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Intellectual capital (IC) is beneficial to the improved performance of businesses, irrespective of their industry. The present study proposes to check if the use of IC can also help in improving the asset quality of banks. Thus, this study aims to examine the impact of IC and its components on non-performing assets (NPAs).

The study has been conducted with a sample of 30 Indian commercial banks and analysed over a time frame of 15 years (2004–2005 to 2018–2019). The modified value-added intellectual coefficient model has been used to measure the independent variables, IC, and its components. The dependent variable, NPA, has been represented by the net NPA ratio. Two-step system generalized methods of moments (SGMMs) have been applied for the regression analysis. Along with the short-term estimates provided by the SGMM approach, the long-term impact of explanatory variables on the dependent variables has also been seen.

The results of the study show that IC and its components are indeed helpful for the management of NPA, as they impact the problem loans negatively. Furthermore, the long-term benefits of IC in enhancing bank credit quality are more substantial.

The results from the present study can be used by bank management. The bank managers can draw inferences that the efficient application of IC can help them reduce their loan losses. Developing skills and knowledge of employees, maintaining close relations with stakeholders, significantly the customers, and putting more sophisticated processes and infrastructure to use can help banks to control their loan losses.

A major proportion of studies examining the role of intangible assets in various aspects of the banking sector focuses on the association between IC and the financial performance of banking entities. However, for banking institutions, apart from financial performance, improving credit quality is also imperative for staying afloat. Thus, to the best of the authors’ knowledge, the present study is one of the first to examine the relationship between knowledge-based assets (i.e. IC) and bank credit quality.

In recent years, the Indian banking sector is facing a major cause of concern in the form of Nonperforming Assets (NPA), and the priority sector lending (PSL) is generally recognized as the major factor contributing to it. Thus, the present study has been carried out with the objective of examining the relationship between priority sector lending and GDP growth. Thereafter, the role of PSL and certain other bank-specific, industry-specific and macroeconomic variables in determining NPA has been studied.

Taking a sample of 45 scheduled commercial banks, the study has been carried out for 14 years (2004–2018). Granger causality between PSL and GDP has been examined by applying the Dumitrescu-Hurlin test. For the purpose of investigating the impact of PSL and other determinants on NPA, both static and dynamic panel regression have been performed. Under the dynamic panel, system generalized methods of moments (S-GMM) approach has been followed.

The findings show that there exists a positive correlation and bidirectional causal relationship between PSL and GDP, which implies that PSL brings additional growth for the whole economy. In addition to it, PSL is found to be insignificant for the NPA ratio, and thus, it can be inferred that credit extended to government-specified sectors does not bring any major increase in the bad loan portfolio of banks.

The policymakers and bank management can take a cue from the findings of this study to decrease the exposure to loan nonrepayment issue. The priority sectors are in need of formal credit for their growth, and since the rising population of the country can find employment in these sectors, banks should meet their credit needs while securing their position with regard to the NPA problem.

The issue of NPA determinants, and in particular, the contribution of priority sector lending in it has not been much explored for Indian banking sector. Also, the present study adds to the literature by using the causality approach for examining the importance of directed credit schemes for economic growth.

This paper aims to contribute to the banking and housing market literature by proposing an alternative measure of rate of return for Islamic banks that is based on the rental rate of the property. This alternative Islamic mortgage pricing mechanism could be adopted by Islamic banks as a replacement for mortgage rates if it is found to be independent from any form of interest rates as required by Islamic law.

By investigating the short run and long run dynamics between rental price index (RPI) and the proposed Islamic Rental Rate (RR-I) and, three selected macroeconomic indicators in the UK via autoregressive distributed lag model, the authors examine the link between RPI, RR-I and the real economy.

The findings provide evidence that while RPI in the UK is significantly related to three leading macroeconomic variables, namely, gross domestic product (GDP), real effective exchange rate and interest rates measures, while RR-I is only impacted by changes in GDP. More importantly, the authors show that there is no short or long run dynamics between the rental rate and any form of interest rates.

This paper did not attempt to investigate the impact of the physical attributes of the rental property to formalize the model describing the relationship between RPI and RR-I. Also, other macroeconomic factors like household income growth, risk, house value growth rate and taxation could be included in future models.

As Rental Rate is not linked to the macroeconomic determinants, it is therefore more stable, resilient and sustainable and, at the same time, making the financing less risky for both parties, as they are less susceptible to economic vulnerabilities.

Some calculations incorporating the proposed RR-I can also be extended to the pricing of products based on other contracts such as Tawarruq, Bai Bithaman Ajil or even Murabahah for a fairer and just pricing to both the banks and customers.

The results suggest that Islamic banks should consider incorporating the proposed rental rate (RR-I) when pricing their home financing products, as this will lead to less dependence on interest rates for benchmarking. In addition, using the proposed rental rate (RR-I) reduces the exposure to the subjective evaluation by property valuators and speculative macroeconomic elements.

This case is intended to help students of business communication and public relations to trace the effects of communication by public figures and understand essential elements of designing effective communication. After working through the case and assignment questions, the students will be able to:understand the drivers of vaccine hesitancy;analyze the effects of mass communication on public sentiment, in a fast-changing public health situation; anddesign interventions to influence public awareness and action, using a simple model (5W) for mass communication.

As the vaccines first arrived after the devastating first wave of the Covid-19 pandemic, Indians hesitated to take the shot. Vaccine hesitancy, a worldwide phenomenon, hampered the uptake of the first Covid vaccines despite the dark clouds of the lethal disease. The case looks at the massive problem of vaccine hesitancy and how an integrated communication strategy could overcome and mitigate the challenge. The case protagonist, the leader of a communications agency, looks at the messaging, medium and platforms needed for strategic communication pitch to combat this vaccine hesitancy.

The case was designed for use in a graduate-level course in business communication. This case may be positioned toward the middle or end of the course to illustrate mass communication strategy for pressing and sensitive challenges. The case may also be used in a course on public relations, both at graduate and undergraduate levels.

Teaching notes are available for educators only.

CSS 8: Marketing.

This review aims to evaluate the evidence of the impact of COVID-19 on patients with stroke.

The author carried out a review following the recommendations of the Preferred Reporting Items for Systematic Reviews and Meta-Analyses (PRISMA) for a review article. PubMed, the Web of Science and CINAHL Plus Full Text were searched from January 2019 to October 2020. Twenty-three studies were included in the final review, incorporating a total of 9,819 stroke patients.

The most commonly reported effects of COVID-19 on patients with stroke were delayed stroke treatment (n = 14 studies), thrombotic, blood and immune system complications (n = 8), increased risk of stroke severity and disability (n = 6), increased mortality (n = 8), elevated D-dimer levels (n = 4), comorbidity and acute respiratory distress syndrome (ARDS) (n = 6) and prolonged hospitalization (n = 4).

COVID-19 has affected patients with stroke in various ways, either directly or indirectly, prior to admission or in hospital. The findings should help guide further investigation of the long-term impact of COVID-19 on patients with stroke and help to establish proper guidelines for the provision of efficient treatment for affected patients.