Search results for: Credit network
2843 Credit Spread Changes and Volatility Spillover Effects
Authors: Thomas I. Kounitis
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The purpose of this paper is to investigate the influence of a number of variables on the conditional mean and conditional variance of credit spread changes. The empirical analysis in this paper is conducted within the context of bivariate GARCH-in- Mean models, using the so-called BEKK parameterization. We show that credit spread changes are determined by interest-rate and equityreturn variables, which is in line with theory as provided by the structural models of default. We also identify the credit spread change volatility as an important determinant of credit spread changes, and provide evidence on the transmission of volatility between the variables under study.Keywords: Credit spread changes, GARCH-in-Mean models, structural framework, volatility transmission.
Procedia APA BibTeX Chicago EndNote Harvard JSON MLA RIS XML ISO 690 PDF Downloads 16452842 Credit Risk Management and Analysis in an Iranian Bank
Authors: Isa Nakhai Kamal Abadi, Esmaeel Saberi, Ehsan Mirjafari
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While financial institutions have faced difficulties over the years for a multitude of reasons, the major cause of serious banking problems continues to be directly related to lax credit standards for borrowers and counterparties, poor portfolio risk management, or a lack of attention to changes in economic or other circumstances that can lead to a deterioration in the credit standing of a bank's counterparties. Credit risk is most simply defined as the potential that a bank borrower or counterparty will fail to meet its obligations in accordance with agreed terms. The goal of credit risk management is to maximize a bank's risk-adjusted rate of return by maintaining credit risk exposure within acceptable parameters. Banks need to manage the credit risk inherent in the entire portfolio as well as the risk in individual credits or transactions. Banks should also consider the relationships between credit risk and other risks. The effective management of credit risk is a critical component of a comprehensive approach to risk management and essential to the long-term success of any banking organization. In this research we also study the relationship between credit risk indices and borrower-s timely payback in Karafarin bank.Keywords: Financial Ratios; Spearman Test; Bank OperationsRisk
Procedia APA BibTeX Chicago EndNote Harvard JSON MLA RIS XML ISO 690 PDF Downloads 17602841 Assessment of Mortgage Applications Using Fuzzy Logic
Authors: Swathi Sampath, V. Kalaichelvi
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The assessment of the risk posed by a borrower to a lender is one of the common problems that financial institutions have to deal with. Consumers vying for a mortgage are generally compared to each other by the use of a number called the Credit Score, which is generated by applying a mathematical algorithm to information in the applicant’s credit report. The higher the credit score, the lower the risk posed by the candidate, and the better he is to be taken on by the lender. The objective of the present work is to use fuzzy logic and linguistic rules to create a model that generates Credit Scores.
Keywords: Credit scoring, fuzzy logic, mortgage, risk assessment.
Procedia APA BibTeX Chicago EndNote Harvard JSON MLA RIS XML ISO 690 PDF Downloads 27312840 Easy Shopping by Electronic Credit
Authors: M. Kargar, A. Isazadeh, F. Fartash, T. Saderi
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In this paper we suggest a method for setting electronic credits for the customers. In this method banks and market-sites help each other to make doing large shopping through internet so easy. By developing this system, the people who have less money to buy most of the things they want, become able to buy all of them just through a credit. This credit is given by market-sites through a banking control on it. The method suggested can stop being imprisoned because of banking debts.Keywords: E-Business, E-Credit, Market-site, Buy-site, Bank, E-Commerce.
Procedia APA BibTeX Chicago EndNote Harvard JSON MLA RIS XML ISO 690 PDF Downloads 14792839 Sovereign Credit Risk Measures
Authors: Kristýna Pokorná, Petr Teplý
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This paper focuses on sovereign credit risk meaning a hot topic related to the current Eurozone crisis. In the light of the recent financial crisis, market perception of the creditworthiness of individual sovereigns has changed significantly. Before the outbreak of the financial crisis, market participants did not differentiate between credit risk born by individual states despite different levels of public indebtedness. In the proceeding of the financial crisis, the market participants became aware of the worsening fiscal situation in the European countries and started to discriminate among government issuers. Concerns about the increasing sovereign risk were reflected in surging sovereign risk premium. The main of this paper is to shed light on the characteristics of the sovereign risk with the special attention paid to the mutual relation between credit spread and the CDS premium as the main measures of the sovereign risk premium.Keywords: cointegration, credit default swap, credit risk, credit spread, sovereign risk
Procedia APA BibTeX Chicago EndNote Harvard JSON MLA RIS XML ISO 690 PDF Downloads 19422838 A Optimal Subclass Detection Method for Credit Scoring
Authors: Luciano Nieddu, Giuseppe Manfredi, Salvatore D'Acunto, Katia La Regina
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In this paper a non-parametric statistical pattern recognition algorithm for the problem of credit scoring will be presented. The proposed algorithm is based on a clustering k- means algorithm and allows for the determination of subclasses of homogenous elements in the data. The algorithm will be tested on two benchmark datasets and its performance compared with other well known pattern recognition algorithm for credit scoring.
Keywords: Constrained clustering, Credit scoring, Statistical pattern recognition, Supervised classification.
Procedia APA BibTeX Chicago EndNote Harvard JSON MLA RIS XML ISO 690 PDF Downloads 20382837 About the Case Portfolio Management Algorithms and Their Applications
Authors: M. Chumburidze, N. Salia, T. Namchevadze
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This work deals with case processing problems in business. The task of strategic credit requirements management of cases portfolio is discussed. The information model of credit requirements in a binary tree diagram is considered. The algorithms to solve issues of prioritizing clusters of cases in business have been investigated. An implementation of priority queues to support case management operations has been presented. The corresponding pseudo codes for the programming application have been constructed. The tools applied in this development are based on binary tree ordering algorithms, optimization theory, and business management methods.
Keywords: Credit network, case portfolio, binary tree, priority queue, stack.
Procedia APA BibTeX Chicago EndNote Harvard JSON MLA RIS XML ISO 690 PDF Downloads 512836 Corporate Credit Rating using Multiclass Classification Models with order Information
Authors: Hyunchul Ahn, Kyoung-Jae Kim
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Corporate credit rating prediction using statistical and artificial intelligence (AI) techniques has been one of the attractive research topics in the literature. In recent years, multiclass classification models such as artificial neural network (ANN) or multiclass support vector machine (MSVM) have become a very appealing machine learning approaches due to their good performance. However, most of them have only focused on classifying samples into nominal categories, thus the unique characteristic of the credit rating - ordinality - has been seldom considered in their approaches. This study proposes new types of ANN and MSVM classifiers, which are named OMANN and OMSVM respectively. OMANN and OMSVM are designed to extend binary ANN or SVM classifiers by applying ordinal pairwise partitioning (OPP) strategy. These models can handle ordinal multiple classes efficiently and effectively. To validate the usefulness of these two models, we applied them to the real-world bond rating case. We compared the results of our models to those of conventional approaches. The experimental results showed that our proposed models improve classification accuracy in comparison to typical multiclass classification techniques with the reduced computation resource.Keywords: Artificial neural network, Corporate credit rating, Support vector machines, Ordinal pairwise partitioning
Procedia APA BibTeX Chicago EndNote Harvard JSON MLA RIS XML ISO 690 PDF Downloads 34272835 The Need for Selective Credit Policy Implementation: Case of Croatia
Authors: Drago Jakovcevic, Mihovil Andelinovic, Igor Husak
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The aim of this paper is to explore the economic circumstances in which the selective credit policy, the least used instrument of four types of instruments on disposal to central banks, should be used. The most significant example includes the use of selective credit policies in response to the emergence of the global financial crisis by the FED. Specifics of the potential use of selective credit policies as the instigator of economic growth in Croatia, a small open economy, are determined by high euroization of financial system, fixed exchange rate and long-term trend growth of external debt that is related to the need to maintain high levels of foreign reserves. In such conditions, the classic forms of selective credit policies are unsuitable for the introduction. Several alternative approaches to implement selective credit policies are examined in this paper. Also, thorough analysis of distribution of selective monetary policy loans among economic sectors in Croatia is conducted in order to minimize the risk of investing funds and maximize the return, in order to influence the GDP growth.
Keywords: Global crisis, Selective credit policy, Small open economy.
Procedia APA BibTeX Chicago EndNote Harvard JSON MLA RIS XML ISO 690 PDF Downloads 16072834 The Role and Effectiveness of Audit Committee in Corporate Governance of Credit Institutions
Authors: Tina Vuko, Marija Maretić, Marko Čular
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The aim of this study is to analyze the role and effectiveness of internal mechanism (audit committee) of corporate governance on credit institutions performance in Croatia. Based on research objective, sample of 78 credit institutions listed on Zagreb Stock Exchange, from 2007 to 2012, has been collected and efficiency index of audit committee (EIAC) has been created. Based on the sample and created EIAC, conclusions are as follows: audit committees of credit institutions have medium efficiency, based on EIAC measurement; there is a significant difference in audit committee effectiveness, in observed period; there is no positive relationship between audit committee effectiveness and credit institution performance; there is a significant difference between level of audit committee effectiveness and audit firm type. Future research should contain increased number of elements in EIAC creation and increased sample, for all obligators who need to establish audit committee.
Keywords: Corporate Governance, Audit Committee, Financial Institutions, Efficiency Index of Audit Committee.
Procedia APA BibTeX Chicago EndNote Harvard JSON MLA RIS XML ISO 690 PDF Downloads 26062833 Conceptual Frameworks of Carbon Credit Registry System for Thailand
Authors: Akekaluck Hemtanon, Bunyarit Uyyanonvara
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This research explores on the development of the structure of Carbon Credit Registry System those accords to the need of future events in Thailand. This research also explores the big picture of every connected system by referring to the design of each system, the Data Flow Diagram, and the design in term of the system-s data using DES standard. The purpose of this paper is to show how to design the model of each system. Furthermore, this paper can serve as guideline for designing an appropriate Carbon Credit Registry System.
Keywords: CDM, CDM BE, Annex I County, Non-Annex I country, CERs, Kyoto Protocol.
Procedia APA BibTeX Chicago EndNote Harvard JSON MLA RIS XML ISO 690 PDF Downloads 16202832 Comparison between XGBoost, LightGBM and CatBoost Using a Home Credit Dataset
Authors: Essam Al Daoud
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Gradient boosting methods have been proven to be a very important strategy. Many successful machine learning solutions were developed using the XGBoost and its derivatives. The aim of this study is to investigate and compare the efficiency of three gradient methods. Home credit dataset is used in this work which contains 219 features and 356251 records. However, new features are generated and several techniques are used to rank and select the best features. The implementation indicates that the LightGBM is faster and more accurate than CatBoost and XGBoost using variant number of features and records.
Keywords: Gradient boosting, XGBoost, LightGBM, CatBoost, home credit.
Procedia APA BibTeX Chicago EndNote Harvard JSON MLA RIS XML ISO 690 PDF Downloads 93692831 A Comparison of Different Soft Computing Models for Credit Scoring
Authors: Nnamdi I. Nwulu, Shola G. Oroja
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It has become crucial over the years for nations to improve their credit scoring methods and techniques in light of the increasing volatility of the global economy. Statistical methods or tools have been the favoured means for this; however artificial intelligence or soft computing based techniques are becoming increasingly preferred due to their proficient and precise nature and relative simplicity. This work presents a comparison between Support Vector Machines and Artificial Neural Networks two popular soft computing models when applied to credit scoring. Amidst the different criteria-s that can be used for comparisons; accuracy, computational complexity and processing times are the selected criteria used to evaluate both models. Furthermore the German credit scoring dataset which is a real world dataset is used to train and test both developed models. Experimental results obtained from our study suggest that although both soft computing models could be used with a high degree of accuracy, Artificial Neural Networks deliver better results than Support Vector Machines.Keywords: Artificial Neural Networks, Credit Scoring, SoftComputing Models, Support Vector Machines.
Procedia APA BibTeX Chicago EndNote Harvard JSON MLA RIS XML ISO 690 PDF Downloads 21202830 Two Stage Fuzzy Methodology to Evaluate the Credit Risks of Investment Projects
Authors: O. Badagadze, G. Sirbiladze, I. Khutsishvili
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The work proposes a decision support methodology for the credit risk minimization in selection of investment projects. The methodology provides two stages of projects’ evaluation. Preliminary selection of projects with minor credit risks is made using the Expertons Method. The second stage makes ranking of chosen projects using the Possibilistic Discrimination Analysis Method. The latter is a new modification of a well-known Method of Fuzzy Discrimination Analysis.
Keywords: Expert valuations, expertons, investment project risks, positive and negative discriminations, possibility distribution.
Procedia APA BibTeX Chicago EndNote Harvard JSON MLA RIS XML ISO 690 PDF Downloads 17322829 Impact Assessment of Credit Policy and Medical Credit Facility (MCF) on Nigerian Private Sector Health Market: Evidence from Eight Nigerian States
Authors: Chimaobi V. Okolo, Kenneth A. Okpala, Johnbull S. Ogboi
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A teeming set of doctors that graduated from various universities within and outside Nigeria with the hope of practicing in the country, has their hope shattered because of poor financing, lack of medical equipments and a very weak healthcare systems. Such hydra headed challenges, allows room for quackery which increasingly contributes to the cause of mortality in Nigeria. With a view of reversing the challenges of healthcare delivery and financing in Nigeria, African Health Market for Equity (AHME), a project funded by the Bill and Melinda Gates foundation [With contribution from Department For International Development (DFID)] and currently implemented in three African Countries (Nigeria, Kenya and Ghana) over a Five (5) year period supports the healthcare sector via Medical credit fund (MCF). The study examines the impact of credit policy and medical credit funding on Nigerian health market. Ordinary least square analysis, correlation and granger causality tests were employed to measure the extent to which the Nigerian healthcare market has been influenced. Medical credit fund significantly and positively influenced average monthly turnover of private healthcare providers and Commercial bank’s lending rate had a weak relationship with access to credit/approved loans (13.46%). The programme has so far made 13.91% progress, which is very poor, considering the minimum targeted private health care providers (437.6) and expected number of loan approvals (180.4) for the two years. Medical credit policy in Nigeria should be revised to include private healthcare providers in rural area for more positive impact and increased returns. Good brand advert and sensitization of the programme to stakeholders and health pressure group, and an extension of the programme beyond five years is necessary to better address the issues raised in the study.Keywords: Credit, health market, medical credit facility, policy.
Procedia APA BibTeX Chicago EndNote Harvard JSON MLA RIS XML ISO 690 PDF Downloads 17382828 A Comprehensive Survey on Machine Learning Techniques and User Authentication Approaches for Credit Card Fraud Detection
Authors: Niloofar Yousefi, Marie Alaghband, Ivan Garibay
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With the increase of credit card usage, the volume of credit card misuse also has significantly increased, which may cause appreciable financial losses for both credit card holders and financial organizations issuing credit cards. As a result, financial organizations are working hard on developing and deploying credit card fraud detection methods, in order to adapt to ever-evolving, increasingly sophisticated defrauding strategies and identifying illicit transactions as quickly as possible to protect themselves and their customers. Compounding on the complex nature of such adverse strategies, credit card fraudulent activities are rare events compared to the number of legitimate transactions. Hence, the challenge to develop fraud detection that are accurate and efficient is substantially intensified and, as a consequence, credit card fraud detection has lately become a very active area of research. In this work, we provide a survey of current techniques most relevant to the problem of credit card fraud detection. We carry out our survey in two main parts. In the first part, we focus on studies utilizing classical machine learning models, which mostly employ traditional transnational features to make fraud predictions. These models typically rely on some static physical characteristics, such as what the user knows (knowledge-based method), or what he/she has access to (object-based method). In the second part of our survey, we review more advanced techniques of user authentication, which use behavioral biometrics to identify an individual based on his/her unique behavior while he/she is interacting with his/her electronic devices. These approaches rely on how people behave (instead of what they do), which cannot be easily forged. By providing an overview of current approaches and the results reported in the literature, this survey aims to drive the future research agenda for the community in order to develop more accurate, reliable and scalable models of credit card fraud detection.
Keywords: credit card fraud detection, user authentication, behavioral biometrics, machine learning, literature survey
Procedia APA BibTeX Chicago EndNote Harvard JSON MLA RIS XML ISO 690 PDF Downloads 5162827 Analysis on the Relationship between Rating and Economic Growth for the European Union Emergent Economies
Authors: Monica Dudian , Raluca Andreea Popa
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This article analyses the relationship between sovereign credit risk rating and gross domestic product for Central and Eastern European Countries for the period 1996 – 2010. In order to study the metioned relationship, we have used a numerical transformation of the risk qualification, thus: we marked 0 the lowest risk; then, we went on ascending, with a pace of 5, up to the score of 355 corresponding to the maximum risk. The used method of analysis is that of econometric modelling with EViews 7.0. programme. This software allows the analysis of data into a pannel type system, involving a mix of periods of time and series of data for different entities. The main conclusion of the work is the one confirming the negative relationship between the sovereign credit risk and the gross domestic product for the Central European and Eastern countries during the reviewed period.Keywords: credit rating agencies, economic growth, gross domestic product, sovereign credit risk rating.
Procedia APA BibTeX Chicago EndNote Harvard JSON MLA RIS XML ISO 690 PDF Downloads 24232826 Optimal Allocation Between Subprime Structured Mortgage Products and Treasuries
Authors: MP. Mulaudzi, MA. Petersen, J. Mukuddem-Petersen , IM. Schoeman, B. de Waal, JM. Manale
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This conference paper discusses a risk allocation problem for subprime investing banks involving investment in subprime structured mortgage products (SMPs) and Treasuries. In order to solve this problem, we develop a L'evy process-based model of jump diffusion-type for investment choice in subprime SMPs and Treasuries. This model incorporates subprime SMP losses for which credit default insurance in the form of credit default swaps (CDSs) can be purchased. In essence, we solve a mean swap-at-risk (SaR) optimization problem for investment which determines optimal allocation between SMPs and Treasuries subject to credit risk protection via CDSs. In this regard, SaR is indicative of how much protection investors must purchase from swap protection sellers in order to cover possible losses from SMP default. Here, SaR is defined in terms of value-at-risk (VaR). Finally, we provide an analysis of the aforementioned optimization problem and its connections with the subprime mortgage crisis (SMC).
Keywords: Investors; Jump Diffusion Process, Structured Mortgage Products, Treasuries, Credit Risk, Credit Default Swaps, Tranching Risk, Counterparty Risk, Value-at-Risk, Swaps-at-Risk, Subprime Mortgage Crisis.
Procedia APA BibTeX Chicago EndNote Harvard JSON MLA RIS XML ISO 690 PDF Downloads 17232825 Multiclass Support Vector Machines with Simultaneous Multi-Factors Optimization for Corporate Credit Ratings
Authors: Hyunchul Ahn, William X. S. Wong
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Corporate credit rating prediction is one of the most important topics, which has been studied by researchers in the last decade. Over the last decade, researchers are pushing the limit to enhance the exactness of the corporate credit rating prediction model by applying several data-driven tools including statistical and artificial intelligence methods. Among them, multiclass support vector machine (MSVM) has been widely applied due to its good predictability. However, heuristics, for example, parameters of a kernel function, appropriate feature and instance subset, has become the main reason for the critics on MSVM, as they have dictate the MSVM architectural variables. This study presents a hybrid MSVM model that is intended to optimize all the parameter such as feature selection, instance selection, and kernel parameter. Our model adopts genetic algorithm (GA) to simultaneously optimize multiple heterogeneous design factors of MSVM.
Keywords: Corporate credit rating prediction, feature selection, genetic algorithms, instance selection, multiclass support vector machines.
Procedia APA BibTeX Chicago EndNote Harvard JSON MLA RIS XML ISO 690 PDF Downloads 14042824 Role of Credit on Production Efficiency of Farming Sector in Pakistan(A Data Envelopment Analysis)
Authors: Saima Ayaz, Zakir Hussain, Maqbool Hussain Sial
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The study identified the sources of production inefficiency of the farming sector in district Faisalabad in the Punjab province of Pakistan. Data Envelopment Analysis (DEA) technique was utilized at farm level survey data of 300 farmers for the year 2009. The overall mean efficiency score was 0.78 indicating 22 percent inefficiency of the sample farmers. Computed efficiency scores were then regressed on farm specific variables using Tobit regression analysis. Farming experience, education, access to farming credit, herd size and number of cultivation practices showed constructive and significant effect on the farmer-s technical efficiency.Keywords: Agricultural credit, DEA, Technical efficiency, Tobit analysis
Procedia APA BibTeX Chicago EndNote Harvard JSON MLA RIS XML ISO 690 PDF Downloads 23372823 The Impact of Bank Consolidation on the Performance of SMES in Nigeria
Authors: Okolo Chimaobi Valentine
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This paper seeks to assess the implications of bank consolidation on the performance of small and medium scale enterprises in the Nigerian economy. Multiple linear regression technique and correlation matrix test were employed to measure the extent to which small and medium scale enterprises asset size, survival and access to credit were influenced. The result showed that bank deposit (BD) and bank credit (L or BC) impacted on asset size and survival of small and medium scale enterprises. None of the variables had significant impact on SMEs access to credit. There is a shift of focus by commercial banks away from small and medium scale enterprises (small customers), which is evidenced by the significant negative influence of bank credit to both the survival and asset size of small and medium enterprises. While micro finance banks work hard at providing funds to small and medium scale entrepreneurs, their capacity to meet the needs of these entrepreneurs is constrained. CBN should make policies that will boost micro finance bank’s capital and also monitor closely the management of the banks to ensure prudent financing of small and medium scale investments.Keywords: Bank consolidation, small and medium enterprises.
Procedia APA BibTeX Chicago EndNote Harvard JSON MLA RIS XML ISO 690 PDF Downloads 38922822 Food Security in Nigeria: An Examination of Food Availability and Accessibility in Nigeria
Authors: Chimaobi Valentine Okolo, Chizoba Obidigbo
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As a basic physiology need, threat to sufficient food production is threat to human survival. Food security has been an issue that has gained global concern. This paper looks at the food security in Nigeria by assessing the availability of food and accessibility of the available food. The paper employed multiple linear regression technique and graphic trends of growth rates of relevant variables to show the situation of food security in Nigeria. Results of the tests revealed that population growth rate was higher than the growth rate of food availability in Nigeria for the earlier period of the study. Commercial bank credit to agricultural sector, foreign exchange utilization for food and the Agricultural Credit Guarantee Scheme Fund (ACGSF) contributed significantly to food availability in Nigeria. Food prices grew at a faster rate than the average income level, making it difficult to access sufficient food. It implies that prior to the year 2012; there was insufficient food to feed the Nigerian populace. However, continued credit to the food and agricultural sector will ensure sustained and sufficient production of food in Nigeria. Microfinance banks should make sufficient credit available to smallholder farmer. Government should further control and subsidize the rising price of food to make it more accessible by the people.Keywords: Food security, food availability and food accessibility.
Procedia APA BibTeX Chicago EndNote Harvard JSON MLA RIS XML ISO 690 PDF Downloads 61272821 Evaluation of Electronic Payment Systems Using Fuzzy Multi-Criteria Decision Making Approach
Authors: Gülfem Alptekin, S. Emre Alptekin
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Global competitiveness has recently become the biggest concern of both manufacturing and service companies. Electronic commerce, as a key technology enables the firms to reach all the potential consumers from all over the world. In this study, we have presented commonly used electronic payment systems, and then we have shown the evaluation of these systems in respect to different criteria. The payment systems which are included in this research are the credit card, the virtual credit card, the electronic money, the mobile payment, the credit transfer and the debit instruments. We have realized a systematic comparison of these systems in respect to three main criteria: Technical, economical and social. We have conducted a fuzzy multi-criteria decision making procedure to deal with the multi-attribute nature of the problem. The subjectiveness and imprecision of the evaluation process are modeled using triangular fuzzy numbers.Keywords: Electronic payment systems, fuzzy multi-criteriadecision making, analytical hierarchy process.
Procedia APA BibTeX Chicago EndNote Harvard JSON MLA RIS XML ISO 690 PDF Downloads 19172820 Mapping Semantic Networks to Undirected Networks
Authors: Marko A. Rodriguez
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There exists an injective, information-preserving function that maps a semantic network (i.e a directed labeled network) to a directed network (i.e. a directed unlabeled network). The edge label in the semantic network is represented as a topological feature of the directed network. Also, there exists an injective function that maps a directed network to an undirected network (i.e. an undirected unlabeled network). The edge directionality in the directed network is represented as a topological feature of the undirected network. Through function composition, there exists an injective function that maps a semantic network to an undirected network. Thus, aside from space constraints, the semantic network construct does not have any modeling functionality that is not possible with either a directed or undirected network representation. Two proofs of this idea will be presented. The first is a proof of the aforementioned function composition concept. The second is a simpler proof involving an undirected binary encoding of a semantic network.Keywords: general-modeling, multi-relational networks, semantic networks
Procedia APA BibTeX Chicago EndNote Harvard JSON MLA RIS XML ISO 690 PDF Downloads 14272819 An efficient Activity Network Reduction Algorithm based on the Label Correcting Tracing Algorithm
Authors: Weng Ming Chu
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When faced with stochastic networks with an uncertain duration for their activities, the securing of network completion time becomes problematical, not only because of the non-identical pdf of duration for each node, but also because of the interdependence of network paths. As evidenced by Adlakha & Kulkarni [1], many methods and algorithms have been put forward in attempt to resolve this issue, but most have encountered this same large-size network problem. Therefore, in this research, we focus on network reduction through a Series/Parallel combined mechanism. Our suggested algorithm, named the Activity Network Reduction Algorithm (ANRA), can efficiently transfer a large-size network into an S/P Irreducible Network (SPIN). SPIN can enhance stochastic network analysis, as well as serve as the judgment of symmetry for the Graph Theory.Keywords: Series/Parallel network, Stochastic network, Network reduction, Interdictive Graph, Complexity Index.
Procedia APA BibTeX Chicago EndNote Harvard JSON MLA RIS XML ISO 690 PDF Downloads 13702818 Analysis of Supply Side Factors Affecting Bank Financing of Non-Oil Exports in Nigeria
Authors: Sama’ila Idi Ningi, Abubakar Yusuf Dutse
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The banking sector poses a lot of problems in Nigeria in general and the non-oil export sector in particular. The banks' lack effectiveness in handling small, medium or long-term credit risk (lack of training of loan officers, lack of information on borrowers and absence of a reliable credit registry) results in non-oil exporters being burdened with high requirements, such as up to three years of financial statements, enough collateral to cover both the loan principal and interest (including a cash deposit that may be up to 30% of the loans' net present value), and to provide every detail of the international trade transaction in question. The stated problems triggered this research. Consequently, information on bank financing of non-oil exports was collected from 100 respondents from the 20 Deposit Money Banks (DMBs) in Nigeria. The data was analysed by the use of descriptive statistics correlation and regression. It is found that, Nigerian banks are participants in the financing of non-oil exports. Despite their participation, the rate of interest for credit extended to non-oil export is usually high, ranging between 15-20%. Small and medium sized non-oil export businesses lack the credit history for banks to judge them as reputable. Banks also consider the non-oil export sector very risky for investment. The banks actually do grant less credit than the exporters may require and therefore are not properly funded by banks. Banks grant very low volume of foreign currency loan in addition to, unfavorable exchange rate at which Naira is exchanged to the Dollar and other currencies in the country. This makes importation of inputs costly and negatively impacted on the non-oil export performance in Nigeria.
Keywords: Supply Side Factors, Bank Financing, Non-Oil Exports.
Procedia APA BibTeX Chicago EndNote Harvard JSON MLA RIS XML ISO 690 PDF Downloads 26952817 Security of Mobile Agent in Ad hoc Network using Threshold Cryptography
Authors: S.M. Sarwarul Islam Rizvi, Zinat Sultana, Bo Sun, Md. Washiqul Islam
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In a very simple form a Mobile Agent is an independent piece of code that has mobility and autonomy behavior. One of the main advantages of using Mobile Agent in a network is - it reduces network traffic load. In an, ad hoc network Mobile Agent can be used to protect the network by using agent based IDS or IPS. Besides, to deploy dynamic software in the network or to retrieve information from network nodes Mobile Agent can be useful. But in an ad hoc network the Mobile Agent itself needs some security. Security services should be guaranteed both for Mobile Agent and for Agent Server. In this paper to protect the Mobile Agent and Agent Server in an ad hoc network we have proposed a solution which is based on Threshold Cryptography, a new vibe in the cryptographic world where trust is distributed among multiple nodes in the network.
Keywords: Ad hoc network, Mobile Agent, Security, Threats, Threshold Cryptography.
Procedia APA BibTeX Chicago EndNote Harvard JSON MLA RIS XML ISO 690 PDF Downloads 19562816 Best Option for Countercyclical Capital Buffer Implementation - Scenarios for Baltic States
Authors: Ģirts Brasliņš, Ilja Arefjevs, Nadežda Tarakanova
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The objective of countercyclical capital buffer is to encourage banks to build up buffers in good times that can be drawn down in bad times. The aim of the report is to assess such decisions by banks derived from three approaches. The approaches are the aggregate credit-to-GDP ratio, credit growth as well as banking sector profits. The approaches are implemented for Estonia, Latvia and Lithuania for the time period 2000-2012. The report compares three approaches and analyses their relevance to the Baltic States by testing the correlation between a growth in studied variables and a growth of corresponding gaps. Methods used in the empirical part of the report are econometric analysis as well as economic analysis, development indicators, relative and absolute indicators and other methods. The research outcome is a cross-Baltic comparison of two alternative approaches to establish or release a countercyclical capital buffer by banks and their implications for each Baltic country.
Keywords: Basel III, countercyclical capital buffer, banks, credit growth, Baltic States.
Procedia APA BibTeX Chicago EndNote Harvard JSON MLA RIS XML ISO 690 PDF Downloads 18662815 Heuristic Optimization Techniques for Network Reconfiguration in Distribution System
Authors: A. Charlangsut, N. Rugthaicharoencheep, S. Auchariyamet
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Network reconfiguration is an operation to modify the network topology. The implementation of network reconfiguration has many advantages such as loss minimization, increasing system security and others. In this paper, two topics about the network reconfiguration in distribution system are briefly described. The first topic summarizes its impacts while the second explains some heuristic optimization techniques for solving the network reconfiguration problem.Keywords: Network Reconfiguration, Optimization Techniques, Distribution System
Procedia APA BibTeX Chicago EndNote Harvard JSON MLA RIS XML ISO 690 PDF Downloads 27432814 A Network Traffic Prediction Algorithm Based On Data Mining Technique
Authors: D. Prangchumpol
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This paper is a description approach to predict incoming and outgoing data rate in network system by using association rule discover, which is one of the data mining techniques. Information of incoming and outgoing data in each times and network bandwidth are network performance parameters, which needed to solve in the traffic problem. Since congestion and data loss are important network problems. The result of this technique can predicted future network traffic. In addition, this research is useful for network routing selection and network performance improvement.
Keywords: Traffic prediction, association rule, data mining.
Procedia APA BibTeX Chicago EndNote Harvard JSON MLA RIS XML ISO 690 PDF Downloads 3652