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Which local markets do banks desert first? evidence from poland

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  • Jackowicz, Krzysztof
  • Kozłowski, Łukasz
  • Wnuczak, Paweł

Abstract

The number of brick-and-mortar bank branches is decreasing. However, local banking markets are affected by this phenomenon to varying degrees. In this study, we use a comprehensive dataset on the Polish economy to establish which local banking markets banks decide to abandon first. We find that the business models of banks operating within local markets, clients’ Internet use, and merger processes, all influence the rate of local bank branch closures.

Suggested Citation

  • Jackowicz, Krzysztof & Kozłowski, Łukasz & Wnuczak, Paweł, 2021. "Which local markets do banks desert first? evidence from poland," Finance Research Letters, Elsevier, vol. 38(C).
    • Handle: RePEc:eee:finlet:v:38:y:2021:i:c:s1544612319310931
    DOI: 10.1016/j.frl.2020.101478
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    More about this item

    Keywords

    Banking; Branch closures; Local banking markets; Distribution channels;
    All these keywords.

    JEL classification:

    • G21 - Financial Economics - - Financial Institutions and Services - - - Banks; Other Depository Institutions; Micro Finance Institutions; Mortgages

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