{"title":"The Comprehensive Index to Evaluate the Performance of Commercial Banks","authors":"Mounzer Mourhij","doi":"10.2139/ssrn.3057123","DOIUrl":null,"url":null,"abstract":"This study differs from other previous studies in the field of performance evaluating, where the researcher developed a quantitative and composite index to evaluate the performance of commercial banks.<br>The comprehensive index takes into account a range of financial ratios related to the main objectives of the commercial Banks (profitability, liquidity and safety), and links them to reflect the actual performance compared with the planned performance, thus, the performance level is determined on a relative scale ranging from 0% to 100%.<br><br>The calculated ratio (IR) of comprehensive index shows the effectiveness and quality of performance in the commercial bank, while the remaining percentage of that ratio indicates the level of performance that needed to achieve good and acceptable objectives.<br>","PeriodicalId":443031,"journal":{"name":"Political Economy - Development: Political Institutions eJournal","volume":"672 1","pages":"0"},"PeriodicalIF":0.0000,"publicationDate":"2020-11-30","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":"0","resultStr":null,"platform":"Semanticscholar","paperid":null,"PeriodicalName":"Political Economy - Development: Political Institutions eJournal","FirstCategoryId":"1085","ListUrlMain":"https://doi.org/10.2139/ssrn.3057123","RegionNum":0,"RegionCategory":null,"ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":null,"EPubDate":"","PubModel":"","JCR":"","JCRName":"","Score":null,"Total":0}
引用次数: 0
Abstract
This study differs from other previous studies in the field of performance evaluating, where the researcher developed a quantitative and composite index to evaluate the performance of commercial banks. The comprehensive index takes into account a range of financial ratios related to the main objectives of the commercial Banks (profitability, liquidity and safety), and links them to reflect the actual performance compared with the planned performance, thus, the performance level is determined on a relative scale ranging from 0% to 100%.
The calculated ratio (IR) of comprehensive index shows the effectiveness and quality of performance in the commercial bank, while the remaining percentage of that ratio indicates the level of performance that needed to achieve good and acceptable objectives.