ASSETS-LIABILITY MANAGEMENT: A COMPARATIVE STUDY OF NATIONAL COMMERCIAL BANK AND NATIONAL BANK OF KUWAIT

Abstract

The study aimed to compare asset liability management of Saudi Arabia banking system and Kuwait banking system. The study had used financial statement found in the company’s website for comparing the performance of NCB and NBK between year 2012 and year 2015. Besides, the study had used of various financial ratios in the process of assessing Asset-Liability management. The study had used return on assets, average total equity and return on equity, average total assets and gap analysis technique to compare asset-liability management. The indicator of financial performance such as return on operating assets were crucial in indicating the NCB and NBK were using their assets to increase revenue generation. The comparative research method was used in the comparing management of assets and liabilities of NCB and NBK. This method proved to be useful as ensured necessary comparison was done to guarantee proper and effective findings of the financial performance and financial ratios