Dependent variable: Lending interest rate

Average values of significant coefficients

Model 3: Foreign banks

Independent variable

Weighted Least Squares

Fixed effect

Random effect

No Lag

1 Lag

No Lag

1 Lag

No Lag

1 Lag

const

8.048

−4.211

13.095

−5.519

14.033

−0.330

il

−0.013

−0.038

−0.010

id

0.534***

0.256*

0.583***

0.203

0.564***

0.124

0.484

ras

0.220**

0.084

0.233

0.106

0.244**

0.124

0.232

opcr

0.652***

0.292***

0.746***

0.262**

0.760***

0.275**

0.498

nplr

0.034

−0.078**

0.042

−0.046

0.041

−0.070*

−0.074

siz

0.007

−0.095

−0.028

−0.159

−0.025

−0.151

liqr

−0.083***

−0.051

−0.105***

−0.048

−0.104***

−0.052

−0.097

provr

−0.050**

−0.078***

−0.056***

−0.068***

−0.053*

−0.070***

smr

−1.608***

−0.028

−1.956***

−0.033

−1.987***

0.039

−1.850

rgdp

0.035

−0.493

−0.202

−0.476

−0.173

−0.663

infl

−0.134

−0.225

−0.167

−0.238

−0.155

−0.242

itbl

0.096

−0.185

0.113

−0.060

0.103

−0.171

HHI_AS

0.015***

0.026***

0.014**

0.027***

0.013**

0.024***

0.020

Adj R2

0.387

0.284

F-stastic

13.420***

5.214***

F(12, 29) = 10.222***

F(13, 29) = 5.213***

Null hypothesis

Groups common intercept: Welch F(29, 27.2) = 0.556; p-value = 0.959

Groups common intercept: Welch F(29, 33.2) = 0.909; p-value = 0.599

1) Breusch-Pagan test: Unit-specific error variance = 0; Chi-square (1) = 2.146, p-value 0.142. Hausman test: GLS estimates are consistent; Chi-square (12) = 1.408, p-value 0.999

1) Breusch-Pagan test: Unit-specific error variance = 0; Chi-square (1) = 1.580; p-value 0.0.208; Hausman test: GLS estimates are consistent; Chi-square (13) = 12.898, p-value 0.455