Efficiency of the Banks in Managing the Risks: The Case of Turkey

The banks are subject to various types of risks because of the rapid developments in technology and their operational environment. One of the most main subjects for financial firms to consider is how risks and risk management vary. The financial sector, especially the banking sector, is passing through a period of comprehensive change in developing countries. Risks have both changed and got varied because of the increase in global competition, the deregulations to enable the entrance of foreign capital, the introduction of new financial products into the market and the increase in the number of transactions performed by the banks. The purpose of the study is to analyze which risks are managed more efficiently among others encountered by the banks in Turkey and which suitable methods are used by using AHP method and the method of scoring the importance level of risks.