FINANCIAL DISTRESS OF COMMERCIAL BANKS IN IRAQ AN APPLIED STUDY ON SUMAR COMMERCIAL BANK

Abstract

The evaluation of the banking performance of some Iraqi private commercial banks listed on the Iraq Stock Exchange using the Sherrod and Springate models and that the sample included three Iraqi commercial banks, namely Baghdad Bank, Sumar Bank, and Ashur Bank, by reviewing the liquidity and profitability indicators and the extent of differences between these banks, the study recommends applying financial distress indicators in banks to avoid their exposure to risks and in general, the sample banks all suffer from weakness in their financial position and based on the above, the study recommends raising the performance of banks by the management of these banks investing in projects less susceptible to be able to fund ongoing operations and fulfill obligations to avoid the risk of financial distress.