Title: An assessment of credit risk management practices in banks: a case of the Nainital Bank Ltd.

Authors: Deep Chandra; Vinay Kandpal; Vineet Prabha

Addresses: Faculty of Commerce and Business Management, Amrapali University, Haldwani, Uttarakhand, 263139, India ' Department of Management Studies, Graphic Era Deemed to be University, Dehradun, Uttarakhand, 248002 ' Department of Management, Graphic Era Hill University, Dehradun, 248002, India

Abstract: The robust banking sector is essential for the prosperity and economic development of a nation. The Reserve Bank of India and institutions are both concerned about the growing number of nonperforming assets (NPAs). Credit risk management has become increasingly significant in recent years. The awareness level of credit risk understanding among Nainital Bank officers in Uttarakhand, India, and the relationship of Credit Risk Management Practice with Credit Risk Understanding, Credit Risk Identification, Credit Risk Analysis, and Credit Risk Monitoring were investigated in this research paper. The descriptive statistics for Credit Risk Understanding did not support the assertion that Nainital Bank's officers of the Kumaun region in Uttarakhand did not understand the credit risk very well. As per the opinion of the Nainital Bank officers, credit risk analysis was not found significant in this study. Credit risk identification was found to be the most substantial and essential factor in credit risk management practice.

Keywords: credit risk; credit risk understanding; credit risk identification; credit risk analysis; credit risk monitoring; early-warning signals.

DOI: 10.1504/IJBAF.2024.143835

International Journal of Behavioural Accounting and Finance, 2024 Vol.7 No.3, pp.296 - 313

Accepted: 07 Oct 2024
Published online: 09 Jan 2025 *

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