BY
Muhannad Farooq Fameed Al_ janabi
Superviser
Ass.Prof.Dr. Zainab Makee Mahmood Albanaa
” Securitization and its impact on the risk and profitability of the bank “
Abstract
The study aims to determine the nature and role of securities in reducing credit and liquidity risk as well as the extent of their contribution to increasing the profitability of private banks by analyzing financial indicators used to measure credit risk, liquidity risk and profitability indicators for banks. From the study sample, where the sample included two banks (Bank of America and Emirates NBD) based on the availability of data for a time series that spanned from 2010 to 2019, in addition to the researcher who prepared an exam form that included a number of questions for a group of private Iraqi banks listed on the Iraq Stock Exchange Finance on the possibility of selling the securitization tool in Iraq, and the sample included ten banks represented in (Bank of Baghdad, Babel Bank, Sumer Bank, International Development Bank, Ashur International Bank, Middle East Bank, Gulf Commercial Bank, Iraqi Credit Bank, Iraqi Commercial Bank, Bank Iraqi investment) The study used a set of financial means and statistical methods to achieve its goals, which were to analyze the correlation and regression relationships of the study variables and test the hypotheses, by using a set of statistical methods such as the linear correlation coefficient (Pearson), and in order to achieve the objectives of the study, major hypotheses were tested and tested using the statistical program ( SPSS) The study reached a set of results, perhaps the most important of which is a correlation and impact relationship of statistical and moral significance to securitization in reducing credit risks and reducing sudden liquidity risks with lower costs as well as an increase in bank profitability The results of the analysis of the examination form also showed that there are deficiencies in many aspects that in turn hinder the application of the securitization tool in Iraqi banks, the most important of which is the lack of laws and legislation necessary to implement the securitization tool as well as the absence of companies with a special purpose (the securitization company), and the study concluded with a number of The most prominent recommendations were the necessity of legislating laws and instructions by the competent authorities and overcoming difficulties in all aspects that hinder the application of the securitization tool in Iraq.
key words / securitization, credit risk, liquidity risk, bank profitability.
