| Abstract [eng] |
The primary purpose of this master's thesis is to analyse and evaluate the activity of Lithuanian credit unions. The work consists of three main parts: the analysis of literature, the research and its results, the conclusion, and recommendations. Literature analysis reviews the concept of credit unions, the assessment methods used, and risk evaluation. It presents the structure of Canadian credit unions, a crucial foundation for all credit unions worldwide. The literature analysis provides similarities and differences between commercial and cooperative banks. After the literature analysis, the author embarked on a study concerning the analysis and risks associated with credit unions. This investigation involved conducting analyses on cooperative and commercial banks, employing various financial metrics to ascertain insights into their fluctuations. Within the scope of the study, an extensive examination of credit union operations was conducted, focusing on five prominent credit unions that operated during the global economic crisis. The author scrutinized the indicators of these credit unions, which encompassed the computation of Return on Assets (ROA), assessment of capital adequacy, and analysis of financial statement metrics. These meticulous evaluations provided a holistic understanding of the changes in risk profiles and the progress observed within cooperative banking institutions. The conducted research revealed that the financial indicators of credit unions are not sufficiently stable, and the results could be utilized to mitigate risks. One of the significant problems identified is that loans granted by credit unions need to be more adequately assessed. There should be mandatory careful analysis of customers' personal information, and loan approval processes need to be thoroughly reviewed. The conclusions and recommendations summarize the main concepts of literature analysis as well as the results of the performed research. The results of the study could give valuable guidelines to credit unions and help avoid credit and management risks in the future. |
