The Effect of the Inflation Rate and the Minimum Capital Required by Banks to the Lending Banks Listed on the Tehran Stock Exchange

Document Type : Research Paper

Authors

1 . Assistant Professor of Accounting Payam Noor University

2 Assistant Professor of Accounting Azad University of Bushehr

3 Master of Accounting Azad University of Bushehr

Abstract

The role of banks in financing and investment needs of businesses are obvious. Bank lending to applicants through the effective action takes place. Bank lending is also the most important source of income. Therefore, identification of factors affecting lending is an important question. Some of these factors are economic circumstances arise outside of banks and other banks are internal factors. This study examines the inflation factor as external and internal factors, capital adequacy as an agent and its effects on bank lending deals. Data collected in a 5 year period from 1388 to 1392 and owned by the banks listed on the Tehran Stock Exchange respectively. Hypotheses were tested using multiple linear regression.
 

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