The Effect of Syndication and Securitization Loans on Financial Performance of State-Owned Banks: The Case of Turkey


  • Ahmet ŞİT ahmetsit


State-owned Banks, Syndicated and Securitization Loans, Financial Performance, Time Series Analysis


The purpose of this study was to investigate the impact of received syndicated and securitization of loans by state-owned banks in Turkey's on their financial performance. In this study, the banking sector was limited and only state-owned banking sector was examined. The data of banking sector and syndication loans data are taken from the official website of the BRSA. In this study, Johansen Cointegration Test and VEC Granger Causality Tests were used as methods. As a result of the study;

it was seen that there was a cointegrated relationship between syndication/ securitization loans and the financial performance of the bank in the long term. It is concluded that in the short term syndication and securitization loans do not cause the financial performance of the bank and that there is a causal relationship in the long term.


Altunbaş, Y., Kara, A. and Marques-Ibanez, I. (2010). Large Debt Financing: Syndicated Loans Versus Corporate Bonds. The European Journal of Finance, 16 (5): 437–458.

Apak, S. (1995). International Banking-Financial Systems. İstanbul: Bilim Technical Publisher.

Armsstong, J. (2003). The Syndicated Loan Market: Developments In the North American Context. Bank of Canada Working Paper, 15: 1-34.

Asteriou, D. and Hall, S.G. (2007). Appliedeconometrics. New York: Palgra and Macmillan.

Bloomberght (2019). What is Securitization? Author: Cüneyt Başaran, Access Address: https://, Access Date: 20.07.2019.

Chui, M., Domanski, D., Kugler, P. and Shek, J.(2010). The Collapse Of International Bank Finance During The Crisis: Evidence From Syndicated Loan Markets. BIS Quarterly Review. 39-49.

Çukur, S., Eryiğit, M., and Duran, S. (2008). Effects of Syndication and Securitization Loan Agreements on Stock Prices of Borrowing Banks. İktisat İşletme ve Finans, Bilgesel Publishing, 23 (264): 58-78.

Demirci, N.S. (2016). Relationship between Production and Bank Loans in Manufacturing Industry: Cointegration and Causality Analysis. Dokuz Eylül University SBE Journal. 19 (1): 35-61.

Demirhan, D. (2010). Profitability Effects of Decision Regarding Financial Structure of Deposit Banks in Turkey. Muhasebe ve Finansman Journal, 45: 157-168.

Duran, S. (2007). The Effect of Syndication and Securitization Loans on the Stock Prices of Borrowers. (Unpublished master's thesis). Abant İzzet Baysal University Institute of Social Sciences Department of Business, Bolu.

Fery, J., Gasbarro, D., Woodliff, D.R. and Zumwalt, J.K. (2003). Market Reaction to Published and Non-published Corporate Loan Announcements, The Quarterly Review of Economics and Finance, 43 (1): 1–10.

Gasbarro, D., Kim-Song, L., Schwebach, R.G. and Zumwalt, J.K. (2004). Syndicated Loan Announcements and Borrower Value. The Journal of Financial Research, 28 (1): 133-141.

Godlewski, C.J. and Weill, L.(2010). Syndicated Loans In Emerging Markets. Journal of Emerging Markets Review, 9: 206-2019.

Güngören, M. (2011Compliance Modeling of Securitization (Securitization) in Free Interest Banks in Financial Markets with Structural Differences: The Case Of Sükuk. Kadir Has Universty Instute of Social Sciences Doctorate Thesis, İstanbul.

Işığıçok, E. (1994). Causality Analysis in Time Series. Bursa: Uludağ University Publisher.

Johansen, S. and Juselius, K. (1990). Maximum Likelihood Estimation and Inference On Cointegration With Applications To The Demand For Money. Oxford Bulletin of Economics and Statistics, 52 (2): 169-210.

Kleimeier, S. and Megginson, W.L. (2000). Are Project Finance Loans Different From Other Syndicated Credits? Journal of Applied Corporate Finance, 13 (1): 75-87.

Kutlu, H. A., Demirci, N.S. and Güner, M. (2012). Syndicated Loans as a Risk Management Tool and a Financing Alternative. 2012 International Istanbul Finance Congress: 628-635.

Nandy, D. and Shao, P. (2010). Institutional Investment In Syndicated Loans UBC Winter Finance Conference 2008 Paper; EFA 2009 Bergen Meetings Paper: 1-54.

Pantula, S.G. (1989). Testing For Unit Roots In Time Series Data. Econometric Theory, 5 (2): 256-271.

Pişkin, F. (2016). Factors Determining the Spread in Syndicated Loans Received by the Turkish Banking Sector. Faculty of Economics Journal, 66 (2): 113-158.

Sakarya, Ş. and Sezgin, H. (2015), The Effect of Syndicated Loan Usage on Banks' Stock Returns: An Application in BIST with the Case Study Method, Journal of Banking, 92: 5-24.

Sarıgül, H. (2015). The Effect of Syndicated Loan Usage Announcements on Banks' Stock Returns. Journal of Financial Studies and Studies, 7 (12): 113-129.

Takım, A. (2010). Relations Between GDP and Export in Turkey: Granger Causality Test. Atatürk University Journal of Social Sciences Institute, 14 (2): 315-330.

The Banks Association of Turkey (2020). Statistical Reports. Access Link:, Access Date: 01.06.2020.




How to Cite

ŞİT, A., & MİÇOOĞULLARI, S. A. (2020). The Effect of Syndication and Securitization Loans on Financial Performance of State-Owned Banks: The Case of Turkey. Journal of Financial Economics and Banking, 1(1), 10-19. Retrieved from



Full Length Articles