Does crisis affect credit risk in developing countries?

  • MARC KOUZEZ Groupe de recherche angevin en économie et management, GRANEM - University of Angers
  • Danielle Lecointre-Erickson
Keywords: Credit risk, Crisis, Jordanian Market, Z-score model

Abstract

At the core of the crisis marked by its magnitude, credit risk turned to become a powerful catalyst. The objective of this paper is mainly to follow up the evolution of the credit risk at the Jordanian market during the recent economic and financial international crisis. Based on the linear discriminant model Z-Score and KMV structural model, we recognize the increase in the credit risk during the crisis period. On the whole, the confrontation between models highlights the robust correlation between the accounting results of a company and its market value.

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Author Biography

MARC KOUZEZ, Groupe de recherche angevin en économie et management, GRANEM - University of Angers

Corresponding Author

Email: Mkouzez@hotmail.com

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Published
2019-02-10