Risk management strategies and share price resilience: a comparative analysis of NMB Bank and Machhapuchhre Bank in the private commercial banking sector
Shrestha, Sony (2025)
2025
All rights reserved. This publication is copyrighted. You may download, display and print it for Your own personal use. Commercial use is prohibited.
Julkaisun pysyvä osoite on
https://urn.fi/URN:NBN:fi:amk-2025112630108
https://urn.fi/URN:NBN:fi:amk-2025112630108
Tiivistelmä
This thesis investigates how financial risks affect the share prices of two major Nepali commercial banks, NMB Bank and Machhapuchhre Bank. The study focuses on four risk categories—credit, market, liquidity, and operational risk—using secondary data from financial statements and market records.
The findings show that operational risk has a strong positive relationship with share price, suggesting that investors may link higher operational activity with growth potential. Credit risk, by contrast, has a clear negative impact on share price, as increases in risky or unpaid loans reduce investor confidence. Market and liquidity risks showed no significant influence on share values during the study period.
Overall, the results highlight that managing credit and operational risks is essential for maintaining both financial stability and investor trust in Nepal’s banking sector.
The findings show that operational risk has a strong positive relationship with share price, suggesting that investors may link higher operational activity with growth potential. Credit risk, by contrast, has a clear negative impact on share price, as increases in risky or unpaid loans reduce investor confidence. Market and liquidity risks showed no significant influence on share values during the study period.
Overall, the results highlight that managing credit and operational risks is essential for maintaining both financial stability and investor trust in Nepal’s banking sector.
Kokoelmat
Samankaltainen aineisto
Näytetään aineisto, joilla on samankaltaisia nimekkeitä, tekijöitä tai asiasanoja.
-
Banking personnel 's experiences on a bank's organizational and operational change: Case company Bank X
(2020)The thesis was done in cooperation with Bank X. The thesis was implemented to find out how the employees of Bank X experienced the organizational and operational changes done at Bank X’s five banking offices in a specific ... -
The development of central bank digital currencies : why central banks are developing their own central bank digital currencies?
(2023)Development of digitalization is inevitable, and the popularity of cash is declining. Digitalization, however, brings many challenges in terms of payment methods. One future currency we may use on a large scale is the ... -
The European banking regulatory framework in turning point – How are the evolving banking regulations reshaping banking business in the EU?
(HAAGA-HELIA ammattikorkeakoulu, 2014)The recent global financial crisis has heavily reshaped the banking business around the world, especially during the past couple of years. All national banks within the European Union are influenced by decisions made on a ...
