What Do Basel Capital Accords Mean for SMEs?

Cardone-Riportella, Clara; Trujillo-Ponce, Antonio; Briozzo, Anahí

doi:10.2139/ssrn.2074241

Cited by 9 publications

(1 citation statement)

References 17 publications

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“…Basel III reinforces and simplifies capital ratio numerator and adds some components of macro-prudential to the regulatory framework, but it does not represent a significant alteration from the prior Capital Accord; rather, they work in tandem. Basel III's principal recommendations include the following: First, it significantly improves both the quality and amount of capital, with a stronger emphasis on common equity [4]. High-quality capital is required withstand losses better from potential shocks that could come from anyplace; second, In addition, Basel III introduces a straightforward leverage ratio that support the measure for risk-based.…”

Section: Introductionmentioning

confidence: 99%

Camel Rating Model and Financial Stability of Commercial Banks in Kenya

Mohamed,

Akims,

Nyachae

et al. 2023

AJEBA

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The study sought to examine the effect of CAMEL rating model on financial stability of commercial banks in Kenya. This paper was extracted from the Doctoral dissertation of the first author where the co-authors served as supervisors. Buffer capital theory and efficiency structure theory were utilized. Causal research design was used and a census of forty-one commercial banks was undertaken focusing on the period 2013 to 2019. The panel regression analysis revealed that out of the CAMEL rating variables, only earnings ability had significant effect on financial stability of commercial banks in Kenya. It was recommended that the Central Bank of Kenya motivates earnings (profitability) targets to be in accordance with the size (category) of banks. This is as the earnings ability of commercial banks vary from bank to bank. This will in turn facilitate the improvements and sustenance of financial stability by commercial banks. The study recommends that bank managers when setting earnings target should consider their capabilities as a bank by ensuring realistic targets. Higher earnings translate to higher financial stability according to the study findings, hence apart from the traditional intermediation activities, other profitable business ventures can be explored by commercial banks.

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Section: Introductionmentioning

confidence: 99%

Camel Rating Model and Financial Stability of Commercial Banks in Kenya

Mohamed,

Akims,

Nyachae

et al. 2023

AJEBA

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Government responses to the impact of the global crisis on finance for young and small enterprises

Potter

Thompson

2011

Strategic Change

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Governments responded appropriately to a tightening of access to entrepreneurial finance during the global financial and economic crisis by introducing new and expanded programs focused on loans and loan guarantees, export facilitation and credit mediation, but attention now needs to shift to meeting structural small and medium‐sized enterprise (SME) and entrepreneurship finance challenges in the recovery.

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