Abstract Based on bank level data from the euro area, I investigate role of non-performing loans (NPLs) for lending rates newly granted loans. The focus is an effect caused by stock NPLs that extends beyond losses banks have already incorporated into their reported capital positions. paper assesses channels through which such occurs. results indicate a higher associated with rates. This relatio...

This study explores the possibility of a lag in transmission credit channeling and non-performing loans to economic growth Indonesia. The autoregressive distributed (ARDL) model was applied yearly data from 2003 2020 endogenous constraint (EC) used as dynamic indicator non-performance on growth. shows that Indonesia is positively significantly affected by years t-1 t-3; meanwhile, current year ...

The implementation of risk management is an obligation that must be carried out by rural banks in every business activity accordance with Financial Services Authority regulation 13/OJK.03/2015. This study aims to examine whether the can strengthen or weaken effect intellectual capital on non-performing loans. sampling method used saturated and obtained data 26 research samples. selected respond...

Abstract We compare the performance of a wide set regression techniques and machine-learning algorithms for predicting recovery rates on non-performing loans, using private database from European debt collection agency. find that rule-based such as Cubist, boosted trees, random forests perform significantly better than other approaches. In addition to loan contract specificities, predictors ref...

The banks’ response to their changes in leverage ratios is examined and evaluated in this paper. This reaction can be interpreted as if the coefficient of total debts to equity (lev1) and total assets to equity (lev2) are positive as anticipated in the banking network of Iran. The paper uses data from 31 Iranian banks’ annual databases during the course of 2006-13 in order to estimate an empiri...