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Asian Institute of Research, Journal Publication, Journal Academics, Education Journal, Asian Institute
Asian Institute of Research, Journal Publication, Journal Academics, Education Journal, Asian Institute

Economics and Business

Quarterly Reviews

ISSN 2775-9237 (Online)

asian institute research, jeb, journal of economics and business, economics journal, accunting journal, business journal, managemet journal
asian institute research, jeb, journal of economics and business, economics journal, accunting journal, business journal, managemet journal
asian institute research, jeb, journal of economics and business, economics journal, accunting journal, business journal, managemet journal
asian institute research, jeb, journal of economics and business, economics journal, accunting journal, business journal, managemet journal
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Published: 23 October 2024

Risk and Financial Performance: A Case Study on Kuwaiti Banks

Musaed S. AlAli, Ibraheem T. AlAskar

The Public Authority for Applied Education and Training, Kuwait

asian institute research, jeb, journal of economics and business, economics journal, accunting journal, business journal, management journal

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doi

10.31014/aior.1992.07.04.615

Pages: 19-23

Keywords: Kuwaiti Banks, Kuwait Stock Exchange (KSE), Operational Risk, Credit Risk, Liquidity Risk, Return on Assets, Financial Performance

Abstract

The purpose of this study is to examine the effect of risk factors on the financial performance of Kuwaiti banks. The study is based on the financial data of ten banks listed on Kuwait stock exchange (KSE) over the period 2011-2021. Using pool OLS regression method where return on assets (ROA) is used as the proxy of financial performance and operational risk, credit risk and liquidity risk as risk factors, the results of the research show that the financial performance of Kuwaiti banks is mostly affected by operational risk and liquidity risk and that credit risk does not have any statically significant effect of their financial performance.

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