Monetary & Financial Economics

The Effect of CAMELS Indices on Outstanding Bank Receivables

Articles in Press

Document Type : Original Article

Authors

Abdolrasoul Rahmanian Koushkaki 1
Hossein Abareghi 2

1 Department of Accounting, Payame Noor University, Tehran, Iran

2 MSc, Department of Accounting, Payame Noor University .Tehran, Iran

https://doi.org/10.22067/mfe.2026.98482.1676
Abstract
This study aims to investigate the impact of CAMELS indicators on bank non-performing loans (NPLs). The present research is applied in terms of purpose and correlational-causal (ex-post facto) in terms of methodology. The statistical population includes banks listed on the Tehran Stock Exchange, from which 10 banks were selected as the sample. The data were collected and analyzed over a 10-year period (2014-2023). The CAMELS index comprises six components: Capital Adequacy, Asset Quality, Management Quality, Earnings, Liquidity, and Sensitivity to Market Risk. The results showed that Asset Quality, Earnings Status, and Liquidity Quality have a significant and inverse impact on NPLs. However, Capital Adequacy, Management Quality, and Sensitivity to Market Risk do not have a significant impact on NPLs. This study, by analyzing the CAMELS components separately and using up-to-date data, can assist policymakers and bank managers in identifying factors affecting NPLs, thereby enhancing the financial health of banks and preserving stakeholder confidence.

Keywords

Bank overdue claims
bank health
CAMELS index
Subjects
Send comment about this article
Enter Name.
Enter a valid email address.
Enter a vaid affiliation.
Enter comments (At leaset 10 words)
CAPTCHA Image
Enter Security Code Correctly.
Monetary & Financial Economics

Articles in Press, Accepted Manuscript
Available Online from 10 June 2026

  • Receive Date 29 April 2026
  • Revise Date 05 June 2026
  • Accept Date 10 June 2026

Home

Editorial Board

Publication Ethics

Related Links

News

Contact Us