The Importance of Methods of Credit Risk Management at Commercial Banks in the Processes of Shaping Money Supply in the Economy
Journal Title: Studia Zarządzania i Finansów Wyższej Szkoły Bankowej w Poznaniu - Year 2017, Vol 12, Issue
Abstract
One of the main economic categories in the free market economy is the process of money creation. This is because the amount of money in the economy in the longer term determines the level of inflation in the country. The dynamics of loans granted recently in Poland is lower than in previous periods. The growth rate of money supply in our country is decreasing as well. Thus, we can observe that the process of money creation depends on the effects of introducing modern, effective methods of managing bank credit risk. The aim of this paper is to show the relationship between limiting lending at commercial banks by means of introducing more effective credit risk management methods, and the amount of money in the economy, i.e. the process of money creation.
Authors and Affiliations
Rafał Koczkodaj, Małgorzata Gorzałczyńska- -Koczkodaj
Keywords
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