Does competition improve bank insolvency risk through a revenue diversification channel and what are the drivers that underlie diversification? Using a panel dataset of 978 banks, H-statistic and the Lerner index as measures of the degree of competition in the banking sector, and employing three...

Purpose This study aims to consider the effect of financial (banking) freedom and competition on bank efficiency. Design/methodology/approach With data from 11 Sub-Saharan African countries over the period 2006-2012, the study estimates both competition (market power) and bank cost efficiency...