Securitization of (bad) loans to Italian SMES: The role of the public guarantee

This paper examines the macro-economic and bank-specific factors affecting non-performing loans in commercial banks. Using 47 listed commercial banks from six countries, namely 19 banks from Nigeria, 14 banks from Benin, 3 banks from Burkina Faso, 3 banks from Gambia, 3 banks from Guinea, and 5 banks from Liberia for the period 2008 to 2019, fixed and random effect model was used. The Hausman test favored the selection of fixed effect model, and it was found from the estimation that the liquidity ratio, capital adequacy ratio and inflation rate significantly affect non-performing loans. As a result, it is advised that banks depend not only on their ability to achieve the capital adequacy ratio, but also guarantee that loans are thoroughly scrutinized before being issued to beneficiaries. Bank managers should guarantee that banking staff is not simply awarding loans to secure their jobs by accumulating deposits from consumers at the price of the bank’s long-term stake. In addition, the economies of West Africa should keep their inflation rates low so that repayment of loans on time is cheap and realistic.

Acknowledgment
I would like to appreciate Fezile Nonjabulo Gcwabaza for love and support throughout this research project.

The research paper outlines general problems of ensuring the continuity of the reproductive process in the Ukrainian economy with the help of long-term bank lending, and the problem of improving the accounting of non-performing long-term bank loans in the country was urged. The importance of solving this problem is conditioned by the significance of this group of loans in the loan portfolios of Ukrainian banks in terms of the current crisis economic situation in Ukraine. The objective of the research paper is to analyze the current state and trends in the methodology and practice of accounting of non-performing long-term bank loans in Ukraine, as well as formulate and substantiate directions for improving this methodology and practice. In the process of fulfilling the tasks of this reserch paper, the significance of the objective accounting of non-performing long-term loans of banks was substantiated; the status and changes in the accounting system of non-performing loans of Ukrainian banks were analyzed; the importance of European experience in this area was urged, which has being consistently adopted; and the scheme of allowing for changes in a share of non-performing bank loans when determining loan price was suggested. The ways to improve the accounting system of non-performing long-term loans in Ukrainian banks were suggested.

The study attempts to identify the determinants of lending rates in the Kingdom of Bahrain. It examines the impact of certain macroeconomic and banks’ aggregate data variables on the level of interest rates on loans charged by Bahraini conventional retail banks using quarterly data for the period from the 4th quarter of 2012 to the 4th quarter of 2021. The study tests the impact of a consumer price index (CPI), GDP growth rates, loan-to-total assets (loan ratio), liquid assets as a proportion of total assets (liquidity position), personal lending rate, loan-to-deposit ratio, money supply (M2) growth, non-performing loans (NPL) ratio, and return on assets (ROA) on banks’ lending rates. The study is mainly based on data retrieved from the publications of the Central Bank of Bahrain and the CEIC Data Global Database. The study uses EViews 12 The results reveal that CPI, liquidity position, the lending rate for personal loans, deposit ratio, and return on assets are the major determinants of bank lending rates to businesses. The study found that GDP growth, money supply growth, and non-performing loans ratio are insignificant in determining the lending rate to businesses in Bahrain. In addition to yielding insights to the respective authorities, this study also helps creditors, investors, and borrowers predict interest rates and thus manage their assets and liabilities more efficiently.