TY - JOUR
T1 - Asset quality in a crisis period
T2 - An empirical examination of Ghanaian banks
AU - Alhassan, Abdul Latif
AU - Kyereboah-Coleman, Anthony
AU - Andoh, Charles
PY - 2014
Y1 - 2014
N2 - This paper examines the factors that account for the deterioration in the asset quality of Ghanaian banks during a period of financial crises using a unique dataset on 25 banks from 2005 to 2010. Based on system Generalized Method of Moments estimations, we find that the persistence of non-performing loans in addition to loan growth, bank market structure, bank size, inflation, real exchange rate and GDP growth are the significant determinants of banks asset quality in Ghana. The findings have implications for both bank management and regulators in emerging economies.
AB - This paper examines the factors that account for the deterioration in the asset quality of Ghanaian banks during a period of financial crises using a unique dataset on 25 banks from 2005 to 2010. Based on system Generalized Method of Moments estimations, we find that the persistence of non-performing loans in addition to loan growth, bank market structure, bank size, inflation, real exchange rate and GDP growth are the significant determinants of banks asset quality in Ghana. The findings have implications for both bank management and regulators in emerging economies.
KW - Asset quality
KW - Banks
KW - Financial stability
KW - Ghana
KW - Non-performing loans
UR - http://www.scopus.com/inward/record.url?scp=84901604810&partnerID=8YFLogxK
U2 - 10.1016/j.rdf.2014.03.001
DO - 10.1016/j.rdf.2014.03.001
M3 - Article
AN - SCOPUS:84901604810
SN - 1879-9337
VL - 4
SP - 50
EP - 62
JO - Review of Development Finance
JF - Review of Development Finance
IS - 1
ER -