The influence of Liquidity risk and Credit risk on Bank Stability: A Case of Pakistan

    Authors:

    Usama Shafique

    Citation:

    Shafique, U. (2019). The influence of Liquidity risk and Credit risk on Bank Stability: A Case of Pakistan. Bulletin of Business and Economics, 8(2), 68-73.

    Abstract:

    This study investigates the impact of two major sources of bank risk: Liquidity risk and Credit risk on the stability of the banks. We use a sample of commercial banks during the period 2002–2016 to analyze how this relationship influences banks’ stability. The results obtained revealed that Liquidity risk have a significant and positive and credit, risk have no effect on the stability of the banks in case of Pakistan.

    Keywords:

    Liquidity risk, credit risk, bank stability

    Jel Code:

    G33, H81

    Article Type:

    Research Paper

    Pages:

    68-73

    Publisher:

    Research Foundation for Humanity (RFH)

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