The Role of Fiscal Soundness on Achieving Financial Stability: A Sample of Private Commercial Banks For 2016-2023

Abstract

The aim of the research is to know the impact of financial strength measured by the index (profitability, capital adequacy, and liquidity) on financial stability, to identify the strength of the financial position of private Iraqi commercial banks listed on the Iraqi Stock Exchange, represented by the (Z-SCORE) index, and to indicate which sample banks were selected. The research is the most stable, and for the purpose of achieving the research objectives, the main hypothesis was adopted (that financial soundness has a positive role on achieving financial stability). The research population was represented by a sample of five private Iraqi commercial banks, represented by (Al-Mansour Investment Bank, Iraqi Credit Bank, National Bank of Iraq, Baghdad Bank, and Iraqi Investment Bank), and the descriptive analytical approach was relied upon for the annual financial statements published in the Securities Commission for the period From (2016 - 2023).