Analyzing the Systematic and Unsystematic Factors Affecting Credit Risk in the Banking System of Iran

Q: How can I download an article?

To download an article from SID, first log in to the site, search for the article title, and click on the 'Download Article' option.

Q: How can I download an ISI article?

To download an ISI article on SID, enter the keyword or article title in the search bar, view the relevant results, click on the desired article, and select the 'Download Article' option.

Q: How can I access the SID database?

To access the SID database, visit SID.ir, create an account, and log in to access scientific resources.

Q: Is downloading articles from SID free?

Some articles on SID are available for free, while others require payment. Details are specified on the article's page.

Malekmohammadi Mohammadreza; SAEEDI ALI; MATINFARD MEHRAN

مرکز اطلاعات علمی Scientific Information Database (SID) - Trusted Source for Research and Academic Resources

Journal Paper

Paper Information

Journal: JOURNAL OF SECURITIES EXCHANGE Year:2020 | Volume:13 | Issue:49 Page(s): 134-159

Download Full-Text

Persian Verion

View:

690

Download:

Cites:

Information Journal Paper

Title

Analyzing the Systematic and Unsystematic Factors Affecting Credit Risk in the Banking System of Iran

Author(s)

Malekmohammadi Mohammadreza | SAEEDI ALI | MATINFARD MEHRAN | Issue Writer Certificate

Keywords

credit riskQ2

systematic & unsystematic factorsQ1

GMM-SYSQ1

Abstract

The research at hand is a study of systematic and non-systematic factors influencing credit risk in Iran's banking system between 2006 and 2016. Throughout the study, the GMM-SYS method has been used. According to the results gained, macro economic factors including inflation, stock market index and currency rate had positive and meaningful effects on increasing the non-productice loans. On the other hand, Gross Domestic Product had a negative effect in this regard; in other words, economic stagnation and a decrease in domestic product augment credit risk in the banking system. The effectiveness of Governmentowned banks factor on credit risk was not proved. Among the unsystematic factors, the explored quotients for ROA and weighted average rate of deposits (WARD) were positive and meaningful effect. It implies that this high rate results in diminishing the banks' margin of profit, which, in turn, causes them to take adventurous steps toward and grant risky and high-interest loans. Moreover, in this article, two simultaneous models are studied; one inplicates the effective factors in the ROA and the other one is (WARD): The attained results show that an increase in liquidity risk and ROA & non-interest deposit of previous period lead to a decrease in WARD. Furthermore, the ratio of the capital adequacy and Diversity in Revenues results in an increase in ROA. On the contrary Increase in cost / income ratio makes ROA go down.

Cites

No record.

References

No record.

Cite

APA: Copy

Malekmohammadi, Mohammadreza, SAEEDI, ALI, & MATINFARD, MEHRAN. (2020). Analyzing the Systematic and Unsystematic Factors Affecting Credit Risk in the Banking System of Iran. JOURNAL OF SECURITIES EXCHANGE, 13(49 ), 134-159. SID. https://sid.ir/paper/388109/en

Vancouver: Copy

Malekmohammadi Mohammadreza, SAEEDI ALI, MATINFARD MEHRAN. Analyzing the Systematic and Unsystematic Factors Affecting Credit Risk in the Banking System of Iran. JOURNAL OF SECURITIES EXCHANGE[Internet]. 2020;13(49 ):134-159. Available from: https://sid.ir/paper/388109/en

IEEE: Copy

Mohammadreza Malekmohammadi, ALI SAEEDI, and MEHRAN MATINFARD, “Analyzing the Systematic and Unsystematic Factors Affecting Credit Risk in the Banking System of Iran,” JOURNAL OF SECURITIES EXCHANGE, vol. 13, no. 49 , pp. 134–159, 2020, [Online]. Available: https://sid.ir/paper/388109/en

Related Journal Papers

No record.

Related Seminar Papers

No record.

Related Plans

No record.

Recommended Workshops