Showing 1 - 10 of 13
This study extends the literature on the determinants of NPL. I investigate whether banks anticipate non-performing loans by making balance sheet adjustments. This study draws insights into the actions taken by credit risk management teams and bank managers to minimize the size of non-performing...
Persistent link: https://www.econbiz.de/10013004906
We review the recent academic and policy literature on bank loan loss provisioning (LLP) to identify several advances in the literature, to highlight some challenges in LLP research and suggest possible directions for future research with some concluding remarks. Among other things, we observe...
Persistent link: https://www.econbiz.de/10012964664
This paper analyses the effects associated with using the magnitude of realised loan losses as a basis for performance measurement and compensation to credit risk team in banks. Paying and rewarding credit risk professionals on the basis of reporting fewer provisions or lower loan losses...
Persistent link: https://www.econbiz.de/10012902590
This article investigates the relationship between discretionary loan loss provisions and bank intangibles among African banks. Prior studies examine how intangible assets affect firms' profitability and valuation decisions with almost no focus on the role of loan loss provisions. We investigate...
Persistent link: https://www.econbiz.de/10012900164
We examine whether countries that have high levels of financial inclusion have fewer non-performing loans and loan loss provisions in their banking sectors. The fixed effect panel regression methodology was used to analyse the effect of financial inclusion on bank non-performing loans and loan...
Persistent link: https://www.econbiz.de/10013215455
This study investigates the non-discretionary determinants of bank loan loss provisions in Africa after controlling for macroeconomic fluctuation, financial development and investor protection. We find that non-performing loans, loan-to-asset ratio and loan growth are significant...
Persistent link: https://www.econbiz.de/10012901556
I examine bank loan loss provisioning behaviour during election years - focusing on the effect of elections on banking sector loan loss provisioning. The findings reveal that the banking sectors in developed countries have higher loan loss provisions in election years. Also, income smoothing is...
Persistent link: https://www.econbiz.de/10012847256
I examine the behaviour of non-performing loans in European systemic and non-systemic banks. The distinction between systemic banks (GSIBs) and non-systemic banks (non GSIBs) is driven by policy reasons. The findings reveal that more profitable banks witness higher non-performing loans...
Persistent link: https://www.econbiz.de/10012870125
The paper investigates the behavior of loan loss provisions during election years in Nigeria. Election events create uncertainties in the business environment in Nigeria which can increase the credit risk that banks face. The findings reveal that the banking sector had high loan loss provisions...
Persistent link: https://www.econbiz.de/10012860485
This paper empirically examine whether the way African banks use loan loss provisions to smooth earnings is influenced by capital market motivations and the type of auditor after controlling for non-discretionary determinants of loan loss provisions and fluctuations in the business cycle. The...
Persistent link: https://www.econbiz.de/10012960199