Abstract: The general objective of this study was to examine influence of corporate risk management practices on commercial bank financial performance in Rwanda. The study sought to achieve the following specific objectives: to evaluate the influence of Risk Identification, Risk Assessment and Measurement, Risk Monitoring and Control and Risk Mitigation Strategies on bank performance at Bank of Kigali. The data were analyzed using statistical methods, primarily through the calculation of frequencies and percentages, to identify patterns and effectively summarize the findings. For this study, the sample comprised 133 employees from Bank of Kigali. The study relied on secondary data for measurements and scaling, which were applied during the data analysis process. The researcher employed quantitative methods for this study, specifically utilizing a questionnaire to collect data. The collected data were systematically analyzed using the Statistical Package for the Social Sciences (SPSS) software. The ANOVA results assessed the overall significance of the regression model in explaining variability in bank performance. The resulting F-statistic of 91.136 tests whether the model fits significantly better than one without predictors. The p-value of .000, well below the 0.05 threshold, indicates the model is highly statistically significant. Overall, the findings confirm a statistically robust, cohesive risk management system that critically supports operational efficiency and financial stability, with Risk Identification and Risk Mitigation Strategies identified as the most impactful factors.

Abstract: This study examines the relationship between firm characteristics (firmographics), financial performance, and financial reporting quality. The analysis focused on firm size, industry classification, profitability, and liquidity as key determinants of reporting practices. The findings reveal that industry membership significantly influences financial reporting quality, suggesting that sector-specific factors and regulatory environments play a critical role in shaping reporting outcomes. In contrast, firm size was found to be insignificant, indicating that larger firms do not necessarily produce higher-quality financial reports compared to smaller firms. Additionally, the results show that liquidity has a significant positive impact on financial reporting quality, highlighting the importance of financial stability and resource availability in ensuring transparent and reliable reporting. These findings contribute to the ongoing discourse on the determinants of financial reporting quality by underscoring the relevance of industry dynamics and financial health over firm size and profitability.

Abstract: This study examined the effect of board structure on the financial performance of selected commercial banks in Rwanda. Guided by the Agency Theory, which emphasizes effective governance mechanisms in aligning management actions with shareholders’ interests, the study investigated how elements of board structure specifically board size influence financial performance indicators such as Return on Equity (ROE) and Return on Assets (ROA). A descriptive and correlational research design was adopted to ensure comprehensive analysis. A census approach was used to collect data from all thirteen commercial banks operating in Rwanda as of June 2024, from which five banks Bank of Kigali, I&M Bank, Cogebank, Ecobank, and Access Bank were selected using convenience sampling due to accessibility and representativeness. Data were obtained entirely from secondary sources, primarily annual financial statements and reports covering the period 2019–2023, sourced from official bank websites and the Rwanda Stock Exchange. Data analysis was conducted using SPSS version 27, employing descriptive statistics to summarize the data, Pearson correlation analysis to assess relationships, and multiple regression analysis to test hypotheses. Diagnostic tests for multicollinearity, heteroscedasticity, and normality were also conducted to ensure model reliability. The findings revealed a strong positive and statistically significant relationship between board size and financial performance (r = 0.877, p < 0.01), and regression results confirmed that board structure variables, particularly board size and independence, are significant predictors of financial performance. The study concludes that well-structured boards enhance decision-making, oversight, and accountability, thereby improving profitability and efficiency in commercial banks. It recommends that Rwandan commercial banks maintain balanced boards that incorporate diversity, expertise, and independence to strengthen governance frameworks and promote sustainable financial growth.

Abstract: This study explores the effect of credit management practices, with a particular focus on loan appraisal, on the financial performance of Umurenge SACCOs in Rulindo District, Rwanda. Grounded in an Asymmetric Information Theory, the research adopts a descriptive design and employs a mixed-methods approach, integrating both quantitative and qualitative techniques. A total of 143 respondents were selected using purposive sampling, and data were collected through structured questionnaires. Descriptive analysis revealed that respondents generally agreed on the importance of loan appraisal, with a mean score of 3.75 for the statement “Loan appraisal is a viable strategy for credit management” and 3.91 for the role of collateral in loan appraisal. However, there was some variability in perceptions regarding the competency of personnel and the thoroughness of loan assessments. Inferential statistics, including correlation and regression analysis using SPSS Version 25, were employed to examine the relationships between loan appraisal and financial performance. The findings showed a strong positive correlation (r = 0.776) between effective loan appraisal and the financial performance of SACCOs. Regression analysis confirmed that loan appraisal practices significantly impact the financial outcomes of Umurenge SACCOs, with a standardized beta coefficient of 0.206 (p-value = 0.005), emphasizing the importance of robust loan evaluation processes in improving financial sustainability. Based on these findings, the study recommends that Umurenge SACCOs adopt more rigorous and standardized loan appraisal procedures, enhance the capacity of credit officers through continuous training, and integrate digital tools for more accurate, efficient loan assessments.

Abstract: This research investigated the effect of internal control system on the financial performance of commercial banks in Rwanda, a case of Bank of Kigali Plc. The findings indicated that for the statement that stated that “Effective control environment over financial reporting to minimize errors and fraud at Bank of Kigali” the respondents agreed with a mean of 4.00 and standard deviation of .961 with the statement. This indicated that the respondents strongly agreed with the statement as indicated by the mean and heterogeneity of answers as indicated by the standard deviation where the respondents had different opinions of the statement and lead to the same answer. The other statement evaluated was “The internal control principles identify irregularities at Bank of Kigali” where the respondents agreed with a mean of 3.96 and standard deviation of .940. This indicated that the respondents agreed with the statement as indicated by the strong mean and heterogeneity of answers as indicated by the standard deviation where the respondents had different opinions of the statement and lead to the same answer. The internal control system plays a vital role in ensuring the financial stability and sustainability of commercial banks in Rwanda. The study conducted on the internal control system of commercial banks in Rwanda reveals that the majority of the banks have a well-established internal control framework, which is in line with the regulatory requirements and international best practices. Banks should conduct regular risk assessments to identify potential risks and implement measures to mitigate them.

Abstract: The study was about effect of non-performing loans on financial performance of selected commercial banks in Rwanda stock exchange within the period of 2019-2023. The level of financial performance every year was high and regression analysis revealed that Non-Performing Loans ratio has a positive coefficient of estimate which was significant (β= 0.319, p˂0.05). On the other side regression analysis shows that cash reserve ratio has a positive coefficient of estimate which was significant (β= 0.287, p˂0.05). This implies that a unit increase in Cash coverage ratio would lead to increase in performance of Equity Bank, BK, I&M Bank Rwanda Ltd and KCB Bank Rwanda Ltd by a factor of 0.287. Regression analysis shows that Non-Performing Loans coverage ratio has positive coefficient of estimate which was significant (β= 0.245, p˂0.05). Therefore, it is from these factors researchers concluded that there is a significant effect of Non-Performing Loans ratio on financial performance of listed commercial banks in RSE. It was also confirmed that cash reserve ratio has positive and significant relationship on financial performance of listed commercial banks in RSE. Researcher also concluded that there is a positive and significant relationship between Non-Performing Loans coverage ratio and financial performance of listed commercial banks in RSE.

Abstract: This study examines the influence of corporate governance practices, particularly board size, on the financial performance of companies listed on the Rwanda Stock Exchange (RSE), focusing on the relationship between board size and key financial indicators such as Return on Assets (ROA) and Return on Equity (ROE). Grounded in governance and financial performance theories, the research employed a descriptive research design with a quantitative approach. A longitudinal analysis was conducted, covering data from 7 companies over a 6-year period (2018-2023). Data were collected from secondary sources, including publicly available financial reports and statements, and analyzed using both descriptive and inferential statistical methods. Correlational analysis revealed a strong positive relationship between board size and financial performance, with a Pearson correlation coefficient of 0.867, indicating that larger boards tend to have a positive impact on financial outcomes. The model summary indicated a strong fit for the data, with an R-squared value of 0.856, meaning that 85.6% of the variation in financial performance could be explained by the model, highlighting the importance of governance structures. Based on these findings, the study concludes that while board size plays a significant role in corporate governance, its impact on financial performance is contingent on effective decision-making and governance practices. The study recommends that companies focus on optimizing board composition, ensuring efficient decision-making processes, and enhancing board members’ governance capabilities to improve overall financial performance.

Abstract: This paper examines the impact of budget planning on the financial performance of manufacturing companies in Rwanda, with an emphasis on the role of budgetary control systems. A descriptive research design was employed, with both quantitative and qualitative research methods. The entire population of 122 employees at the plant was selected as the sample due to the relatively small size of the population. The study used a combination of questionnaires and interviews to collect the data. The findings reveal a significant positive correlation between effective budget planning and improved financial performance, with a Pearson correlation coefficient of r = 0.891, indicating a strong relationship. The mean score for effective budget planning was 4.12, with a standard deviation of 0.56, suggesting a moderate level of agreement among employees regarding the importance of budget planning. Similarly, the mean score for financial performance was 3.98, with a standard deviation of 0.62, indicating that most respondents perceive financial performance as being positively affected by budget planning. Regression analysis further supports this, showing that budget planning is a major predictor of financial performance. The p-value of 0.000 confirms the statistical significance of this relationship, suggesting that the impact of budget planning on financial performance is unlikely to be due to chance. Based on these findings, the study recommends strengthening the budget monitoring system, improving training for financial staff, and aligning budget planning processes with national economic strategies.

Abstract: Despite significant progress in financial inclusion, with access to formal financial services rising, Rwandan microfinance institutions encounter critical loan-related challenges. The general objective of this study was to examine the effect of loan portfolio management on financial performance of financial institutions, specifically focusing on Access Bank Rwanda. Data collection involved questionnaires and documentary techniques using reports and records from Access Bank. Data analysis was conducted using SPSS (Statistical Package for Social Sciences) version 25, analyzing descriptive statistics frequency, percentage, mean, and standard deviation. The unstandardized coefficient for loan origination is 0.294, the significance level for this coefficient (Sig. = 0.001) demonstrates a statistically significant relationship, highlighting the effect of loan origination on financial performance. For credit risk management, the unstandardized coefficient is 0.334, the significance of this coefficient (Sig. = 0.000) indicates a statistically significant positive relationship with financial performance. The unstandardized coefficient for loan collection and recovery is 0.220, the significance value of 0.002 indicates a statistically significant relationship, pointing to the effect of loan collection and recovery on financial performance. Research concluded that Access Bank Rwanda could shorten processing times and raise loan quality by improving its loan origination procedures and introducing more effective review and approval systems. Furthermore, the bank should engage in modern credit risk management measures, such as using data analytics to better analyze and mitigate possible hazards, which will ensure long-term financial stability.

Abstract: This paper investigates the impact of electronic banking on the financial performance of selected commercial banks in Rwanda, specifically focusing on the effects of internet banking. Using a descriptive research design that integrates qualitative and quantitative methods, data were collected from 1,385 employees of Bank of Kigali, I&M Bank, and GT Bank, with a final sample of 310 respondents. Data collection involved questionnaires and interview guides, and analysis was performed using SPSS software version 21. The findings revealed mixed perceptions of internet banking, which scored 3.85 for its role in expanding the client base. Correlation analysis using Pearson’s coefficients indicated a strong positive relationship between internet banking and financial performance (r = 0.886), while multiple regression analysis demonstrated that approximately 78.3% of the variance in financial performance could be explained by the independent variables, with the regression model being significant (F = 23.705, p < 0.001). The study concluded that online banking significantly affects the financial performance of Bank of Kigali, I&M Bank, and GT Bank. The study recommended that the management of Bank of Kigali, I&M Bank and GT Bank should prioritize upgrading online banking platforms to improve usability and overall customer experience. This includes making interfaces more intuitive and user-friendly, as well as ensuring that all features are easily accessible. Additionally, management should implement mechanisms for gathering regular customer feedback, such as surveys or focus groups, to identify areas for continuous improvement.