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Bank failure prediction models: Review and outlook

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  • Citterio, Alberto

Abstract

This paper presents a literature review of recent empirical contributions on bank default prediction. The topic has always been important in the banking and finance literature, but it gained increasing interest especially after the 2008–2009 global financial crisis. The significant consequences of bankruptcy cases have highlighted the need for managers and regulators to develop and adopt appropriate early warning systems.

Suggested Citation

  • Citterio, Alberto, 2024. "Bank failure prediction models: Review and outlook," Socio-Economic Planning Sciences, Elsevier, vol. 92(C).
    • Handle: RePEc:eee:soceps:v:92:y:2024:i:c:s003801212400017x
    DOI: 10.1016/j.seps.2024.101818
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    Cited by:

    1. Elena G. Shershneva, Min Zhou Hao, 2024. "Russian Banks Financial Stability Loss Diagnostic: Multidimensional Logit-Model Approach," Journal of Applied Economic Research, Graduate School of Economics and Management, Ural Federal University, vol. 23(2), pages 476-498.
    2. Elena G. Shershneva, 2024. "CAMELS parameters’ impact on the risk of losing financial stability: The case of Russian banks," Journal of New Economy, Ural State University of Economics, vol. 25(2), pages 130-152, July.

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    More about this item

    Keywords

    Bank failures; Financial distress; Prediction models; Financial indicators; Non-financial indicators;
    All these keywords.

    JEL classification:

    • G33 - Financial Economics - - Corporate Finance and Governance - - - Bankruptcy; Liquidation
    • G21 - Financial Economics - - Financial Institutions and Services - - - Banks; Other Depository Institutions; Micro Finance Institutions; Mortgages
    • G01 - Financial Economics - - General - - - Financial Crises
    • C53 - Mathematical and Quantitative Methods - - Econometric Modeling - - - Forecasting and Prediction Models; Simulation Methods

    Statistics

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