Date of Award
2-20-2026
Degree Type
Doctoral Dissertation
Degree Name
Doctor of Business Administration (DBA)
Department
Jack Welch College of Business & Technology
Dissertation Supervisor
Dr. Loran Chollete
Committee Member
Dr. Mahfuja Malik
Committee Member
Dr. M.D. Hossain
Abstract
The study examines bank credits to the private sector and the factors driving bank decisions in 25 Sub-Saharan Africa (SSA) countries and 25 Organization for Economic Co-operation and Development (OECD) countries, which are considered both developing and developed countries by the International Monetary Fund (IMF) and the World Bank, with comparative stabilized economies. It focuses on the factors that influence banks to offer credit to the private sector. Domestic credit to the private sector as a percentage of gross domestic product (GDP) is used as the dependent variable. 8 determinants or explanatory variables are used to explain Bank credit decisions. The independent variables include bank capital to asset ratio or bank capital in percentage of GDP, bank liquidity reserve to bank assets or bank liquidity in percentage of GDP, bank non-performing loans in percentage, broad money growth annually, Gross domestic product, annually, inflation annually, yearly interest rate, and taxes on goods and services calculated annually. The results show that six of the eight explanatory variables determine banks' decisions to grant credits to the private sector in Sub-Saharan African countries, with probability thresholds below 0.5. The bank capital-to-asset ratio (bank capital) and bank non-performing loans did not significantly determine domestic credit to the private sector. The same set of dependent and explanatory variables indicates that four explanatory variables influence how domestic banks make credit decisions in OECD countries. The variables that determine their credit decision are bank liquidity (bank liquid reserves to bank assets), bank non-performing loans, inflation, and taxes on goods and services. 4 of the 8 explanatory variables did not significantly influence bank decisions on domestic credit.
Recommended Citation
Asamoah, R. (2026). Bank finance and private sector development: a comparative study of Sub-Saharan Africa and the OECD economies. Jack Welch College of Business & Technology dissertation, Sacred Heart University, Fairfield CT. Retrieved from https://digitalcommons.sacredheart.edu/wcob_theses/51/
Creative Commons License
This work is licensed under a Creative Commons Attribution-Noncommercial-No Derivative Works 4.0 License.
Included in
Business Administration, Management, and Operations Commons, Corporate Finance Commons, Finance and Financial Management Commons
Comments
Submitted as partial fulfillment of the requirements for the degree of Doctor of Business Administration in Finance Sacred Heart University, Jack Welch College of Business and Technology, Sacred Heart University
Dissertation Number DBA01/2026