Risk management and its impact on the continuity of banks / a strategic perspective
An analytical study of a sample of commercial banks in the Iraqi Stock Exchange for the period (2005-2022)

Thesis Submitted to the Council of the College of Administration and Economics, Kerbala University, in Fulfillment of the Requirements for Master’s degree in Finance and Banking

Submitted by
Fatima Jaefar Mohammed Abdul Hussein

Supervisor by of professor
Dr. Zainab makee mahmood Albanaa  

Abstract

   This study aims to measure the impact of risk management on the continuity of banks from a strategic perspective. The study was conducted in the banking sector listed on the Iraqi Stock Exchange. The study sample included ten banks, represented by (Bank of Baghdad, Bank of Babel, Gulf Commercial Bank, Commercial Bank of Iraq, National Bank of Iraq, Investment Bank of Iraq, Middle East Bank, Mosul Bank for Development and Investment, Sumer Commercial Bank, Credit Bank of Iraq) based on the availability of data for a time series extending from the year (2005 – 2022), and indicators were used to measure credit, liquidity, market and capital risks. In order to achieve the study’s objective and test its main hypothesis, the multiple regression coefficient was used through the (Smart PLS4) program for the study variables, that is, between the independent variable (banking risk indicators) and the dependent variable (banking continuity), as well as the use of the determination coefficient. (Interpretation) R2, which shows the extent to which the independent variable explains the changes occurring in the Dependent variable , as well as the use of the regression coefficient BETA and the F value calculated for the regression coefficient to indicate the extent of the significance of the regression coefficient. What supports this is that the researcher put forward a checklist at the level of strategies applied in banks in order to reduce of banking risks and supporting the bank in conducting its business. The study reached a set of conclusions, the most important of which is that there is a statistically significant effect of banking risks on the continuity of the banks in the study sample. The study concluded with several recommendations, most notably the adoption of the G-Score measure to predict the banks’ continuation of their activities.

Keywords: risk management – bank continuity – strategic perspective