تحليل أثر العوامل الرئيسية المحددة على قرار تقديم الائتمان داخل المصارف العاملة بمدينة البيضاء والمناطق المحيطة بها

صلاح حمد امحمد فضل الله

doi:10.54172/q1yxp751

Authors

Salah Hamed Amhemad fadl Allah Department of Finance and Banking, Omar Al Mukhtar University, Albida, Libya Author

DOI:

https://doi.org/10.54172/q1yxp751

Keywords:

Key determinants, Credit-providing granting decision, Target banks, Al-Bayda City

Abstract

The current study aims to investigate the impact of principal determinants on credit-granting decisions in banking institutions in Al-Bayda and its surrounding areas. To achieve this goal, a survey instrument was distributed to a representative sample of the study population, which included all seven (7) targeted banks. The sample included 112 employees from the credit, internal audit, and senior management divisions, chosen for their critical role in the credit appraisal and approval process. Of these, 87 questionnaires were successfully retrieved and considered appropriate for statistical analysis. A methodological approach that included descriptive, analytical, and inferential techniques was used. The acquired data were processed and analyzed using the Statistical Package for the Social Sciences (SPSS), with "multiple regression analysis" serving as the major statistical technique for hypothesis testing. The research findings show that four key elements influence the decision to provide bank credit: the client's financial condition, personal characteristics, the institution's prevailing credit policy, and the nature of the collateral secured. Furthermore, the research found no statistically significant differences in respondents' assessments of the relative importance of these factors, implying widespread agreement. In conclusion, this study provides a crucial proposal for the targeted banks to strengthen their credit policies and augment their implementation frameworks. This includes demanding tight adherence to the defined criteria by all players in the credit-granting process, as well as the implementation of transparent processes for monitoring and accountability to rectify procedural deviations. The study emphasizes the importance of obtaining sufficient and appropriate collateral from clients to ensure the timely fulfilment of their repayment obligations, which is vital to protecting the financial stability of banks.

References

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