The effect of weaknesses of internal controls on bank liquidity through loan repayment (CASE STUDY: Borz-e-Hassaneh Resalat Bank)

The process of globalization and the expansion and integration of new markets, along with new advances in information technology, lack of resources and high costs of providing them, are the challenges that businesses and industries face in terms of trade and economic activity. Hence, investment in decision making, whether short-term or long-term, requires financial resources. Cash as the most fluid and most available asset of any economic unit requires careful management to achieve the goals of the unit with a high degree of speed and quality. The shortage or surplus of liquidity encounters the unit with issues that will demonstrate the need for efficient management in this sector. In the liquidity debate, it has to be programmed for the surplus funds in order to maximize returns from this sector, while avoiding liquidity shortages and after-effects. The organization s real performance in attracting resources, granting facilities and investing may create a different flow of liquidity from the projected budget. In this regard, it is imperative that the organization, instead of a passive approach, always seeks to predict the future cash flow so that it can take appropriate action at the right time. The advantage of liquidity forecasting is to inform the organization of shortfalls and cash surpluses in the future and provide the organization with the possibility of planning for optimum exposure to shortfalls or surpluses of liquidity. In this regard, it is necessary that the actual liquidity flow as well as the predicted cash flow based on performance be continuously evaluated and matched to the budget. In this paper, the effect of the resources and expenditures of the Qarz al-Hassaneh Resalat Bank as inputs and outputs is investigated and analyzed on the liquidity section.

کلیدواژه ها:

global process ، investment ، liquidity