Work

The Causative Impact of Liquidity Management on Profitability of Banks in Pakistan: An Empirical Investigation

Year: 2017

Type: article

Abstract: In the corporate finance, liquidity management and profitability are widely debated areas.Liquidity management plays a dynamic role in determining the effectiveness of the banking sector with potential influence in smooth functioning.The objective of the study is to scrutinize the impact of liquidity management on the profitability of Pakistani banks, covering period of 2006-2016.The secondary financial data obtained from audited annual financial reports were analyzed using descriptive and inferential statistics.Return on assets (ROA) and Return on equity (ROE) have been used as measures of bank's profitability while as, Current Ratio (CR) advances to deposit ratio (ADR), Cash deposit ratio (CDR) and Deposit Assets Ratio (DAR) represented liquidity management.The result demonstrates that ADR, CDR and DAR

Source: International Journal of Academic Research in Economics and Management Sciences

DOI: 10.6007/ijarems/v6-i3/3151

Authors: Tanveer Bagh, Sadaf Razzaq, Tahir Azad, Idrees Liaqat, Muhammad Asif Khan

Institutions: University of Azad Jammu and Kashmir, Riphah International University, Huazhong University of Science and Technology

Language: English

Topic: Banking stability, regulation, efficiency

Subfield: Finance

Field: Economics, Econometrics and Finance

Domain: Social Sciences

SDG: Decent work and economic growth

Open Access status: diamond

OpenAlex ID: W2803745992