Document Type : Original Article


1 Department of Financial Management, Karaj Branch, Islamic Azad University, Karaj, Iran.

2 Department of Business Management, Tonkabon Branch, Islamic Azad University, Tonkabon, Iran.

3 Department of Financial Management, Tabarestan Education Institute, Chalus, Iran.


The increasing growth of non-performing loans (NPLs) and the increase of their share in comparison to paid loans, and more importantly, the increase in the share of doubtful loan claims, have turned NPLs into one of the serious threats to banks and credit institutions. Considering the current situation in Iranian banks, the present study has investigated the effect of NPLs on the lending behavior of banks in the capital market of Iran. In order to achieve this goal, 14 banks were selected as a statistical sample for the period of 2014 to 2022. A regression analysis model was used to analyze the data, and the results show that the rate of NPLs and changes in NPLs have a negative and significant effect on bank lending.


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