Determinants of Loan Loss Provisioning and Their Effects In UK Commercial Banking System: An Empirical Study of Post Crisis Times

The study has examined UK’s banking system, looking particularly at the legislation, structure and regulatory bodies that govern and make policies about the banking system which is repeatedly exposed to various crises experienced in recent times. The purpose of the study is to determine the factors...

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Main Author: Rana, Raffay Ahmed
Format: Dissertation (University of Nottingham only)
Language:English
Published: 2015
Online Access:https://eprints.nottingham.ac.uk/29955/
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author Rana, Raffay Ahmed
author_facet Rana, Raffay Ahmed
author_sort Rana, Raffay Ahmed
building Nottingham Research Data Repository
collection Online Access
description The study has examined UK’s banking system, looking particularly at the legislation, structure and regulatory bodies that govern and make policies about the banking system which is repeatedly exposed to various crises experienced in recent times. The purpose of the study is to determine the factors that impact the loan loss provisions in UK commercial banks over the sample period of 2009 – 2014. In the first stage, IV instruments are used to determine whether Z-score is exogenous or endogenous. In the second stage, Generalised Method of Moments (GMM) estimator is adopted to analyse the econometric model. The empirical results show the presence of pro-cyclicality in UK banking sector. The model shows no evidence for capital management and income smoothing behaviours for the chosen banks.
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format Dissertation (University of Nottingham only)
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institution University of Nottingham Malaysia Campus
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language English
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publishDate 2015
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spelling nottingham-299552017-10-19T14:50:44Z https://eprints.nottingham.ac.uk/29955/ Determinants of Loan Loss Provisioning and Their Effects In UK Commercial Banking System: An Empirical Study of Post Crisis Times Rana, Raffay Ahmed The study has examined UK’s banking system, looking particularly at the legislation, structure and regulatory bodies that govern and make policies about the banking system which is repeatedly exposed to various crises experienced in recent times. The purpose of the study is to determine the factors that impact the loan loss provisions in UK commercial banks over the sample period of 2009 – 2014. In the first stage, IV instruments are used to determine whether Z-score is exogenous or endogenous. In the second stage, Generalised Method of Moments (GMM) estimator is adopted to analyse the econometric model. The empirical results show the presence of pro-cyclicality in UK banking sector. The model shows no evidence for capital management and income smoothing behaviours for the chosen banks. 2015-09-13 Dissertation (University of Nottingham only) NonPeerReviewed application/pdf en https://eprints.nottingham.ac.uk/29955/1/Dissertation%20-%20Raffay%20Ahmed%20Rana%204227248.pdf Rana, Raffay Ahmed (2015) Determinants of Loan Loss Provisioning and Their Effects In UK Commercial Banking System: An Empirical Study of Post Crisis Times. [Dissertation (University of Nottingham only)]
spellingShingle Rana, Raffay Ahmed
Determinants of Loan Loss Provisioning and Their Effects In UK Commercial Banking System: An Empirical Study of Post Crisis Times
title Determinants of Loan Loss Provisioning and Their Effects In UK Commercial Banking System: An Empirical Study of Post Crisis Times
title_full Determinants of Loan Loss Provisioning and Their Effects In UK Commercial Banking System: An Empirical Study of Post Crisis Times
title_fullStr Determinants of Loan Loss Provisioning and Their Effects In UK Commercial Banking System: An Empirical Study of Post Crisis Times
title_full_unstemmed Determinants of Loan Loss Provisioning and Their Effects In UK Commercial Banking System: An Empirical Study of Post Crisis Times
title_short Determinants of Loan Loss Provisioning and Their Effects In UK Commercial Banking System: An Empirical Study of Post Crisis Times
title_sort determinants of loan loss provisioning and their effects in uk commercial banking system: an empirical study of post crisis times
url https://eprints.nottingham.ac.uk/29955/