Assessing the determinants of non-performing loans under financial crisis and health crisis: evidence from the MENA banks
The main objective of this paper is to investigate determinants of non-performing loans in the Middle East and North Africa region by exploring the role of bank-specific and macroeconomic factors, particularly in the period of the global financial crisis, as well as the COVID-19 pandemic, as a healt...
| Main Authors: | , , |
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| Format: | Article |
| Language: | English |
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Taylor & Francis Group
2022-12-01
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| Series: | Cogent Economics & Finance |
| Subjects: | |
| Online Access: | https://www.tandfonline.com/doi/10.1080/23322039.2022.2124665 |
| _version_ | 1811272083330564096 |
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| author | Khalil Alnabulsi Emira Kozarević Abdelaziz Hakimi |
| author_facet | Khalil Alnabulsi Emira Kozarević Abdelaziz Hakimi |
| author_sort | Khalil Alnabulsi |
| collection | DOAJ |
| description | The main objective of this paper is to investigate determinants of non-performing loans in the Middle East and North Africa region by exploring the role of bank-specific and macroeconomic factors, particularly in the period of the global financial crisis, as well as the COVID-19 pandemic, as a health crisis that translates to an economic crisis. This study includes 74 banks belonging to 11 MENA countries over the period 2005–2020 and uses the two-stage system generalized method of moment estimator. To conduct a comparative analysis, the whole sample is divided into two sub-samples. The first one is related to the Middle East countries and the second one covers North African countries. The empirical findings indicate that the level of non-performing loans is more sensitive to bank specifics than macroeconomic factors. When it comes to macroeconomic factors, macroeconomic environment and institutional quality significantly affect the level of NPLs. However, no significant effect has been detected regarding the impact of the COVID-19 pandemic. |
| first_indexed | 2024-04-12T22:34:02Z |
| format | Article |
| id | doaj.art-7a51dcf0e52b4067bafe6d3bc8bd252c |
| institution | Directory Open Access Journal |
| issn | 2332-2039 |
| language | English |
| last_indexed | 2024-04-12T22:34:02Z |
| publishDate | 2022-12-01 |
| publisher | Taylor & Francis Group |
| record_format | Article |
| series | Cogent Economics & Finance |
| spelling | doaj.art-7a51dcf0e52b4067bafe6d3bc8bd252c2022-12-22T03:13:54ZengTaylor & Francis GroupCogent Economics & Finance2332-20392022-12-0110110.1080/23322039.2022.2124665Assessing the determinants of non-performing loans under financial crisis and health crisis: evidence from the MENA banksKhalil Alnabulsi0Emira Kozarević1Abdelaziz Hakimi2Doctoral School of Regional and Business Administration Sciences, Széchenyi István University, Győr, HungaryFaculty of Economics, University of Tuzla, Tuzla, Bosnia and HerzegovinaV.p.n.cLaboratory & Faculty of Law, Economics and Management, University of Jendouba, Jendouba, TunisiaThe main objective of this paper is to investigate determinants of non-performing loans in the Middle East and North Africa region by exploring the role of bank-specific and macroeconomic factors, particularly in the period of the global financial crisis, as well as the COVID-19 pandemic, as a health crisis that translates to an economic crisis. This study includes 74 banks belonging to 11 MENA countries over the period 2005–2020 and uses the two-stage system generalized method of moment estimator. To conduct a comparative analysis, the whole sample is divided into two sub-samples. The first one is related to the Middle East countries and the second one covers North African countries. The empirical findings indicate that the level of non-performing loans is more sensitive to bank specifics than macroeconomic factors. When it comes to macroeconomic factors, macroeconomic environment and institutional quality significantly affect the level of NPLs. However, no significant effect has been detected regarding the impact of the COVID-19 pandemic.https://www.tandfonline.com/doi/10.1080/23322039.2022.2124665non-performing loansbank specificsmacroeconomic factorsglobal financial crisisCOVID-19 pandemicG01 |
| spellingShingle | Khalil Alnabulsi Emira Kozarević Abdelaziz Hakimi Assessing the determinants of non-performing loans under financial crisis and health crisis: evidence from the MENA banks Cogent Economics & Finance non-performing loans bank specifics macroeconomic factors global financial crisis COVID-19 pandemic G01 |
| title | Assessing the determinants of non-performing loans under financial crisis and health crisis: evidence from the MENA banks |
| title_full | Assessing the determinants of non-performing loans under financial crisis and health crisis: evidence from the MENA banks |
| title_fullStr | Assessing the determinants of non-performing loans under financial crisis and health crisis: evidence from the MENA banks |
| title_full_unstemmed | Assessing the determinants of non-performing loans under financial crisis and health crisis: evidence from the MENA banks |
| title_short | Assessing the determinants of non-performing loans under financial crisis and health crisis: evidence from the MENA banks |
| title_sort | assessing the determinants of non performing loans under financial crisis and health crisis evidence from the mena banks |
| topic | non-performing loans bank specifics macroeconomic factors global financial crisis COVID-19 pandemic G01 |
| url | https://www.tandfonline.com/doi/10.1080/23322039.2022.2124665 |
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