Abstract:
Objective of the study
The study investigates the i
impact of liquidity creation and corporate governance on banks'
profitability in Pakistan.
Data & Method
To achieve the research objectives,
was
a quantitative research design was adopted. Secondary data
gathered from 2004 to 2022. Multiple regression techniques
were used to identify the impact
of liquidity creation and corporate governance on banks' profitability.
Results
The study s findings suggest that liquidity creation has a negative significant impact on bank
profitability. This means that when banks prioritize profit over liquidity creation, liquidity
decreases in Pakistan. Furthermore, corporate governance also has a negative significant impact
on the bank's profitability.
Conclusion
This study explores the relationship between liquidity creation, corporate governance, and bank
profitability in Pakistan's commercial banking sector. It emphasizes the importance of effective
governance,
prudent risk management, transparent governance, and strategic decision-making for
long-term profitability.
Policy implication
The study provides
valuable insights for policymakers, regulators, and stakeholders aiming to
enhance the financial stability and performance
research may explore additional factors.
