This paper investigates the impact of asset liquidity on the valuation of corporate securities and the firm’s financing decisions. I show that asset liquidity increases debt capacity only when bond covenants restrict the disposition of assets. By contrast, I demonstrate that, with unsecured debt, greater liquidity increases credit spreads on corporate debt and reduces optimal leverage. The mode...

The basic purpose of this study is to investigate the factors affecting non-performing loans microfinance banks in Pakistan during COVID-19 Pandemic. research used secondary data from Bureau Statistics and SBP websites regarding banking industry FY 2020–2021, was subjected a multi-regression analysis. analysis included number variables, including GDP growth rate, management efficiency, bank siz...

Lending remains one of the major functions of banks in all economies. In fact, interest charged on loans and advances today constitute a sizeable part of banks’ earnings. However, the possibility of failure of loans creates nightmares for not only the borrower and lender, but also poses a serious setback to the economy. This paper identifies non-performing credit as a major threat to the profit...

In this study, it is examined whether changes in the stock market index can be explained by the change in financial ratios. Financial statements of 11 conventional and 2 participation banks for a total of 13 banks (representing the essential part of the Turkish Banking Sector and constituting the BIST XBANK Stock Index) announced on a quarterly basis from 2002 to 2013 were extracted from the Pu...

The main purpose of this study is to investigate the effect credit risk on financial performance commercial banks in Nepal. panel data seventeen with 85 observations for period 2015 2020 have been analyzed. regression model revealed that non – performing loan (NPLR) has negative and statistically significant impact (ROA).Capital adequacy ratio (CAR) bank size (BS) no (ROA). Credit deposit (CDR)...