Abstract
Abstract Today's, the credits are one of most significant activities in banking. Banks examines several criteria while giving the credit. The problems which are met to pay the credits lead to the banks to face with the serious risks. So, the banks implement the risk management effectively. Credit risk is most elementarily identified as the potential that a bank debtor will fail to meet its indispensability in compliance with agreed conditions. The banks which implement the risk management effectively evaluate their risks down to the last detail. The banks need to use the foreign funds efficiency, since banking activities are determined in accordance with foreign funds. The banks give credits to their customers in order to obtain the funds. The banks also undertake the risk while giving the credit. Credit risk is nearly related to the potential return of an investment. The conducted studies revealed that the most important risk for the banks is credit risk. Many techniques are used in the measurement of credit risk. Thus, the banks statistically tend to measure the credit outcomes. In this study, the factors which affecting credit risk in banking are evaluated. Analytical Hierarchy Proses which is one of multiple criteria decision making techniques were applied while assessing these criteria. Accordingly factors were compared by paired comparison. The weight of each criteria were determined as a result of comparisons. The consistency ratio was calculated whether comparisons were consistent or not. At the end of the study, the weight of the factors affecting the credit risk was found. Thus, the factors which must be focussed on clearly demonstrated while managing most significant risk of banking.
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