From: NPAs and profitability in Indian banks: an empirical analysis
Variables | Fixed effect model | Random effect model | ||
---|---|---|---|---|
Dependent variable: ROA | Coefficient | SE | Coefficient | SE |
Explanatory variables | ||||
NNPA | − 0.2136*** | 0.0258 | − 0.2083*** | 0.0207 |
lnTD | 0.0978 | 0.3103 | 0.1640*** | 0.0505 |
NII | 0.4911*** | 0.1051 | 0.5266*** | 0.0740 |
II | 0.2687*** | 0.0866 | 0.3097*** | 0.0635 |
CAPT1 | 0.0282*** | 0.0092 | 0.0291*** | 0.0097 |
OCTII | − 2.9788** | 1.2694 | − 3.3055*** | 1.1504 |
GDPGr | 0.5507*** | 0.1737 | 0.5126*** | 0.1629 |
INF | − 0.4228 | 0.4191 | − 0.3160 | 0.2167 |
IR | 1.3884 | 1.2767 | 1.0733 | 0.7345 |
C | − 10.5673 | 5.8362 | − 9.2618 | 4.5848 |
Number of observations | 585 | Â | 585 | Â |
Number of Banks | 39 | Â | 39 | Â |
R-Square | 0.735 | Â | 0.734 | Â |
Prob [F Statistics] | 0 | Â | 0 | Â |