Download or read book Impact of Global Financial Crisis on Banks Financial Performance in Pakistan written by Mian Sajid Nazir and published by . This book was released on 2015 with total page 10 pages. Available in PDF, EPUB and Kindle. Book excerpt: The global financial crisis in 2008 adversely affected the financial setups all around the globe with far reaching consequences for its victims. This study aimed at analyzing various determinants of banks' financial performance in Pakistan along with intention to ascertain the impacts of global financial crisis on the relative contribution of these determinants towards financial performance. The step-wise multiple regression analysis and pre-post comparison of coefficients were carried out in this regard. This study found that assets quality is the most influential determinant of return over assets (ROA) followed by bank size and solvency. Advances, liquidity, investments, and size have positive while poor assets quality and deposits have negative impact over ROA. A comparison of the pre-crisis and post-crisis coefficients of the determinants of ROA reveled that the global financial crisis has exerted significant impact on the relative ability of these determinants to explain variations in ROA.

Download or read book Impact of Global Financial Crisis on the Performance of Commercial Banks of Pakistan A Case Study of MCB Bank Limited written by Munawwar Ali Kartio and published by . This book was released on 2017 with total page 11 pages. Available in PDF, EPUB and Kindle. Book excerpt: Objectives: The objective of study is to investigate the effect of global financial crisis on the efficiency & performance of MCB bank Ltd. The crisis were basically started in United States after the collapse of subprime mortgage market but engulfed the entire globe though the level of severity was different from country to country.Data Collection Methodology: Data were collected from various secondary sources and data were analyzed by using various financial ratios meant for liquidity, profitability & solvency. The banks play an important role of financial intermediation; channelize savings of public to investors hence basic key performance indicators for this research were deposits, profit, advances and capital.Results/Findings: An attempt has been made to examine the growth and sustainability of sample bank through its performance from 2003 to 2012, before and after crisis. The main findings are:(I) the profitability was affected adversely,(II) Non Performing Loans were increased significantly after tight control and management for several years. (III) It was explored that costly deposits were mobilized to maintain the book size and restore the confidence of depositors and all stake holders. (IV)The stability of the system remained unquestionable due to maintenance of Capital Adequacy Ratio well above the targeted ratio of 8 % in terms of Basel accord.Practical Implications: This research attempts to address the issue of banking crisis and has practical implication in the Pakistani banking industry.

Download or read book Financial Performance of Pakistani Banks After the Implementation of Reforms written by Tahera Kalsoom and published by . This book was released on 2017 with total page 25 pages. Available in PDF, EPUB and Kindle. Book excerpt: Pakistani banking industry has been facing a series of successes and failures after the implementation of reforms. The financial institutions of the developing countries such as Pakistan have suffered after the onset of global financial crisis from 2009-2016. Whilst studies have been performed in many other countries to assess banking sector's performance after the crisis, limited efforts exist in the context of Pakistani banking industry, particularly in relation to stock price changes and credit risk. This work is therefore, aimed to fill this gap by studying the effects of financial reforms implemented in early stages of recession on the efficiency of Pakistani banks in the past eight years. Measures of profitability, liquidity, capital and credit quality performance using five financial ratios; Return on Assets (ROA), Cost/Income ratio (C/I), Loan Loss Reserves/Gross Loans ratio (LLR/GL), Total Loans/Total Assets ratio (TL/TA) and Capital Adequacy Ratio (CAR), and their impact on stock price changes of the five banks are used to characterise the performance of the banks in the period of 2009-2016. The data is organized using panel data technique and multiple regression is adopted for the analysis. The results indicate a significant change in banks' performance after the global financial crisis, having the highest impact in 2011 with declining profitability and poor credit performance. Later years have seen stabilized banking conditions with increased profitability and control on Non-Performing Loans by reducing provisions of risky loans. The stock price changes have revealed a positive relationship with ROA and least positive relationship with CAR, whereas a negative relationship has been found with LLR/GL and TL/TA. Moreover, it is observed that the market considers ROA and C/I in decision making as the results have shown a highly positive correlation of these ratios with stock prices. It also depicts that investors show no particular interest in credit risk and have focused on profitability of the banks instead. This suggests that the regulators in the country should revisit their priorities to come at par with investors and market interests by reducing their focus on decreasing the credit risk.

Download or read book The Effects of Global Financial Crisis on Indian and Pakistan s Banking Sector written by Syed Mohammed Abud Ashif and published by . This book was released on 2013 with total page 202 pages. Available in PDF, EPUB and Kindle. Book excerpt: Recent economic crises have shown the impact not only to the well-developed banking sector but also to the developing banking sector in the emerging economies. This study seeks to investigate a comparative analysis of evolution of technical efficiency of commercial banks in India and Pakistan during the recent economic crises (2004-2010). Using Data Envelopment Analysis, we measure the technical efficiencies of each bank in the sample, which further decomposes to provide pure technical efficiency (PTE) and scale efficiency scores (SE).The parametric technique like t-Test and two non-parametric techniques Mann Whitney test and Krushka wallys test are employed for comparing the means of the obtained DEA result. As a robustness check, the technical efficiency score is further examined by the second stage regression model which accommodates to provide the relationship factor of bank specific variable, macro-economic & market condition and some binary variables to account for financial crises and stability. The empirical finding suggests that Indian banks' mean TE score exceeds higher than that of Pakistan banking sector and the changes in efficiency measure been seen higher in Pakistan banking sector. So in general, Pakistan banking sector efficiency is heavily affected from the financial crises than the Indian banking sector and former always remain more technically efficient in the period under study. Furthermore, mean PTE in both banking sector deteriorates relatively in a constant rate during the crises and post crises period, whereas mean SE improved in Pakistan banking sector than Indian banking sector. The result of multivariate regression analysis has exhibited liquidity risk, bank overhead cost, ROAA, and bank capitalization being positively related with technical efficiency. Conversely, bank size, loan default and non-interest expenses over asset variables exhibits negatively related with both banking sector efficiency. However, the regression analysis has shown Pakistan banking sector being more financially stable than the Indian banking sector in terms of efficiency during the crises period. Hence, the dual banking system is seen as more efficient and stable compare to the single banking system and thus single banking system should urge to seek the introduction of Islamic banking as economically viable and financially stable for the banking sector of a country.

Download or read book The Global Financial and Economic Crisis in the South written by Luis Leon-Manriquez and published by African Books Collective. This book was released on 2015-12-29 with total page 358 pages. Available in PDF, EPUB and Kindle. Book excerpt: This book is the outcome of a South-South conference jointly organized by the Asian Political and International Studies Association (APISA), the Latin American Council of Social Sciences (CLACSO) and the Council for the Development of Social Science Research in Africa (CODESRIA) in Dakar, Senegal, May 2012. The conference was organised in response to the financial crisis of 2008 which started in the United States and Europe, with reverberating effects on a global scale. Economic problems emanating from such crises usually leave major social and structural impacts on important sectors of the society internationally. They affect living standards and constrain the well-being of people, especially in poor countries. Persistent problems include high unemployment, increased debt and low growth in developed countries, as well as greater difficulties in accessing finance for investment in the developing world. There is a need for countries in the South to examine the available options for appropriate national and regional responses to the different problems emanating from the economic crisis. This book attempts to provide ideas on some strategic responses to the disastrous impact of the crisis, while keeping in mind the global common interest of the South. It is hoped that the book will contribute significantly towards the agenda to rethink development and the quest for alternative paradigms for a just, stable and equitable global political, economic and social system. A system in which Africa, Asia, and Latin America are emancipated from the shackles of hegemonic and anachronistic neoliberal dictates that have nothing more to offer than crises, vulnerabilities and dependency.

Download or read book Performance of Banking Sector of Pakistan Amid Global Financial Crisis written by Ambreen Khaskhelly and published by . This book was released on 2016 with total page 3 pages. Available in PDF, EPUB and Kindle. Book excerpt: This study aims at to conduct a performance analysis of six big banks of Pakistan during the global financial crisis during the period of 2008 to 2012 Year 2007 has been selected as base year. Various financial ratios have been calculated to evaluate the performance of the banking sector in terms of liquidity, profitability and stability. This study covers a five year period from 2008 to 2012 where as year 2007 has been considered as base year. The performance has been analyzed by using financial ratios as measurement tool. The financial ratios such as Profit Before tax ratio, Gross spread ratio, Return on Equity, Gross profit ratio Gross Advances to Deposits ratio, Cash & Portfolio Investment to Deposit Ratio are used to gauge the performance of selected banks. Moreover their credit portfolio has been examined to ascertain their performing loans status. While conducting the research it concluded that selected banks have adversely been affected, deposits were withdrawn considerably and cost of deposit increased to maintain the books. Non Performing Loans were also accumulated due to increase in interest rates.

Download or read book Performance Of State Owned Bank Of Pakistan In The Perspective Of Global Financial Crisis written by Munawwar Ali Kartio and published by . This book was released on 2019 with total page 6 pages. Available in PDF, EPUB and Kindle. Book excerpt: This study aims at investigating the performance of one and only state owned commercial bank ie National Bank of Pakistan during recent financial crisis.The key performance indicators for this purpose were liquidity, profitability and stability. This study covers a period of five years from 2008-2012 and the Year 2007 was taken as base year on the basis of that the impact and performance was gauged by using financial ratios as measuring tool .The financial ratios meant for Profitability, liquidity and capital structure were calculated. Also impact on performance of loans was evaluated to relate it with globalization. Primary data was also collected through survey by using a closed ended questionnaire. The main findings (I) there seems significant impact on liquidity and profitability of banking system. (II) Non Performing Loans were accumulated significantly after multi year better performance of healthy loans. (III) It was also revealed that the cost of deposits were increased which has adversely affected the profitability of well established five big banks of the country.

Download or read book The Banking Sector in Pakistan Internal Determinants of Commercial Banks Profitability written by Saira Anis and published by GRIN Verlag. This book was released on 2017-09-26 with total page 51 pages. Available in PDF, EPUB and Kindle. Book excerpt: Academic Paper from the year 2014 in the subject Economics - Finance, grade: 2.92, , language: English, abstract: This study focuses on internal factors and how they are affecting the profitability of banks in Pakistan. The report seeks answer to the following research problems: Which internal determinants are affecting the commercial banks’ profitability in Pakistan? And: How are these internal determinants affecting the commercial banks' profitability in Pakistan? To analyze the internal determinants affecting the profitability of 14 commercial banks of Pakistan, the study is based on available data over the period of 2007 to 2012 and aims to recognize major determinants of profitability.

Download or read book The Global Financial Crisis written by Dick K. Nanto and published by DIANE Publishing. This book was released on 2009 with total page 127 pages. Available in PDF, EPUB and Kindle. Book excerpt: Contents: (1) Recent Developments and Analysis; (2) The Global Financial Crisis and U.S. Interests: Policy; Four Phases of the Global Financial Crisis; (3) New Challenges and Policy in Managing Financial Risk; (4) Origins, Contagion, and Risk; (5) Effects on Emerging Markets: Latin America; Russia and the Financial Crisis; (6) Effects on Europe and The European Response: The ¿European Framework for Action¿; The British Rescue Plan; Collapse of Iceland¿s Banking Sector; (7) Impact on Asia and the Asian Response: Asian Reserves and Their Impact; National Responses; (8) International Policy Issues: Bretton Woods II; G-20 Meetings; The International Monetary Fund; Changes in U.S. Reg¿s. and Regulatory Structure; (9) Legislation.

Download or read book Challenges Faced by Banking Industry of Pakistan During Global Financial Crisis 2008 12 written by Munawwar Ali Kartio and published by . This book was released on 2018 with total page 8 pages. Available in PDF, EPUB and Kindle. Book excerpt: This study aims at investigating the challenges faced by commercial banks of Pakistan especially five big well established banks during the period of global financial crisis. The key performance indicators for this purpose were liquidity, profitability and stability. This study covers a period of five years from 2008-2012 and the Year 2007 was taken as base year on the basis of that the impact and performance of selected five banks of country was gauged by using financial ratios as measuring tool .The financial ratios meant for Profitability, liquidity and capital structure were calculated and average of selected ratios of five big were used to avoid disparity in size. Also impact on performance of loans was evaluated to relate it with globalization. A survey was made by developing a close ended questionnaire; a five point Likert scale was used as a measuring tool to evaluate the response of Bankers, scholars & customers. The main findings are (I) there seems significant impact on deposits, liquidity and profitability of banking system. (II) Non Performing Loans were accumulated significantly after multi year better performance of healthy loans due to increase of interest rates by central bank to maintain the liquidity in system (III) It was also revealed that the cost of deposits were increased to maintain the books and confidence of stakeholders which has adversely affected the profitability of well established five big banks of the country.

Download or read book Global Waves of Debt written by M. Ayhan Kose and published by World Bank Publications. This book was released on 2021-03-03 with total page 403 pages. Available in PDF, EPUB and Kindle. Book excerpt: The global economy has experienced four waves of rapid debt accumulation over the past 50 years. The first three debt waves ended with financial crises in many emerging market and developing economies. During the current wave, which started in 2010, the increase in debt in these economies has already been larger, faster, and broader-based than in the previous three waves. Current low interest rates mitigate some of the risks associated with high debt. However, emerging market and developing economies are also confronted by weak growth prospects, mounting vulnerabilities, and elevated global risks. A menu of policy options is available to reduce the likelihood that the current debt wave will end in crisis and, if crises do take place, will alleviate their impact.

Download or read book Financial Crises Explanations Types and Implications written by Mr.Stijn Claessens and published by International Monetary Fund. This book was released on 2013-01-30 with total page 66 pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper reviews the literature on financial crises focusing on three specific aspects. First, what are the main factors explaining financial crises? Since many theories on the sources of financial crises highlight the importance of sharp fluctuations in asset and credit markets, the paper briefly reviews theoretical and empirical studies on developments in these markets around financial crises. Second, what are the major types of financial crises? The paper focuses on the main theoretical and empirical explanations of four types of financial crises—currency crises, sudden stops, debt crises, and banking crises—and presents a survey of the literature that attempts to identify these episodes. Third, what are the real and financial sector implications of crises? The paper briefly reviews the short- and medium-run implications of crises for the real economy and financial sector. It concludes with a summary of the main lessons from the literature and future research directions.

Download or read book Impact of the Global Financial Crisis on the Gulf Cooperation Council Countries and Challenges Ahead written by Ms.May Y Khamis and published by International Monetary Fund. This book was released on 2010-07-21 with total page 28 pages. Available in PDF, EPUB and Kindle. Book excerpt: Departmental papers are usually focused on a specific economic topic, country, or region. They are prepared in a timely way to support the outreach needs of the IMF’s area and functional departments.

Download or read book The Effects of the Global Crisis on Islamic and Conventional Banks written by Jemma Dridi and published by . This book was released on 2005-10-31 with total page 42 pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper examines the performance of Islamic banks (IBs) and conventional banks (CBs) during the recent global crisis by looking at the impact of the crisis on profitability, credit and asset growth, and external ratings in a group of countries where the two types of banks have significant market share. Our analysis suggests that IBs have been affected differently than CBs. Factors related to IBs‘ business model helped limit the adverse impact on profitability in 2008, while weaknesses in risk management practices in some IBs led to a larger decline in profitability in 2009 compared to CBs. IBs‘ credit and asset growth performed better than did that of CBs in 2008-09, contributing to financial and economic stability. External rating agencies‘ re-assessment of IBs‘ risk was generally more favorable.

Download or read book Global Banks and International Shock Transmission written by Nicola Cetorelli and published by DIANE Publishing. This book was released on 2010-11 with total page 41 pages. Available in PDF, EPUB and Kindle. Book excerpt: Global banks played a significant role in transmitting the 2007-09 financial crisis to emerging-market (EM) economies. The authors examine adverse liquidity shocks on main developed-country banking systems and their relationships to EM across Europe, Asia, and Latin Amer., isolating loan supply from loan demand effects. Loan supply in EM across Europe, Asia, and Latin Amer. was affected significantly through three separate channels: (1) a contraction in direct, cross-border lending by foreign banks; (2) a contraction in local lending by foreign banks¿ affiliates in EM; and (3) a contraction in loan supply by domestic banks, resulting from the funding shock to their balance sheets induced by the decline in interbank, cross-border lending. Charts and tables.

Download or read book Financial Stress and Economic Activity in Pakistan written by Ahsan Akbar and published by LAP Lambert Academic Publishing. This book was released on 2016-01-15 with total page 80 pages. Available in PDF, EPUB and Kindle. Book excerpt: The U.S financial crises of 2008 highlighted the role of a depressed financial system in causing an economic downturn. This pioneer empirical study develops a financial stress index for the Pakistan economy during 2000-2013. We use key variables that capture unique aspect of stress in the financial system. Principal component analysis technique is used to aggregate the components to a single index. Empirical analysis reveals that banking sector and stock market volatility are the leading contributors to financial stress in Pakistan. The developed financial stress index is then used to trace high episodes of financial stress. Our index was successful in identifying three main financial crises that attacked the financial system including global financial crisis of 2008. Afterwards, the impact of financial stress on real economic activity is examined using impulse response function and Granger causality analysis. We find the expected results as high values of financial stress index are associated with decline in macroeconomic indicators. These findings will provide useful information to readers about the financial and economic dynamics of a developing economy like Pakistan.

Download or read book The Financial Crisis Inquiry Report written by Financial Crisis Inquiry Commission and published by Cosimo, Inc.. This book was released on 2011-05-01 with total page 692 pages. Available in PDF, EPUB and Kindle. Book excerpt: The Financial Crisis Inquiry Report, published by the U.S. Government and the Financial Crisis Inquiry Commission in early 2011, is the official government report on the United States financial collapse and the review of major financial institutions that bankrupted and failed, or would have without help from the government. The commission and the report were implemented after Congress passed an act in 2009 to review and prevent fraudulent activity. The report details, among other things, the periods before, during, and after the crisis, what led up to it, and analyses of subprime mortgage lending, credit expansion and banking policies, the collapse of companies like Fannie Mae and Freddie Mac, and the federal bailouts of Lehman and AIG. It also discusses the aftermath of the fallout and our current state. This report should be of interest to anyone concerned about the financial situation in the U.S. and around the world.THE FINANCIAL CRISIS INQUIRY COMMISSION is an independent, bi-partisan, government-appointed panel of 10 people that was created to "examine the causes, domestic and global, of the current financial and economic crisis in the United States." It was established as part of the Fraud Enforcement and Recovery Act of 2009. The commission consisted of private citizens with expertise in economics and finance, banking, housing, market regulation, and consumer protection. They examined and reported on "the collapse of major financial institutions that failed or would have failed if not for exceptional assistance from the government."News Dissector DANNY SCHECHTER is a journalist, blogger and filmmaker. He has been reporting on economic crises since the 1980's when he was with ABC News. His film In Debt We Trust warned of the economic meltdown in 2006. He has since written three books on the subject including Plunder: Investigating Our Economic Calamity (Cosimo Books, 2008), and The Crime Of Our Time: Why Wall Street Is Not Too Big to Jail (Disinfo Books, 2011), a companion to his latest film Plunder The Crime Of Our Time. He can be reached online at www.newsdissector.com.