An Assesment of Credit Risk Managent Policies and Practices in the Case of Awash Bank
| dc.contributor.advisor | Temesgen Worku | |
| dc.contributor.author | Abigael Surafel | |
| dc.date.accessioned | 2026-11-06T08:17:48Z | |
| dc.date.available | 2026-11-06T08:17:48Z | |
| dc.date.issued | 2026-05-03 | |
| dc.description.abstract | Credit risk remains one of the main challenges faced by Banks as it directly affects the overall financial stability and profitability of the institution. This study assessed the credit risk management policies and practices of Awash Bank S.C and was conduct to evaluate whether the banks credit risk management practices aligns with the industry practice and current regulatory standards. A descriptive research design with both quantitative and qualitative methods was used.The respondents were selected by using purposive sampling method because the study required information that could only be obtained from employees who are directly involved in credit related functions within the bank. The primary data were collected through structured questionnaires which were distributed to fifty employees working directly in the credit appraisal and administration departments also interviews were conducted with senior credit officials. Secondary data were obtained from the Bank’s audited annual reports covering the period 2019/20 to 2023/24, internal policy documents and relevant directives issued by National Bank of Ethiopia.The findings reveled that although the bank has established formal credit risk management policies & procedures and maintained relatively strong credit performance during the study period gaps remain in post disbursement loan monitoring, early identification of credit risk indicators, management of nonperforming loans and consistent implementation of credit risk policies. Based on the findings the study recommends strengthening loan portfolio diversification, improving loan monitoring and follow up mechanisms, improving the use of early warning systems, maintaining accurate borrower information and accelerating the digitization of credit risk management processes. Implementing these measures would improve the effectiveness of Awash banks credit risk management framework, improve financial stability and ensure the banks long term performance and stability. | |
| dc.identifier.uri | https://etd.aau.edu.et/handle/123456789/9414 | |
| dc.language.iso | en | |
| dc.publisher | Addis Ababa University | |
| dc.subject | credit risk management policies and practices | |
| dc.title | An Assesment of Credit Risk Managent Policies and Practices in the Case of Awash Bank | |
| dc.type | Thesis |