Executive Master of Business Administration

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Browsing Executive Master of Business Administration by Author "Abebaw Kassie (PhD)"

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    Factors Impacting the Profitability of Ethiopian Private Banks
    (A.A.U., 2022-02-09) Eyosiyas Minasie; Abebaw Kassie (PhD)
    The study's objective was to determine whether there was a correlation between real estate finance and the profitability of the top 10 privately owned commercial banks in Ethiopia. The study's precise goals included figuring out how real estate financing affects commercial banks' financial performance, establishing the link between mortgage ratio and return on assets for these Institutions, and establishing the link between their accounting ratios and return on assets. The study's target audience was Ethiopia's top 10 privately owned commercial banks. The Ethiopian National Bank and individual bank reports were used to compile secondary data. The study found that commercial banks in Ethiopia place a strong emphasis on mortgage finance to boost their profits. The study found that real estate financing, in terms of loans issued as well as other activities that increase the overall value of mortgages extended by commercial banks, had substantial impact on the financial performance of Ethiopian private commercial banks. Also, the study found that capital adequacy and cost of operations had a substantial impact on commercial banks' financial performance in Ethiopia. Furthermore, the study finds that the size of a bank has little bearing on its financial success in Ethiopia. Similarly, it was discovered that liquidity ratio and market share had a considerable impact on commercial banks' financial performance in Ethiopia