جمود هيكل رأس المال وتأثيره في القدرة الائتمانية للمصارف التجارية

Rp_ Inertia of the capital structure and its impact on credit capacity for commercial banks. pdf

Abstract:
The study aims to know the rigidity of the capital structure and its impact on the credit capacity. The study dealt with the commercial banks listed in the Iraq Stock Exchange. (10) banks were selected due to the availability of information and data required in the study, namely (Bank of Baghdad, Commercial Bank of Iraq, Middle East Bank, Bank of Iraqi Investment, United Bank for Investment, National Ba6662
nk of Iraq, Commercial Credit Bank, Sumer Commercial Bank, Khaleej Commercial Bank, Mosul Bank for Development and Investment) for the period (2006-2020) based on the reports published in the Iraq Stock Exchange. Through the indicators of the rigidity of the capital structure (actual debt ratio and the non-performing debt ratio) and indicators of credit capacity (the ratio of loans and advances to assets, the ratio of loans and advances to deposits, the ratio of the provision for loan losses and the capital adequacy ratio). The study used financial and statistical methods to achieve its objectives and to indicate the effect relationship between the variables of the study by using the method of analyzing cross-sectional data (Panel Data) through the program EViews v.12).
The study reached a set of results, the most important of which is the inertia of the capital structure of commercial banks as a result of the failure to make the necessary adjustments at the level of financial leverage as a result of the instability of political and economic conditions and the failure to make adjustments to the capital structure by managers in order to preserve their position and influence. The study concluded with some recommendations, the most important of which is that it is necessary to make adjustments to the debt ratio to avoid the inertia of the capital structure, and this negatively affects the economic process, as well as the need to provide incentives for some managers to take decisions that help increase the wealth of the owners and not for personal interest