CONTRIBUTION OF FINANCIAL ANALYSIS MANAGEMENT TO THE i PERFORMANCE OF FINANCIAL INSTITUTIONS IN RWANDA CASE STUDY: BK GROUP PLC PERIOD 2019 -2022

Abstract

The main objective of the study is to analyse the contribution of financial analysis management on the performance of financial institutions. The specific objective of the study is to assess the effectiveness of financial analysis management on performance of BK GROUP PLC, to analyse the level of performance of BK GROUP PLC, to find out the relationship between financial analysis management and performance of BK GROUP PLC. A descriptive research design is used when an uncomplicated description is desired that focuses on the details of what, where, when, and why of an event or experience. The data were collected by using documentation techniques. The data were analyzed for producing final findings by using quantitative data was analyzed using descriptive analysis such as frequencies and percentages on each of the research questions about the background information. The results of the findings show that Net operating income increased from was -1% in 2019, 55% in 2021 and 32% on 2022, the reason of reduction of net operating income is the consequences of COVID 19. The total operating expenses of BK GROUP PLC increased from 2019 with a reduction of -11% but increased up to 39% in 2021 and 36% on 2022. The BK GROUP PLC Net profit for the year increased from 3% from in 2019-2020, 35% from 2020 while the net profit increased up to 15%. The return on asset means that for 100 RWF invested in asset the bank has generated 3.7 in 2019 and 3 Frw in 2020 while in 2021 the investors generated 3.3 Frw and 3.2 Frw in 2022. The researcher recommend BK GROUP PLC stabilization and Savings Protection Funds should be started to act as a buffer for liquid cash to BK GROUP PLC that may have cash needs. BK GROUP PLC should have a financial policy and or framework for proper monitoring, controlling and evaluation of financial their resources. BK GROUP PLC need training in financial planning so that they can avoid misuse of operational capital and easily draw financial plans to further propel the BK GROUP PLC performance.