%0 Journal Article
%T The Impact of Basel Iii Implementation on Risk-Taking Behavior of Banks in the Apac Region
%A Le Thanh Tam
%A Ho Van Tuan
%A Ho Duc Phat
%A Nguyen Ngoc Minh
%A Le Minh Khue
%A Truong Quang Hieu
%A Tran Duc Anh
%J Journal of Organizational Behavior Research
%@ 2528-9705
%D 2026
%V 11
%N 2
%R 10.51847/wvCUJoYG1Z
%P 1-14
%X This study examines the impact of Basel III implementation on bank risk-taking behavior across the Asia-Pacific (APAC) region. Using panel data from 115 commercial banks spanning the period 2018 to 2024, we employ Feasible Generalized Least Squares (FGLS) regression to analyze the relationship between Basel III liquidity requirements and various dimensions of bank risk. Our empirical findings reveal several important insights. First, bank profitability is negatively associated with risk-taking behavior, consistent with the economies-of-scale theory. Second, the Liquidity Coverage Ratio (LCR) demonstrates a positive association with credit risk (CR), while the Net Stable Funding Ratio (NSFR) shows positive relationships with both default risk (DR) and credit risk (CR). Third, bank size emerges as a strong inverse determinant of risk-taking behavior. Fourth, macroeconomic factors exhibit differential impacts across various risk categories. These results provide significant implications for banking supervisors, policymakers, and financial institutions in the APAC region regarding the optimization of Basel III regulatory frameworks to promote stable and resilient banking systems.
%U https://odad.org/article/the-impact-of-basel-iii-implementation-on-risk-taking-behavior-of-banks-in-the-apac-region-l5q7imhts8beev7