Suchergebnisse

This paper examines the consequences of banks' performance on bank risk. The paper forms a theoretical model and delivers empirical evidence to identify that banks suffer in performance as the loans become bad. Using panel data from a sample of five (05) South-Asian emerging economies from 2011 to 2019, we have found that the banks are highly influenced by the development of non-performing loans (NPLs). We have primarily used Return on Asset (ROA) followed by Return on Equity (ROE) as a substitution to the performance of the banks and NPL as the proxy of bank risk. Simultaneous regression applying 3sls finds that Non-Performing Loan (NPL) hinders banks' growth, negatively affecting their profitability.

Rast udjela neprihodonosnih kredita u ukupnim kreditima jedan je od temeljnih problema svih bankovnih sektora. Za uspjeh naplate važno je pravovremeno odrediti najprikladniju strategiju za svako pojedino potraživanje u cilju skraćivanja vremena naplate, povećanja iznosa naplate te smanjenja pravnih aktivnosti. Analiza u ovom radu upućuje na zaključak da preveliki broj izmjena i dopuna zakonske regulative te dugotrajnost, neefikasnost i neizvjesnost pravosudnih postupaka predstavljaju značajne prepreke za oporavak dužnika i/ili naplatu kredita u mnogim europskim zemljama, uključujući i Republiku Hrvatsku. Zbog toga je važno da svaka država, u proaktivnoj suradnji s bankama i regulatorima, provede sveobuhvatnu analizu postojećega pravnoga i regulatornoga okvira kako bi se utvrdile, a zatim i uklonile, prepreke koje ometaju učinkovito rješavanje pitanja naplate neprihodonosnih kredita. Zakonodavni i regulatorni okvir vezan za rješavanje problematike naplate neprihodonosnih kredita treba biti jednostavan, efikasan, transparentan i praktičan. ; Increase in the share of non-performing loans in overall loans volume is one of the key problems throughout the banking sectors. To enable collection, it is important to timely define the most appropriate strategy for each loan receivable with the aim of shortening the payment collection time, increasing the payment amounts and reducing legal actions. The analysis in this paper indicates that too many amendments to legislation, as well as lengthiness, inefficacy and uncertainty of judicial proceedings present significant obstacles to debtor recovery and/or loan collection in many European countries, including the Republic of Croatia. Therefore it is important for each country, in cooperation with banks and regulators, to carry out a comprehensive analysis of the existing legal and regulatory framework in order to identify and then remove obstacles to solving non-performing loans. The legal and regulatory framework for non-performing loans resolution needs to be simple, efficient, transparent and practical.

This paper aims to propose a solution for the current problem of Non-Performing Loans (NPLs) in the Portuguese banking system. The analysis starts with an overview of the theoretical responses to an overall NPL problem. This is followed by a description of the relevant events in the last decade within the Portuguese banking system and of the solution currently being studied by the Portuguese government. The paper concludes that the solution has severe flaws, and proposes an alternative solution that consists on a centralized asset management company.

La crisi economico-finanziaria che ha colpito duramente l'Europa ha prodotto effetti drammatici sui sistemi bancari, che si sono a loro volta ripercossi sull'economia reale di tutti gli Stati membri con intensità differenti. Gli intermediari bancari hanno visto accumularsi nei loro bilanci grandi quantità di non-performing loans. L'obiettivo del lavoro è stato quello analizzare le azioni di vigilanza intraprese a livello europeo dall'EBA, dalla BCE e dalla Commissione Europea per far fronte al fenomeno e come queste sono state recepite e attuate dalla Banca d'Italia nel nostro paese, dove l'ammontare degli NPL è stato molto superiore alla media UE. L'attenzione si è poi spostata sulle dinamiche legate alle soluzioni di gestione dei crediti deteriorati prospettate dai regulators, di cui si sono descritti i principali vantaggi e gli ostacoli al loro sviluppo. Le operazioni di cessione al mercato incontrano particolari difficoltà soprattutto in Italia a causa della presenza di un elevato pricing gap; il legislatore italiano è perciò intervenuto per rimuovere gli ostacoli allo sviluppo di un mercato secondario degli NPL. Il mantenimento in bilancio dei crediti problematici e la loro gestione interna, invece, richiede l'accelerazione del processo di recupero dei crediti ed il miglioramento delle informazioni a disposizione sulle esposizioni. Per completare la trattazione si sono forniti degli esempi di operazioni e strategie di gestione adottate da alcune banche italiane.

The country's macroeconomic conditions, whether directly and indirectly will influence the development of the financial and banking sector. This study aims to determine the effect of macroeconomic and internal company variables consisting of BOPO, ROA, money supply, and the unemployment rate on non-performing loans (NPL) in Indonesian banking, especially Regional Development Banks (BPD). The sampling technique used is purposive sampling technique. There are 20 Regional Development Banks (BPD) that met the requirements determined by the observation period from 2008-2021. The data processing method used is panel data regression. Model selection uses the Chow test, Hausman test and Langgrange Multiplier test (LM Test). Based on this, the appropriate model is the Fixed Effect Model (FEM). Testing the classical assumptions of FEM shows that there is a heteroscedasticity problem, then it is recovered using the Feasible Generalized Least Square (FGLS). The results of the analysis show that the variables BOPO, ROA, money supply, and unemployment rates both simultaneously and individually have a significant positive effect on the NPL of Regional Development Banks.

SUMMARY
We analyse the determinants of coverage ratios and their components [non-performing loans (NPLs) and loss loan reserves] in a large sample of European banks. We find that bank-specific factors, particularly credit risk variables (including forward-looking indicators) and capitalization, matter the most. Coverage ratios adjust insufficiently as asset quality deteriorates, except in high-NPL banks. Capitalization has a positive effect on coverage ratio, pointing to a complementarity between the two buffers. At the country level, specific macroprudential levers and developing NPL secondary markets enhance coverage ratios. Our findings emphasize the importance of micro oversight and call for more stringent macro policies in high-NPL countries.