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The Effect Of Cash Reserve Ratio (crr) On The Financial Performance Of Commercial Banks And Their Engagement In Csr In Ghana
It is perceived that reserve requirements promote the financial performance of commercial banks and their engagement in corporate social responsibility. However, not all empirical studies support this perception. This study therefore examines the effect of cash reserve ratio on the financial performance of banks and their level of engagement in corporate social responsibility. Data on banks’ cash reserve ratios from Bank of Ghana and data on corporate social responsibility engagement and return on investment from the 2013 annual reports of 20 commercial banks in Ghana are used. It is found that cash reserve ratio positively relates to the financial performance of commercial banks, but it n
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