Analysis Of The Relationship Between Liquidity Requirements And Financial Performance Of Commercial Banks In Kenya

Description

Liquidity requirements are essential for commercial banks that participate in lending and creation of credit in an economy. Assessing the impact of liquidity ratios on the performance of commercial banks in Kenya involves analysing various liquidity metrics and their influence on the overall financial health and operational efficiency of these banks.
The study recommends that finance managers of the commercial banks in Kenya should strive to balance between current assets and current liabilities to ensure they meet their obligations as they arise.
This will prevent some of the crisis experienced by this commercial banks in Kenya where some of them them collapsing or bailed out by the government.