) countries affects how banks might employ loan loss provisions (LLPs) to smooth out their earnings and how adopting the International Financial Reporting Standards (IFRS) can mitigate it.

The analysis includes 78 commercial banks from five BRICS nations and spans 2014 through 2020. To test these hypotheses, the authors utilized a fixed-effect and two-step system panel generalized methods of moments (GMM) estimator.

TO positively affects income smoothing (earnings management) across BRICS commercial banks. The effect is clearer in banks that make financial reports under the IFRS. Path analysis reveals that the effect of TO is driven by nonperforming loans (NPLs). Additionally, the IFRS restricts earnings management in the BRICS banking sector when a better institutional environment is present. The authors found that accounting rules (IFRS) and enforcement (better institutional settings) interact to enhance earnings’ quality.

The relationship between TO and bank earnings management practices is important for understanding the complex interplay between trade and finance and ensuring financial stability, investor confidence and regulatory compliance. This study recommends better regulations and governance mechanisms for financial reports in emerging nations like BRICS. Additionally, macro-prudential regulators and banking supervisors should work closely to ensure transparent TO decisions with improved discipline, institutional quality and regulatory support to enhance bank stability.

The study finds evidence of bank income smoothing in the BRICS and introduces TO as a determinant. It also identifies the evolving role of IFRS in the presence of higher institutional quality and TO, thereby expanding the financial reporting literature.

This paper aims to explore the relationship between economic policy uncertainty (EPU) and earnings quality in banks in the context of Brazil, Russia, India and China (BRIC) as an emerging economic bloc. The study further explores the role of institutional quality in moderating the impact of EPU on bank earnings quality.

The study has used earnings management (EM) as a proxy for earnings quality, measured using discretionary loan loss provisions. The higher the EM, the lower the quality of earnings. The study has collected data from 74 banks spanning the years 2014 to 2020 and used fixed effects (FE) and generalized methods of moments (GMM) estimators to test the hypotheses.

The study has found a positive impact of EPU on EM, suggesting that banks in the BRIC region react to EPU by increasing earnings opacity. However, the study found that better institutional quality can reduce the EM in the presence of EPU.

The study has made an early attempt to establish the relationship between bank EM and EPU in a cross-country setting. In addition, the study shows that the level of institutional quality in emerging markets moderates the impact of EPU on bank EM, which remains unexplored in prior research.

The Indian hospitality and tourism industries, major economic growth drivers and employment generators, have been greatly affected by the outbreak of the COVID-19 pandemic. In FY 2020, the Indian tourism sector created 39 million jobs and contributed nearly US$194.3bn, or 6.8%, to India’s gross domestic product. The purpose of this study is to focus on ranking 22 listed hotels and 9 listed travel agencies in India based on their performance across 14 selected financial parameters in both the pre-COVID-19 year ending in March 2019 and the post-COVID-19 year ending in March 2021 to understand how the pandemic affected their businesses.

This research proposes to analyze the impact of the COVID-19 pandemic on the financial performance of 22 listed Indian hotels and 9 listed travel agencies evaluated over 14 financial parameters using a pipeline of two recently developed multicriteria decision-making techniques, method based on the removal effects of criteria (MEREC) and grey-based combined compromised solution (CoCoSo). First, the criteria weights are objectively determined using MEREC, and then the financial performances of the selected companies in both the hospitality and tourism industries are separately assessed using CoCoSo to get their overall performance score, based on which the companies are ranked in order of preference.

It was observed that Westlife Development, Lemon Tree Hotels, Indian Tourism Development Corporation, Royal Orchid and Country Club performed significantly poorer than their peers in the aftermath of the pandemic, whereas EIH, Advani Hotels and Resorts and TGB Banquets performed relatively better. Travel agencies Easy Trip and International Travel House performed particularly poorly because of the pandemic, but VMV Holidays performed relatively better in FY 2021.

The findings of the analysis will aid portfolio construction, corporate investment decisions, competition research, government policymaking and industrial analysis.

The proposed model is novel because it fills the research gap in the application of the integrated MEREC–CoCoSo method to study the impact of COVID-19 on the hospitality and tourism sectors in India.

The aim of this paper is to make a descriptive exploratory effort to discern the role of IT exports in India's macro-economic indicators, like national income, employment and balance of payment in the post-Liberalization, Privatization and Globalization strategy in the 1990s. The paper also explores the vital historical developments of various dimensions of IT, such as its export growth, major software and services exports destinations, compositions of IT exports and domestic growth in India.

This study is based on secondary data, which were collected from Balance of Payment Statistics Reserve Bank of India (RBI) and Handbook of Statistics on Indian Economy, National Association of Software and Service Companies (NASSCOM),rtd and Department of Electronics and Information Technology (DEITY). This study has used descriptive analysis and growth models for studying the objectives. Major IT sector dimensions, such as total output, exports revenue, domestic revenue, gross domestic product, employment and exports of the software and service industry, have been examined for the period 1991–2016.

The findings suggest that over the last 26 years, the information technology industry's economic footprint has extended by more than seven times. Over the same period, direct employment in the information technology sector increased at an average growth rate of around 17%. Software and services exports earn, on average, about three times greater than the other three major services of India's current account of the balance of payment.

This study focuses on originality in examining the role of IT exports in India's macro-economic indicators economic reforms of the 1990s and also explores the historical developments of various dimensions of IT exports and domestic growth in India. All the work has been done in original by the authors, and the work used has been acknowledged properly.