Financing post COVID-19 business revival and economic recovery: Stress Testing of Banking Sector of Pakistan
Adil, Fareeha; Javed, Sajid Amin | July 2020
Abstract
The role of banking sector in post COVID-19 revival of business and economic recovery will be very critical which, in turn, depends on financial soundness of the sector. This study not only evaluates the financial soundness of the banking sector of Pakistan but also assesses the ability of banking sector to respond to financial pressures in the times of crisis, i.e. COVID-19 pandemic in this case. For this, IMF’s Bankometer S-score model has been employed. Data for the financial assessment of all the banks in industry and top 10 banks with largest share in market for a period of six years (2014-2019) has been used for the stress testing. The findings suggest that banking sector in general and major banks of the country in particular are in exceptionally sound financial position. In other words, banking sector of Pakistan has the ability to fully finance post COVID-19 revival of businesses for economic recovery.
Citation
Adil, Fareeha; Javed, Sajid Amin. 2020. Financing post COVID-19 business revival and economic recovery: Stress Testing of Banking Sector of Pakistan. © Sustainable Development Policy Institute. http://hdl.handle.net/11540/12248.Keywords
Economic Crisis
Economic Efficiency
Economic Policies
Financial Stability
Financial Management System
Financial Restructuring
Capital Market Development
Market Development
Economics
Erosion
International Economics
Macroeconomic
Macroeconomic Analysis
Performance Evaluation
Impact Evaluation
Foreign and Domestic Financing
Foreign Direct Investment
E-commerce
Digital
Economies in transition
Economic agreements
Social condition
Economic dependence
Economic assistance
Crisis
Taxation
Public Accounting
National Budget
Municipal Bonds
Local Government
Local Taxes
International Monetary Relations
International Financial Market
Multilateral Financial Institutions
Economic Recession
Market
Crisis
Economic indicators
Growth models
Gross domestic product
Macroeconomics
Economic forecast
Business Financing
Investment Requirements
Corruption
Money laundering
Digital currency
Bitcoin
Digital economy
Financial crisis
Labor economics
Regional economics
Business recessions
Multilateral development banks
Regulatory reform
Capital
Exports
Economic development projects
Economic policy
Economic forecasting
Investment Requirements
Banks
International banks and banking
Capital movements
Central banks and banking
Bills of exchange
Swaps
Banks and banking
Financial crisis
Credit control
Credit allocation
Capital market
International liquidity
Liquidity
Exchange rate
Use tax
Taxing power
State of taxation
Tax-sales
Tax revenue estimating
Tax planning
Spendings tax
Special assessments
Tax administration and procedure
Sales tax
Real property and taxation
Progressive taxation
Effect of taxation on land use
Effect of taxation on labor supply
Intergovernmental tax relations
Inheritance and transfer tax
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