Abstract We compare the performance of a wide set regression techniques and machine-learning algorithms for predicting recovery rates on non-performing loans, using private database from European debt collection agency. find that rule-based such as Cubist, boosted trees, random forests perform significantly better than other approaches. In addition to loan contract specificities, predictors ref...

This paper analyzes the financial soundness indicators in Iran`s banking system. In the first part it emphasis on asset quality measure by the non-performing loans ratio. The non-performing loans grew rapidly in last decade in Iran’s banking system and it reached higher than 25 percent of total loans in 2010. We conclude that NPLs increase have impact on real part of economy in the concept...

Chinese banks suffer from serious financial fragility manifested by high proportions of non-performing loans and low capital-adequacy ratios. A key policy introduced recently by the Chinese government to reduce financial risks is the establishment of four asset management companies (AMCs) for dealing with bad loans. Drawing on the experiences of the Resolution Trust Corporation in the United St...