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Banking Activities in Kosovo and the Importance of Credit Risk Management

Author

Listed:
  • Arbana Sahiti

    (University of Prishtina, Republic of Kosovo)

  • Skender Ahmeti

    (University of Prishtina, Republic of Kosovo)

  • Muhamet Aliu

    (University of Prishtina, Republic of Kosovo)

Abstract

Banks between the financial services they provide play significant roles in the country's economy.Theimportance of banks in Kosovo is one of the essential catalysts in economic growth. The banking industry based on efficiency and performance industryis the leading indicator of the country's financial stability. The pace of economic growth and long-term stability in the country varies from the level of credit and for what economic activities the bank finances. Credit risk is the primary determinant of banking performance. The higher the risk that the higher the risk is the probability of bank loss and viceversa. In this study banking activities will be discussed and events in general, as well as an analysis of the financial system especially at banks, with particular emphasis on the importance of credit risk management.

Suggested Citation

  • Arbana Sahiti & Skender Ahmeti & Muhamet Aliu, 2018. "Banking Activities in Kosovo and the Importance of Credit Risk Management," International Journal of Finance & Banking Studies, Center for the Strategic Studies in Business and Finance, vol. 7(3), pages 35-43, July.
  • Handle: RePEc:rbs:ijfbss:v:7:y:2018:i:3:p:35-43
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    References listed on IDEAS

    as
    1. Barth, James R. & Caprio, Gerard Jr. & Levine, Ross, 2004. "Bank regulation and supervision: what works best?," Journal of Financial Intermediation, Elsevier, vol. 13(2), pages 205-248, April.
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