Credit risk management and performance of commercial banks in Hargeisa Somalia
| dc.contributor.author | Ali, Mohamed Arab | |
| dc.date.accessioned | 2018-08-13T12:00:57Z | |
| dc.date.available | 2018-08-13T12:00:57Z | |
| dc.date.issued | 2018-05 | |
| dc.description | A thesis report presented to the college of economics and management in partial fulfilment of the requirements for the award of the degree of Master Of Business Administration (Finance & Banking) of Kampala International University | en_US |
| dc.description.abstract | The study sought to assess the effect of credit risk management on Performance of Banks in Hargeisa Somalia. It was guided by three specific objectives, that included; to determine the effect of credit risk identification on Performance of Banks in Hargeisa Somalia, to establish the effect of credit risk monitoring on Performance of Banks in Hargeisa Somalia and to establish the effect of credit risk analysis on performance of Banks in Hargeisa Somalia. This research employed a descriptive research design to describe the variables and the questionnaire and interview guide were used as the research instruments. Descriptive statistics were used in this study included frequencies, means and regression analysis on variables. The findings revealed the following: credit risk identification significantly affects the performance of Banks in Hargeisa Somalia, this effect therefore implies that credit risk identification highly contribute to the Performance of Banks in Hargeisa Somalia, the findings revealed that there is a significant effect credit risk monitoring has on performance of Banks in Hargeisa Somalia, findings of this study proved a weak positive significant effect credit risk analysis has on Performance of Banks in Hargeisa Somalia. Still the conclusions were that; According to the findings credit risk identification has a strong positive significant effect on Performance of Banks in Hargeisa Somalia. According to the findings credit risk monitoring has a significant effect on Performance of Banks in Hargeisa Somalia. Effective risk management requires a reporting and review structure to ensure that risks are effectively identified and assessed and that appropriate controls and responses are in place. The planned risk responses which are integrated into the project management plan by the process integrated change control are therefore executed if the risk triggers fire. Credit risk analysis should involve screening clients to ensure that they have the willingness and ability to repay a loan. The researcher recommended that: The banks in Hargeisa Somalia should develop a good system to monitor, record and track all the risks so that there is effectiveness in credit risk management and ensure to cover loopholes in the system to enhance Performance of Banks. The bank managers in Hargeisa should develop an effective credit risk monitoring system which makes credit risk monitoring easy and flexible so as to boost Performance of Banks. Contribution to knowledge was; credit risk management being an important aspect for any organization still lag behind in Hargiesa Somalia’s banking sector given that most employees in the country stay in the prevalence of an environment supported by mixed managerial capabilities with limited regulations especially for the credit. Credit risk management is an important predictor of bank’s financial performance because the bank’s success depends on credit risk management. The contribution to knowledge indicated that; credit risk management being an important aspect for any organization still lag behind in Hargiesa Somalia’s banking sector given that most employees in the country stay in the prevalence of an environment supported by mixed managerial capabilities with limited regulations especially for the credit. | en_US |
| dc.identifier.uri | http://hdl.handle.net/20.500.12306/1228 | |
| dc.language.iso | en | en_US |
| dc.publisher | Kampala International University, College of Economics and Management | en_US |
| dc.subject | Credit risk management | en_US |
| dc.subject | Commercial banks | en_US |
| dc.subject | Hargeisa Somalia | en_US |
| dc.title | Credit risk management and performance of commercial banks in Hargeisa Somalia | en_US |
| dc.type | Thesis | en_US |