Evaluating the Performance of Commercial Banks Using the CAMELS Model - An Applied Study on Bahraini Banks

Authors

  • Dr. Tariq Ramadan Khalifa Abukharis Department of Administrative and Financial Sciences, College of Science and Technology, Jadu Author

Keywords:

CAMELS model, Capital adequacy, Asset quality, Liquidity, Sensitivity, Earning Management

Abstract

This study aims to identify the "CAMELS" model as an effective and accurate tool to be used as a performance evaluator in banking industries and to anticipate future risks. Banks' exposure to financial distress is considered one of the important events that calls for study due to its extremely dangerous effects. CAMELS ratios are calculated to focus on financial performance represented in capital adequacy, asset quality, management, earnings, liquidity, and sensitivity. In this study, some important ratios were selected and calculated to assess bank performance, and the data used were obtained from the annual financial reports of Bahraini banks. The trends in accounts and related figures show important points for managers, and the CAMELS model rating can be an efficient tool for management, control, and decision-making.

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Published

2025-11-20

Issue

Vol. 13 No. 2 (2025): Volume (13), Issue (2), December 2025

Section

المقالات

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How to Cite

Evaluating the Performance of Commercial Banks Using the CAMELS Model - An Applied Study on Bahraini Banks. (2025). Libya Journal of Applied Sciences and Technology, 13(2). https://www.ljast.ly/journalv2/index.php/journalv2/article/view/25