Assessing the impact of banking efficiency, operations, and regulation on banking performance: Fresh insight using dynamic correlated framework on the data set of Russia and Ukraine

The purpose of this study is to investigate how banking industry-specific variables like regulation, efficiency, and operations affected nonperforming loans (NPLs) in Ukraine Russia from 1995 2019. This has employed the robust unit root test cross-sectional dependencies technique along with a new DCCE approach. dynamic correlated method as it provides best results when data suffers dependencies. concludes that loose credit policy lower profitability help rising NPLs. However, context macroeconomic variables, volatile interest rates, exchange rate fluctuations are main reason for NPLs Ukraine. research work also highlights issue provide substantial methods resolve problem results. Findings will policymakers recognize relevance managing other variables.