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International Journal of Academic Research in Business and Social Sciences

Open Access Journal

ISSN: 2222-6990

Influence of Adverse Selection due to Asymmetric Information on Commercial Banks Lending Performance in Rwanda

Mukasafari Chantal, G. S. Namusonge, Jaya Shukla

http://dx.doi.org/10.6007/IJARBSS/v9-i11/6641

Open access

This study about the influence of adverse selection asymmetric information to the commercial bank lending in Rwanda means that there a requirement of reducing information asymmetry in order to allow the performance lending in commercial banks of Rwanda. The study followed both correlation and comparative designs, and used both qualitative and quantitative. The researcher used both primary and secondary source of data. Discriminating variables of ratios were analyzed using the Altman Z score. The data were analyzed using Statistical Packaging for Social Sciences (SPSS) and E-Xcel. In relation to the research objective, the study found that the coefficient R equal to 0.986. This leads to confirm that there is significant positive relationship between adverse selection asymmetric information and performance of bank.

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In-Text Citation: (Chantal, Namusonge, & Shukla, 2019)
To Cite this Article: Chantal, M., Namusonge, G. S., & Shukla, J. (2019). Influence of Adverse Selection due to Asymmetric Information on Commercial Banks’ Lending Performance in Rwanda. International Journal of Academic Research in Business and Social Sciences, 9(11), 1105–1127.