Summary of variables
| Abbreviation | Description | Measurement |
|---|---|---|
| PF | Dependent variable: Bank profitability | Return on Assets (ROA): Net profit after taxes / total assets |
| CBIR | Main independent variable: Central bank interest rate | Central bank’s policy rate |
| CA | Financial stability and risk tolerance | Equity / total assets |
| SZ | Bank size | Natural logarithm of total revenue |
| GR | Revenue growth rate | Percentage change in total revenue |
| Abbreviation | Description | Measurement |
|---|---|---|
| Dependent variable: Bank profitability | Return on Assets (ROA): Net profit after taxes / total assets | |
| Main independent variable: Central bank interest rate | Central bank’s policy rate | |
| Financial stability and risk tolerance | Equity / total assets | |
| Bank size | Natural logarithm of total revenue | |
| Revenue growth rate | Percentage change in total revenue |
Source(s): Created by authors
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