Being a Foreigner among Domestic Banks : Asset or Liability ?

@inproceedings{Claessens2009BeingAF,
  title={Being a Foreigner among Domestic Banks : Asset or Liability ?},
  author={Stijn Claessens and Neeltje van Horen},
  year={2009}
}
Do foreign banks have an advantage operating abroad? The existing literature has come up with different answers. Studying the performance of for eign banks relative to domestic banks in a large number of countries between 1999 and 2006, we find th at the answer importantly depends on a number of factors. Specifically, foreign ba nks tend to perform better when from a high income country and when competition in the host co untry is limited. They also perform better when they are large and rely… CONTINUE READING