Investigating the Effect of Exchange Rate Protected Deposit Application on the Performance of Commercial Banks in Turkey

Creative Commons License

Saka Ilgın K.

Turkish Studies - Economics, Finance, Politics , cilt.19, sa.3, ss.885-901, 2024 (Hakemli Dergi)

Özet

This study aims to examine the effect of the Exchange Rate Protected Deposit Account (ERPDA) application on the financial performance of commercial banks in Turkey. For this purpose, the entropy-based gray relational analysis method was applied using the financial ratios of the 10 banks with the highest asset size in Turkey for the 2020-2022 period. It was found that the financial ratio with the highest weight among the financial ratios examined in the analysis was net profit per branch. As a result of the analysis of the study; It has been determined that there were serious decreases in the performance of public-owned commercial banks both in the 2020-2021 period, when the effects of the Covid-19 pandemic continued, and in the 2021-2022 period affected by the ERPDA application. Despite this, it has been determined that most of the privately and/or foreign-owned banks are at the top of the financial performance rankings. Akbank was the bank with the highest financial performance at the beginning of the analysis period; It was observed that the bank with the lowest value was Denizbank. At the end of the analysis period, Akbank again ranked first in the financial performance ranking; Halkbank fell to the last place. While the financial performance of 4 out of 10 banks examined in the study increased in the 2020-2021 period; it was determined that the financial performance of 2 of them decreased. In the 2021-2022 period; it was determined that the performance of 2 of the banks was decreased, the performance of 2 of the banks was increased and there was no change in the performance of 6 banks. Based on the analysis results; although the ERPDA application did not cause significant changes in the performance of commercial banks compared to the previous year, when the effects of the pandemic continued, it can be stated that there was no increase in the financial performance of the banks, in general.