Macroeconomic factors on non-performing assets essay
Using panel data techniques, this article attempts to examine the impact of macroeconomic and endogenous factors on non-performing assets for the period. The aim of this research is to identify the determinants based on analyzes from previous literature, and in particular macroeconomic and bank-specific factors. which, 2014. Abstract: The problem of increase in non-performing assets has a prominent negative impact on financial stability, which is a major objective of RBI; 1 Introduction. In a perfect world, every debtor would pay his debt. The banks would then lend more and more money to companies and households. The current study examines the macroeconomic and bank-specific determinants of non-performing loan NPLs for commercial banks -2018. The Pakistani findings from the analysis indicate a significant negative correlation between non-performing assets, NPAs and profitability measures ROA and ROE, proving that this means a large portion of loans are never repaid, resulting in a significant monetary loss for the banks . When restructured and undrawn assets are added, the total stress would be -20. The present study analyzes existing studies on various issues of Indian commercial banks regarding non-performing NPA assets. The problem of the NPA is not only precarious in India but also abroad. Abstract. Determinants of default risk of banks in emerging economies have not received sufficient attention in the literature to date. Using panel data techniques, this paper attempts to examine the impact of macroeconomic and endogenous factors on non-performing assets for the period -2009. Resume. This study examined the factors affecting NPLs of non-performing loans in Nepalese commercial banks. Macroeconomic factors, management efficiency and credit policy were. The aim of this work is to investigate the influence of macroeconomic determinants on NPLs of non-performing loans in the Italian banking system during the third and fourth quarters of 2020. There has been increasing concern in recent times about the continued deterioration in the asset quality of Indian public sector banks. time. The Reserve Bank of India's Financial Stability recognized that risks to the Indian banking sector have increased in the post-recession period, particularly the risk of accumulation,