TITLE:
The Impact of Intellectual Capital on Performance of Commercial Banks in Mongolia
AUTHORS:
Natsagdorj Saruultugs, Munkhdalai Erdenebat, Tsogbadrakh Tsetsegmaa
KEYWORDS:
Commercial Bank, Financial Performance, Human Capital, Intellectual Capital, Value Added Intellectual Coefficient Methodology
JOURNAL NAME:
iBusiness,
Vol.14 No.4,
November
8,
2022
ABSTRACT: In this paper, we examine the impact of intellectual capital on financial
performance of commercial banks in Mongolia using the financial data between
2011 and 2021. The performance impact of intellectual capital on business
results is measured by the value-added intellectual coefficient (VAIC)
methodology which was used to analyze the data in random and fixed effects models. Statistical analysis shows that the human capital and capital employed has
positive effect on return on equity. Structural capital and capital employed
has positive effect on return on total assets. Human capital has positive
effect on net interest margin while capital employed has negative effect on net
interest margin. Our recommendation is that in order to increase profitability
of Mongolian commercial banks they should measure impacts of their intellectual
capital and human capitals.