TITLE:
Specific Factors Affecting Nonperforming Loans from Banks in Member Countries of the Economic and Monetary Community of Central Africa (CEMAC)
AUTHORS:
Elfy Deba Yanga Bangagnan
KEYWORDS:
Nonperforming Loans, Factors, Banks, DOLS, CEMAC
JOURNAL NAME:
Modern Economy,
Vol.12 No.12,
December
14,
2021
ABSTRACT: The banking system plays
a significant role in economic activity. It connects agents with financial
capacity and those with a need for funding. The objective of this study is to
determine the specific factors that influence the nonperforming loans of CEMAC
banks. This research covers the six (6) CEMAC countries over a period from 2004
to 2017. To achieve this objective, we used the dynamic ordinary least squares
(DOLS) method. The obtained results show that factors such as the ratio of
loans to total bank assets (RPA), return on assets (ROA) and the ratio of loans
to deposits (RCD) increase nonperforming loans from CEMAC banks.