Examining Mediating Factors in the Pathway of the Impact of Banking Imbalances on Economic Enterprises

Banking imbalance, as one of the structural problems in the banking system, can have profound and wide-ranging effects on economic enterprises and, consequently, on the country’s economic growth. Imbalance refers to the mismatch between banks’ assets and liabilities and can directly and indirectly influence the performance of institutions affected by or dependent on the banking system. This article, through an analytical-documentary method, seeks to identify the mechanisms through which banking imbalances affect economic enterprises. The importance of this subject lies in the fact that economic policymakers must pay special attention to variables that can mitigate the negative impacts of banking imbalances on enterprises in order to improve their economic performance. On the one hand, due to issues such as weaknesses in internal and external oversight—primarily including deficiencies in auditing and central bank supervision—and the lack of sufficient transparency, banks are able to conceal their imbalance through the creation of fictitious assets. On the other hand, banking imbalances can generate a chain of negative effects across the entire economic system. Therefore, any disruption in the functioning of banks can significantly affect investment decisions and the growth of enterprises. Based on the research findings, the direct effects of banking imbalances on the performance of economic enterprises include: increased financing costs, reduced access to credit, decreased production capacity, impacts on employment, diminished competitiveness, effects on pricing and profit margins, and impacts on innovation and research and development. The indirect effects of banking imbalances on economic enterprises include: systemic risks, increased unemployment, effects on the supply chain, reduced public and private investment, heightened economic risks, impacts on international relations, impacts on social stability, and impacts on innovation and development.