Applying logistic Regression Model, this research paper is aimed to figure out the determinants of credit risk among Agricultural Bank's clients of Iran and establish a model to assess the credit risk among them. To achieve the focus of this research, the qualitative and financial data of ٢٠٠ randomly sampled companies which had received credit facilities from different branches of Agricultural Bank in Tehran during ١٩٩٩ – ٢٠٠٤ is evaluated here. Considering credit files of each sample, ٣٦ explanatory variables including qualitative and financial ones were sampled Finally, applying logistic regression analysis, ١٧ variables, mostly have had significant effect on credit risk and unique low risk and high risk clients were selected. Based on statistic indices, these estimated functions are considered significantly in high reliability according to goodness of fit indices and distinguishing potentials of the model. Findings of this research confirm the economic and financial theories related to determinants of credit risk and show that determinants of credit risk of Agricultural Bank clients have more in common with the ones of the other Iranian banks such as Mellat and Bank of Export Development.
Arabmazar, A., & Ruintan, P. (2006). Determinants of Credit Risk among Bank Clients A Case Study; Agricultural Bank of Iran. Journal of Economic Essays; an Islamic Approach, 3(6), 46-82.
MLA
Abbas Arabmazar; Pooneh Ruintan. "Determinants of Credit Risk among Bank Clients A Case Study; Agricultural Bank of Iran". Journal of Economic Essays; an Islamic Approach, 3, 6, 2006, 46-82.
HARVARD
Arabmazar, A., Ruintan, P. (2006). 'Determinants of Credit Risk among Bank Clients A Case Study; Agricultural Bank of Iran', Journal of Economic Essays; an Islamic Approach, 3(6), pp. 46-82.
VANCOUVER
Arabmazar, A., Ruintan, P. Determinants of Credit Risk among Bank Clients A Case Study; Agricultural Bank of Iran. Journal of Economic Essays; an Islamic Approach, 2006; 3(6): 46-82.
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