Determinants of Bank Loan Availability: Evidence From Pakistani Non-Financial Firms
In this research paper we have investigated the key factors which make it easier for non-financial firms to arrange financing from commercial banks. We have collected the data from the year 2001 to 2011 from 220 non-financial firms in Pakistan. We have used two measures of firm-bank relationship. Fi...
| Main Authors: | , |
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| Format: | Article |
| Language: | English |
| Published: |
Editura ASE Bucuresti
2016-03-01
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| Series: | Romanian Economic Journal |
| Subjects: | |
| Online Access: | http://www.rejournal.eu/article/determinants-bank-loan-availability-evidence-pakistani-non-financial-firms-0 |
| Summary: | In this research paper we have investigated the key factors which make it easier for non-financial firms to arrange financing from commercial banks. We have collected the data from the year 2001 to 2011 from 220 non-financial firms in Pakistan. We have used two measures of firm-bank relationship. First, if a non-financial firm has a board of director who is at the same time board of director of a commercial bank. Second, if a commercial bank has an equity stake in a non-financial firm. After using Fixed Effect model we have found that firm-bank relationships always matter for arranging bank loan for non-financial firms in Pakistan. |
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| ISSN: | 1454-4296 2286-2056 |