Comparative Analysis of Financial Performance of Public and Private Banks(Case Study)
COMPARATIVE ANALYSIS OF FINANCIAL PERFORMANCE OF PUBLIC AND PRIVATE BANKS [IN THE CASE OF SELECTED PRIVATE AND PUBLIC BANKS]
A SENIOR ESSAY SUBMITTED TO DEPARTMENT OF ACCOUNTING AND FINANCE, IN PARTIAL FULFILLMENT OF THE REQUIREMENT OF BACHELOR OF ARTS DEGREE IN ACCOUNTING AND FINANCE.
Prepared by: Ruth Alemayehu
ADDIS ABABA UNIVERSITY
COLLEGE OF MANAGEMENT, INFORMATICS AND ECONOMIC SCIENCE
SCHOOL OF BUSINESS AND PUBLIC ADMINSTRATION
DEPARTMENT OF ACCOUNTING AND FINANCE JUNE, 2011
ACKNOWLEGMENT
First of all I would like to thank the almighty God for HIS help in every aspect of my life. Without his help I would not be here.
I would like to forward my deepest gratitude to my advisor ATO Abraham Demissie who has provided me with guidance and direction diligently. I would also like to thank the managers of the four banks especially the manager of commercial Bank of Ethiopia for their support in giving the information required.
Last but not least I would like to thank my family for being there for me whenever I need them and for their unconditional support and encouragement throughout my life.
ABSTRUCT
This paper is about measuring the financial performance of selected public and private banks. These banks were selected randomly in a non-probabilistic method. The information to help this comparison is mainly dependent on secondary data like annual reports. It has tried to assess the level of profit and market share of these selected private and public banks using different performance measurement methods specifically ratios. It has used profitability ratios, activity ratios and financing ratios to help measure and compare their performance.
The result of this comparison is that private banks have better performance when compared to the public banks. But still there was some weak part found on the side of the private banks which needs to be improved. Finally this paper has made some conclusions concerning the results
A SENIOR ESSAY SUBMITTED TO DEPARTMENT OF ACCOUNTING AND FINANCE, IN PARTIAL FULFILLMENT OF THE REQUIREMENT OF BACHELOR OF ARTS DEGREE IN ACCOUNTING AND FINANCE.
Prepared by: Ruth Alemayehu
ADDIS ABABA UNIVERSITY
COLLEGE OF MANAGEMENT, INFORMATICS AND ECONOMIC SCIENCE
SCHOOL OF BUSINESS AND PUBLIC ADMINSTRATION
DEPARTMENT OF ACCOUNTING AND FINANCE JUNE, 2011
ACKNOWLEGMENT
First of all I would like to thank the almighty God for HIS help in every aspect of my life. Without his help I would not be here.
I would like to forward my deepest gratitude to my advisor ATO Abraham Demissie who has provided me with guidance and direction diligently. I would also like to thank the managers of the four banks especially the manager of commercial Bank of Ethiopia for their support in giving the information required.
Last but not least I would like to thank my family for being there for me whenever I need them and for their unconditional support and encouragement throughout my life.
ABSTRUCT
This paper is about measuring the financial performance of selected public and private banks. These banks were selected randomly in a non-probabilistic method. The information to help this comparison is mainly dependent on secondary data like annual reports. It has tried to assess the level of profit and market share of these selected private and public banks using different performance measurement methods specifically ratios. It has used profitability ratios, activity ratios and financing ratios to help measure and compare their performance.
The result of this comparison is that private banks have better performance when compared to the public banks. But still there was some weak part found on the side of the private banks which needs to be improved. Finally this paper has made some conclusions concerning the results
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