Abstract:

The purpose of this study is to establish the impact of credit risk management on financial performance of commercial banks in Malaysia during the pre and post of the financial crisis period. This is an empirical quantitative study using 80 observations on eight (8) Malaysia based commercial banks for 10 years period (2007 to 2016). The data is being analyzed using descriptive and panel data analysis. There is a significance impact of credit risk management (using CAR) and bank profitability ROA on Malaysian banks performance during the pre and post financial crisis. However, by using NPLR, the study found that there is no significant relationship between credit risk management and bank profitability for post financial crisis period. This study included the period of pre and post financial crisis which is happening in the financial sector in Malaysia.