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Purpose This paper aims to investigate the impact of institutional quality on foreign direct investment (FDI) in Ghana for the period 1985-2016. Design/methodology/approach The study uses the autoregressive distributed lag (ARDL) approach to examine the relationship between institutional quality along with other controlled variables and FDI. Findings Evidence from the ARDL framework establishes a positive significant effect of institutional quality on FDI irrespective of the time horizon. The results also reveal a significant impact of inflation on FDI in both short and long run, while GDP per capita growth and trade are significant determinants only in the short run. Practical implications The study recommends the instigation of effective policies and strategies that seek to strengthen the quality of institutions, as this provides a conducive investment climate to attract FDI. Specifically, policies that are focused on promoting transparent legal regimes, regulatory reforms, non-corrupt institutions and political stability should be the precedence of policymakers. Originality/value In addition to being a pioneering work on the impact of institutional quality on FDI in Ghana, the main contribution of the study lies in its application of the principal component analysis to generate a single measure of institutional quality based on a number of institutional factors.

Purpose This paper aims to examine the key factors determining bank deposit growth in Turkey for the period 2000Q1–2016Q4. Design/methodology/approach The study employs the autoregressive distributed lag approach to investigate the effect of bank-level and macroeconomic factors on deposit growth. Findings The results reveal that bank stability, banking sector efficiency, broad money supply, economic growth, and inflation are significant determinants of deposit growth in the long run. The findings further show that in the short run, only branch expansion and broad money supply are relevant for bank deposit mobilization. Originality/value This paper departs from the extant empirical studies that focus on the determinants of individual savings behaviour in Turkey. Considering the short- and long-run time dimensions, the authors distinctively examine how bank characteristics influence deposit growth, thus presenting a relatively pioneering attempt in this context.

This study examines the influence of bank-specific and macroeconomic factors on commercial banks profitability in Ghana. The study employed the ordinary least square regression model to analyse the data obtained from the annual financial statements of five commercial banks from 2010 to 2015. The empirical results suggest that bank size, liquidity, capital adequacy, asset management, expense management, and real interest rate are positively related to profitability. GDP growth and inflation rate on the other hand, are related negatively to profitability. However, only bank size, liquidity, and expense management have a significant effect on commercial banks profitability. It can be observed that commercial banks profitability in Ghana is largely determined by bank-specific factors, whereas macroeconomic factors have an insignificant impact on banks profitability for the period considered. Therefore, it is crucial for management of commercial banks in Ghana to efficiently manage the factors that contribute to their profitability in order to enhance superior performance.

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