University of Isfahan Journal of Asset Management and Financing 2383-1189 6 4 2018 12 22 Factors Affecting Credit Risk of Commercial Banks of Iran with Emphasis on Banking and Macroeconomic Specific Factors Factors Affecting Credit Risk of Commercial Banks of Iran with Emphasis on Banking and Macroeconomic Specific Factors 79 92 23117 10.22108/amf.2018.105889.1156 FA Mohammad Reza Rostami Assistant Professor, Management department, Faculty of Economics and Social Science, Alzahra University, Tehran, Iran Ahmad Nabizade Assistant Professor, Bussines Group, Faculty of Management, Kharazmi University, Tehran, Iran Zahra Shahi Master's degree in Financial management, Faculty of Science & Economics, Alzahra University, Tehran, Iran Journal Article 2017 08 20 As banks’credit risk instability has a critical role on monetary and financial system, this study focuses on factors affecting both specific banking factors and macroeconomics factors on the credit risk of commercial banks in Iran. Based on Judgmental sampling method data of 9 independent and dependent variables was analyzed at the level of the commercial banks and the macroeconomics of the country by generalized method of moments (GMM) during the period from March 2009 to March 2016. The results show that the ratio of non-current facilities (NPL) of the past period, and the growth rate of GDP without oil with non-current facilities ratio (NPL) have a positive relationship with credit risk and bank's capital, the growth rate of oil revenue and credit growth, have a significant and negative relationship with credit risk. Also, bank size, inflation rate, and return on assets have a significant relationship with the credit risk criterion (NPL). As banks’credit risk instability has a critical role on monetary and financial system, this study focuses on factors affecting both specific banking factors and macroeconomics factors on the credit risk of commercial banks in Iran. Based on Judgmental sampling method data of 9 independent and dependent variables was analyzed at the level of the commercial banks and the macroeconomics of the country by generalized method of moments (GMM) during the period from March 2009 to March 2016. The results show that the ratio of non-current facilities (NPL) of the past period, and the growth rate of GDP without oil with non-current facilities ratio (NPL) have a positive relationship with credit risk and bank's capital, the growth rate of oil revenue and credit growth, have a significant and negative relationship with credit risk. Also, bank size, inflation rate, and return on assets have a significant relationship with the credit risk criterion (NPL). https://amf.ui.ac.ir/article_23117_e96ddf05799ad56fd426400b9332ecfb.pdf