Risk and Performance of Selected Banks in Ghana

ISBN-13: 9786139848263 / Angielski / Miękka / 2018 / 52 str.

Kingsley Opoku Appiah; Prince Gyimah; Setorwu Data-Adzah

Opis

This book examines the impact of risk on performance of banks in Ghana. The authors use 85 firm-year observations of 17 commercial banks ranging from 2009 to 2013. Also, we use regression analysis to determine the relationship between risk and performance while controlling for firm age, size, inflation, and leverage. The result reveals that risk has a significant relationship with performance. Firm age, size, leverage, inflation rate, and size squared exhibit a positive and significant relationship with performance. The interaction between risk and size, however, is negatively related to performance. Our findings provide an insight into risk management as a very important aspect of improving performance of firms, especially in the banking sector. The book adds to existing literature on firm performance in the financial sector, focusing on the Ghanaian banking industry and the extent to which this is affected by risk and other significant factors.