Year : 2020, Volume : 8, Issue : 7
First page : ( 16) Last page : ( 57)
Online ISSN : 2321-1784. Published online : 2020 July 05.

Analysis of challenges secondary school women principals face in administrative duties in bondo, kenya.”

Betty Kenduywa Chelangat¹, Senior Lecturer, Tibbs Charles¹, Dr.

¹Department of Accounting and Finance

Abstract

The main goal of every banking institution is to operate profitably in order to maintain stability and sustainable growth. However, the existence of high levels of non-performing assets (NPAs) in the banking industry negatively affects the level of private investment, impair a bank’s ability to settle its liabilities when they fall due and constrain the scope of bank credit to borrowers. This study will evaluate the relationship between profits and nonperforming Assets (NPAs) and interest on loans in Kenyan banking sector. The purpose of this study will be to investigate the influence of non-performing Assets on profitability of Kenyan banks. The study will use a case study of KCB for the period between 2005 and 2014.The study will use time series data from quarterly reports of Kenya Commercial Bank and Central Bank of Kenya for the stated period. The objectives of this study include; (a) to investigate the relationship between interest income and overall profit of KCB bank, (b) to analyze and compare the trend of non-performing Assets and profit before tax of KCB between the year 2005 and 2014, (c) to investigate the causes of high default rate in loan repayments in KCB bank. This study therefore, will be useful to the bank in formulating its credit risk policy. The study will be based in KCB banks only and no other bank will be researched on during the estimated period. The study will also be tied to a case study approach. The target population for this study will be all the KCB branches in Kenya. From this target population, sampling will be used to narrow down the population to a manageable size. The methods of data collection to be used will be questionnaires and financial reports from the bank. The collected data will finally be analyzed using Regression analysis.

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