Bio
Mathewos Woldemariam Birru is an academic affiliated with Jimma University in Ethiopia. He holds an M.Sc. in Accounting and Finance. His research interests include financial performance and capital structure, as evidenced by his publication 'The Impact of Capital Structure on Financial Performance of Commercial Banks in Ethiopia'. He has also served as a reviewer for the Global Journal of Management and Business Research (GJMBR). Additionally, he has engaged with topics related to patient engagement in health research, as reflected in his work 'Covid-19 and Patient Engagement in Health Research: What Have We Learned?'. His contributions span both financial and health research domains, demonstrating a multidisciplinary approach.
Educational Journey
M.sc. in accounting and finance
Experience
Editors Role
Reviewer
GJMBR
2016 -Research
The Impact of Capital Structure on Financial Performance of Commercial Banks in Ethiopia
Capital structure decisions are among the most important and crucial decisions for any business because of their effect on the performance of firms. The purpose of this paper was to investigate the impact of capital structure on financial performance of selected commercial banks in Ethiopia over the past five (5) year period from 2011 to 2015 using secondary data collected from financial statements of the commercial banks. Data was then analyzed on quantitative approach using multiple regression models. The study used two accounting-based measures of financial performance (i.e. return on equity (ROE) and return on assets (ROA)) as dependent variable and five capital structure measures (including debt ratio, debt to equity ratio, loan to deposit, bank’s size and asset tangibility) as independent variable. The results indicate that financial performance, which is measured by both ROA, is significantly and negatively associated with capital structure proxies such as DER, SIZE and TANG whereas DR have negative impact.
