ABSTRACT One of the major roles that banks in the Kenyan economy play is credit creation. Credit creation comes with risks and credit risk is the most critical risk. Credit risk needs to be management prudently as it impacts negatively on performance. It is thus important to study how various banks manage credit risk for effective policy. This main study sought to find the effect of credit risk management on the performance of commercial banks listed at the Nairobi Securities exchange in Keny...
ABSTRACT Commercial banks all over the world enhance the economic growth of nations by providing funds to customers of investments. The survival of commercial banks like every other financial institution depends largely on their profitability. However, the profitability of these banks is dependent on the risk management practices which they adopt. This is because granting of loans to borrowers is accompanied with its own risks. Credit risk is regarded as the most adamant risk faced by banks d...
ABSTRACT In today’s global environment, Small and Medium Enterprises have limited chances of accessing credit facilities from lending institutions owing to their relatively smaller sizes. The high amount of interest rates charged on loan facilities by lending institutions also limits the ability of SMEs to access credit facilities. The trend in return on asset and return on equity on small and medium enterprises in Garissa is of great concern. The statistics indicates that ROE declined on a...
ABSTRACT In the East African region many institutional reforms has been undertaken to foster financial sector development. However, the contribution of these reforms to financial sector development in this region remains unimpressive compared to other developing economies in Africa. This study seeks to investigate the effects of institutional reforms on financial sector development in Kenya, Uganda and Tanzania. The objectives of the study were to: determine the effect of regulatory quality ...
ABSTRACT Different countries in Eastern and Southern Africa (ESA) have experienced different levels of growth of their domestic Government bond markets due to various factors. This study aimed at evaluating the drivers of the growth of domestic government domestic bond markets in selected countries in Eastern and Southern Africa during the period 2003-2015. The main study problem is the inability of countries to sustainably fund their budgetary deficits from dependable and reliable local sour...
ABSTRACT Over the last eight years, agency banking has progressively gained importance in Kenya. Agency banking has enabled banks to save on costs associated with opening bank branches and has offered convenience to bank customers who before the introduction of agency banking involuntarily had to travel long distances and incur hefty amounts on transportation in order to access a bank branch. Agency banking is facilitated by small scale enterprises who take up the role of the bank teller and ...
ABSTRACT This study examines the effect of interest rate macrostructure and corporate bond market development on industrial output growth in some selected African economies from 1995-2014, namely Botswana, Cameroon, Cote d’ Ivoire, Egypt, Ghana, Kenya, Mauritius, Morocco, Namibia, Nigeria, South Africa, Tanzania, and Tunisia. In the World industrial output statistics, African economies have consistently ranked least and its pace of industrial output growth has been the least. The lapse i...
TABLES OF CONTENTS tJNTENTS PAGE Cover Page --------------------------------------------------------------------------------------------- I Title Page ------------------------------------------------------------------------------------------------ i i Declaration ---------------------------------------------------------------------------------------------- iii Certification --------------------------------------------------------------------------------------------- iv Dedication ------------...
The real estate market plays a very important role in any economy. It is known to have a dramatic multiplier effect and it is a key economic indicator. The real estate market has experienced significant growth in the last decade with many countries experiencing house price fluctuations.TheKenyan real estate market has been experiencing a boom in the past ten years and the latest findings have shown that the trend will continue into the foreseeable future. The study therefore sought to investi...
ABSTRACT The economic aspect of any nation is strengthened by a well-regulated and managed banking sector. Most commercial banks in Kenya are faced with low financial performance because of capital deficiency, liquidity deficiency and non-performing loans due to defaulted loans. This study examined the relationship between asset securitization and financial performance of listed commercial banks in Kenya. The objectives of the study assessed the influence of asset-based securities, mortgage ...
As a substitute way of getting funding for proper functional of banking operations, commercial banks issue these bonds to clients. They do this with a promise that the bank will be paying interest after a certain duration of time depending on the type of corporate bond being issued. For the bond market to efficiently develop, conditions such as a developed money market, suitable trading structure, rules and laws that are favorable and realistic macroeconomic policies have to be put into place...
ABSTRACT The growth of Islamic banking has been on a steady increase hence currently a force to reckon with in the financial market. This banking subsector is presently competing for market share with conventional banks. The purpose of this study was to assess the effect of mortgage financing on profitability of Islamic banks in Kenya. Specifically, the study sought to establish the effect of interest-free mortgage financing on Profitability Islamic banks, to explore how collateral requireme...
This study purposed to investigate the influence of financial literacy on financial management practices; a survey of dairy farmers managed by K Unity SACCO in Limuru sub county, Kiambu county. The objective of the study was to investigate how financial literacy affects financial management of persons operating in the informal sectors in this case looking at dairy farmers. The researcher sought to find out whether investment practices, saving culture, budgeting practices loan management and t...
ABSTRACT This study purposed to investigate the influence of financial literacy on financial management practices; a survey of dairy farmers managed by K Unity SACCO in Limuru sub county, Kiambu county. The objective of the study was to investigate how financial literacy affects financial management of persons operating in the informal sectors in this case looking at dairy farmers. The researcher sought to find out whether investment practices, saving culture, budgeting practices loan manage...
ABSTRACT Despite the initiative by the government to introduce devolved funds in Kenya, the real effect of these devolved funds is yet to be experienced on growth of the youth enterprises. There has been overemphasis by previous studies on the issues that address challenges and administration of devolved funds with less regard on the real influence on development. The purpose of this study was to examine the effect of devolved funds on growth of Youth enterprises and develop a framework to im...