This study investigates the relationship between ownership structure (foreign and domestic) and bank risk-taking over the period 2014-2022. The analysis includes 66 banks operating in the GCC, divided into 44 domestically owned, and 22 foreign-owned banks. The research examines the relationship...

Non-performing loans (NPL) for banking are a necessity but a frightening specter. A high NPL indicates a bank's failure to manage its business. The increasingly uncontrollable NPL with a net position of above 5% will make the bank a patient regulator in the category of banks under intensive or...

This Study Analyzes the Factors that Explain the Evolution of banks' Nonperforming loan Ratios Worldwide. We use a Sample of 1,631 Entities from 111 Countries Grouped into the Eight Central Regions in the World, with Information Corresponding to the Period 2007-2021. Applying Panel data Methods...

Purpose: This study investigates the impact of control of corruption (COC) on nonperforming loans (NPLs) in South Asian countries. Methodology: The present study selected three South Asian countries (Pakistan, India, and Bangladesh) from 2000 to 2019. Further, the current research employed the...

Macroprudential policy has gained prominence for promoting financial stability. In this paper, we assess the effectiveness of macroprudential policy in reducing credit growth over a 22-year period across 129 countries. Additionally, we investigate the interaction between macroprudential policy,...

One of the most important steps towards a greener economy is assessing the path through which climate risks are internalized in to bank portfolios. Aligned with literature on market risks and credit risks emanating from climate risk exposure, this paper sought to assess the feedback effect...

This study aims to investigate the intricate relationship between intellectual capital and asset quality within the context of the Turkish banking sector to determine the optimal level of intellectual capital investment that can enhance the asset quality of deposit banks. The study relies on...

This study focuses on the pandemic phase when the U.S. economy dealt with significant economic recessionary pressures due to widespread, prolonged social mobility restraints. The Federal Open Market Committee (FOMC) promptly pursued expansionary policies, such as lowering the federal funds rate...

The availability of bank loans is a vital component in determining the investment and spending patterns that influence economic growth. This article examines the threshold effect of loan growth on non-performing loans (NPLs) in the Zimbabwean banking industry during dollarization. The study...

This paper investigates the effects of cost efficiency on non-performing loans (NPLs) in Zim-babwe during dollarisation. The research applies the random effects and bootstrap quantile regression models using the full dollarisation era dataset for 13 banks from 2009 to 2017. The obtained results...

The aim of the research presented in the article was to analyse the legitimacy of the use of scoring models in banking activities, together with the assessment of the effectiveness of this tool in reducing the high value of the NPL ratio in Polish cooperative banks on the example of banks...

By utilizing US commercial banking sector data from 1981 to 2022, I examine the relationship between organizational capital and bank risk-taking in the context of Non-Performing Loans. I find that greater investment in organizational capital is associated with a higher share of Non-Performing...

This work empirically evaluates the level of technical efficiency of Brazilian banks considering the volume of non-performing loans (NPLs) and their determinants. We made this in a two-stage analysis. In the first stage, the results suggest that for the type of ownership, foreign banks were more...

We build a business cycle model characterized by endogenous firm dynamics, where banks may prefer debt renegotiation, i.e. non-performing exposures, to outright borrowers' default. Debt renegotiations per se do not have adverse effects in the event of financial crisis episodes, but a large share...

In recent years, there is an increasing trend in non-performing loan levels in Turkey which causes stress both on the real and financial sectors. Increasing non-performing loan volumes are an indication of problems in sectors or the general economy. It is also closely related with the stability...

Sustainability is a vital perspective for banks to keep their survival in the long run. While nonperforming loans (NPLs) also impact sustainability, this study aims to examine the moderating impact of NPLs on the adoption of sustainable development goals and the financial performance of the...

The purpose of this paper was to investigate the determinants of risk-taking in the context of Islamic and conventional microfinance institutions (MFIs) while considering the capital structure’s role in moderating the risk-taking decisions’ effect on financial performance. Fixed and Random...

Non-performing loan (NPL) is a red flag, providing signal of jeopardize for a country's economy. With respect to increase in NPLs, banking sector of Bangladesh has trapped in gridlock. This problem has become an alarming issue for bank's sustainability. The present study investigates the...

The study investigates macroeconomic and bank-specific determinants of credit for commercial banks from 2010Q1-2022.Q4 in Indonesia. The banking credit is divided into an investment, working capital, and consumption credits. The study aims to address a gap in the literature since most prior...

This study examines the determinants of capital adequacy and voluntary capital buffers among microfinance institutions (MFIs). We apply the two-stage least squares (2SLS) with instrumental variables to account for endogeneity. Using quarterly panel data of 439 MFIs in Ghana covering the period...

The COVID-19 crisis combined with the global repercussions from the Russian invasion of Ukraine exacerbated the stress on financial systems around the world. More than 150 countries introduced policy measures to support the financial sector amid the COVID-19 pandemic. Such measures included debt...

This paper explores the repercussions of the COVID-19 pandemic on the banking sector, focusing on the escalation of credit risk and its effects on non-performing loans (NPLs), loan loss provisions, and economic activity in the Republic of Kosovo. Amidst the global health crisis, the banking...

The primary goal of this article is to examine the principal macroeconomic factors influencing credit risk as assessed by the nonperforming loan ratio (hereinafter NPL ratio). Based on the results, the ratio of domestic credit to the private sector, Organization for Economic Cooperation and...