Credit Risk Management and Profitability of Commercial Banks in Uganda: A Case of Centenary Bank Kabale Branch.

This study focused on establishing the effect of credit risk management on the profitability of Centenary Bank, Kabale Branch. Credit risk management was viewed as a three-dimensional construct consisting of credit risk identification, credit risk assessment, and credit risk control. Profitability o...

Full description

Saved in:
Bibliographic Details
Main Author: Tushemereirwe, Charity
Format: Thesis
Language:English
Published: Kabale University 2024
Subjects:
Online Access:http://hdl.handle.net/20.500.12493/2242
Tags: Add Tag
No Tags, Be the first to tag this record!
_version_ 1813635237892063232
author Tushemereirwe, Charity
author_facet Tushemereirwe, Charity
author_sort Tushemereirwe, Charity
collection KAB-DR
description This study focused on establishing the effect of credit risk management on the profitability of Centenary Bank, Kabale Branch. Credit risk management was viewed as a three-dimensional construct consisting of credit risk identification, credit risk assessment, and credit risk control. Profitability on the other hand was viewed in terms of Return on Equity, Return on Assets, and Non-Performing Loans. The study adopted descriptive and correlation research designs. Data was collected from a target population of 103 respondents comprising loan officers, administrators, branch supervisors, accountants, and centenary bank borrowers; using closed-end questionnaires and interview guides. The data was analysed using the Statistical Package of SocialScience from which frequency tables, descriptive statistics, reliability, validity, correlation, and regression results were obtained. At the bivariate level, a Pearson correlation matrix was conducted to ascertain the relationships between the predictor variables and the dependent variable. A linear regression model was used to fit the data. Research findings from the regression model show that risk identification (r=0.882), risk assessment (r=0.776), and risk controls (r=0.829) had a positive significance on the Centenary Bank Kabale Branch’s profitability. The main conclusion drawn from this research was that credit risk identification, credit risk assessment and credit risk controls had a significant effect on the profitability of commercial Banks. The study therefore recommended more emphasis on Credit risk management for fortitudes of increasing profitability of Centenary Bank Kabale.
format Thesis
id oai:idr.kab.ac.ug:20.500.12493-2242
institution KAB-DR
language English
publishDate 2024
publisher Kabale University
record_format dspace
spelling oai:idr.kab.ac.ug:20.500.12493-22422024-08-01T00:00:24Z Credit Risk Management and Profitability of Commercial Banks in Uganda: A Case of Centenary Bank Kabale Branch. Tushemereirwe, Charity Credit Risk Management Profitability Commercial Banks Uganda Centenary Bank Kabale Branch This study focused on establishing the effect of credit risk management on the profitability of Centenary Bank, Kabale Branch. Credit risk management was viewed as a three-dimensional construct consisting of credit risk identification, credit risk assessment, and credit risk control. Profitability on the other hand was viewed in terms of Return on Equity, Return on Assets, and Non-Performing Loans. The study adopted descriptive and correlation research designs. Data was collected from a target population of 103 respondents comprising loan officers, administrators, branch supervisors, accountants, and centenary bank borrowers; using closed-end questionnaires and interview guides. The data was analysed using the Statistical Package of SocialScience from which frequency tables, descriptive statistics, reliability, validity, correlation, and regression results were obtained. At the bivariate level, a Pearson correlation matrix was conducted to ascertain the relationships between the predictor variables and the dependent variable. A linear regression model was used to fit the data. Research findings from the regression model show that risk identification (r=0.882), risk assessment (r=0.776), and risk controls (r=0.829) had a positive significance on the Centenary Bank Kabale Branch’s profitability. The main conclusion drawn from this research was that credit risk identification, credit risk assessment and credit risk controls had a significant effect on the profitability of commercial Banks. The study therefore recommended more emphasis on Credit risk management for fortitudes of increasing profitability of Centenary Bank Kabale. 2024-07-15T08:56:38Z 2024-07-15T08:56:38Z 2024 Thesis Tushemereirwe, Charity (2024). Credit Risk Management and Profitability of Commercial Banks in Uganda: A Case of Centenary Bank Kabale Branch. Kabale: Kabale University. http://hdl.handle.net/20.500.12493/2242 en Attribution-NonCommercial-NoDerivs 3.0 United States http://creativecommons.org/licenses/by-nc-nd/3.0/us/ application/pdf Kabale University
spellingShingle Credit Risk Management
Profitability
Commercial Banks
Uganda
Centenary Bank Kabale Branch
Tushemereirwe, Charity
Credit Risk Management and Profitability of Commercial Banks in Uganda: A Case of Centenary Bank Kabale Branch.
title Credit Risk Management and Profitability of Commercial Banks in Uganda: A Case of Centenary Bank Kabale Branch.
title_full Credit Risk Management and Profitability of Commercial Banks in Uganda: A Case of Centenary Bank Kabale Branch.
title_fullStr Credit Risk Management and Profitability of Commercial Banks in Uganda: A Case of Centenary Bank Kabale Branch.
title_full_unstemmed Credit Risk Management and Profitability of Commercial Banks in Uganda: A Case of Centenary Bank Kabale Branch.
title_short Credit Risk Management and Profitability of Commercial Banks in Uganda: A Case of Centenary Bank Kabale Branch.
title_sort credit risk management and profitability of commercial banks in uganda a case of centenary bank kabale branch
topic Credit Risk Management
Profitability
Commercial Banks
Uganda
Centenary Bank Kabale Branch
url http://hdl.handle.net/20.500.12493/2242
work_keys_str_mv AT tushemereirwecharity creditriskmanagementandprofitabilityofcommercialbanksinugandaacaseofcentenarybankkabalebranch