Download or read book An Empirical Analysis of Performance of Retail and Wholesale Conventional Banks in Bahrain written by Iqbal Thonse Hawaldar and published by . This book was released on 2020 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt: The main purpose of this study is to examine the financial performance of retail and wholesale conventional banks in Bahrain. The study covers a period of five years from 2009 to 2013. Ratio analysis was used to analyse the comparative financial efficiency of banks under study and correlation analysis was used to test the significance. Descriptive statistical analysis was used to measure the dispersion and the stability-variability of the ratios. The results indicate that wholesale banks are more efficient than retail banks in terms of overall cost to income and asset utilisation whereas retail banks are more efficient than wholesale banks in staff cost to income and operations. Correlation analysis showed a high positive correlation of staff cost to income ratio with operational efficiency ratio and cost to income ratio in retail banks and positive correlation of staff cost to income ratio with operational efficiency ratio and cost to income ratio in wholesale banks.
Download or read book An Empirical Analysis of Financial Performance of Retail and Wholesale Islamic Banks in Bahrain written by Iqbal Thonse Hawaldar and published by . This book was released on 2020 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt: Islamic banking, as an alternative to conventional banking system, is currently one of the most rapidly growing segments of the global financial market industry operating with more than 300 institutions spread over 75 countries. Undoubtedly, Islamic banks has cogent contribution towards the economic growth of any nation. This paper explores the analysis of the financial performance of retail and wholesale Islamic Banks operating in the Kingdom of Bahrain. For the empirical investigation, six retail and seven wholesale Islamic banks were selected for the study. Financial ratio analysis, standard deviation and correlation analyses were employed for the time period 2009-2013. The study found that there is a negative relationship among asset utilization ratio with staff cost to income ratio, operational efficiency ratio and cost to income ratio of retail Islamic Banks. Empirical results for wholesale Islamic banks revealed that there is a positive relationship among staff cost to income ratio, operational efficiency ratio and cost to income ratio.
Download or read book Comparative Performance Evaluation of Selected Commercial Banks in Kingdom of Bahrain Using CAMELS Method written by Dr. Jyothi Venkatesh and published by . This book was released on 2014 with total page 42 pages. Available in PDF, EPUB and Kindle. Book excerpt: The aim of this paper is to analyse the financial efficiency of selected commercial banks in kingdom of Bahrain. Bahrain which is considered as the financial hub of Middle East, play significant role in the economic activities in the Mena Region. Financial sector play a significant role in Bahrain as 16% of the GDP of Bahrain originates from financial sector. The financial efficiency of banks under study is measured by CAMELS analysis. There are 4 retail conventional banks that used as samples in this research out of the 28 conventional and Islamic retail banks in the country. Results show that National Bank of Bahrain, the government bank in the country, has attained highest efficiency compared to its peers in the market.
Download or read book Sectoral Distribution and Islamic Finance written by Mohammad Omar Farooq and published by . This book was released on 2019 with total page 19 pages. Available in PDF, EPUB and Kindle. Book excerpt: The proponents of Islamic finance argue that unlike conventional finance it emphasizes the real economy. Such emphasis should be reflected in the sectoral distribution in an economy. In this paper, in light of a conceptualization of the real economy, the sectoral distribution of financial activities of conventional and Islamic banks in Bahrain is explored. The paper uses the data available from the Central Bank of Bahrain (CBB) regarding the sectoral distribution in both conventional and Islamic banks. The breakdown of banks into both retail and wholesale banks as well as onshore and offshore banks is examined to identify any important trends or patterns in light of the conceptualization of the real economy. The analysis of data finds certain concentration in the real estate sector. Islamic banks also have a bias toward consumer finance, which has implications in promoting a debt culture. Several other gaps between the commonly proclaimed merits of Islamic finance and the praxis in reality are also identified. The research is based on a single country, Bahrain, a financial hub for both conventional and Islamic banks. Even though Bahrain has a diversified economy, it is still limited in terms of some key sectors, such as manufacturing and agriculture. Thus, broader study including other countries with major presence of Islamic banks would be the next step in this research. Bias to certain sectors can be problematic in case of a potential crisis. Also, in certain respects, such as bias of Islamic banks toward consumer finance, it might be serving to promote debt culture that many developed countries are already beset with. The research can create better awareness about various patterns of sectoral distribution.
Download or read book A Comparison of Financial Performance of Islamic and Conventional Banks in Bahrain written by Iqbal Thonse Hawaldar and published by . This book was released on 2020 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt: The development of service sector is crucial in contributing to the GDP of any nation. The banking system plays a key role in the development of a country. The commercial banking system dominates the financial sector by dealing with the majority of financial transactions of a country. The existence of Islamic and conventional banks has contributed for the development of the economy. Commercial banks in Bahrain consist of interest-based conventional banks and interest-free Islamic banks (based on Islamic shariah). The performance of conventional and non-conventional banks is satisfactory in Bahrain. The present study focuses on the comparative analysis of financial performance of Islamic and conventional banks in terms of cost and income in Bahrain. The study uses financial tools like profitability, liquidity and solvency, commitment to economy and community, efficiency and productivity of both streams of banks.
Download or read book Comparative Study of Income and Cost Efficiency of Islamic and Conventional Banks of Bahrain written by Iqbal Thonse Hawaldar and published by . This book was released on 2020 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt: The development of service sector is crucial in contributing to the GDP of any nation. The banking system plays an important role in the development of a country. The commercial banking system dominates the financial sector by dealing with the majority of financial transactions of a country. The existence of Islamic and non-Islamic banks has contributed for the development of the economy. Commercial banks in Bahrain consist of interest-based conventional banks and interest-free Islamic banks (based on Islamic sariah). The performance of conventional and non-conventional banks is satisfactory in Bahrain. The present study focuses on the comparative analysis of financial performance of Islamic and non-Islamic banks in terms of cost and income in Bahrain. The study uses financial tools like profitability, liquidity and solvency, commitment to economy and community efficiency and productivity of both streams of banks.
Download or read book Banking Efficiency in Bahrain written by Khaled A. Hussein and published by . This book was released on 2004 with total page 61 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book The Effects of the Global Crisis on Islamic and Conventional Banks written by Jemma Dridi and published by . This book was released on 2005-10-31 with total page 42 pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper examines the performance of Islamic banks (IBs) and conventional banks (CBs) during the recent global crisis by looking at the impact of the crisis on profitability, credit and asset growth, and external ratings in a group of countries where the two types of banks have significant market share. Our analysis suggests that IBs have been affected differently than CBs. Factors related to IBs‘ business model helped limit the adverse impact on profitability in 2008, while weaknesses in risk management practices in some IBs led to a larger decline in profitability in 2009 compared to CBs. IBs‘ credit and asset growth performed better than did that of CBs in 2008-09, contributing to financial and economic stability. External rating agencies‘ re-assessment of IBs‘ risk was generally more favorable.
Download or read book An Overview of Islamic Finance written by Mr.Mumtaz Hussain and published by International Monetary Fund. This book was released on 2015-06-02 with total page 35 pages. Available in PDF, EPUB and Kindle. Book excerpt: Islamic finance has started to grow in international finance across the globe, with some concentration in few countries. Nearly 20 percent annual growth of Islamic finance in recent years seems to point to its resilience and broad appeal, partly owing to principles that govern Islamic financial activities, including equity, participation, and ownership. In theory, Islamic finance is resilient to shocks because of its emphasis on risk sharing, limits on excessive risk taking, and strong link to real activities. Empirical evidence on the stability of Islamic banks, however, is so far mixed. While these banks face similar risks as conventional banks do, they are also exposed to idiosyncratic risks, necessitating a tailoring of current risk management practices. The macroeconomic policy implications of the rapid expansion of Islamic finance are far reaching and need careful considerations.
Download or read book Bank Profitability and Financial Stability written by Ms.TengTeng Xu and published by International Monetary Fund. This book was released on 2019-01-11 with total page 54 pages. Available in PDF, EPUB and Kindle. Book excerpt: We analyze how bank profitability impacts financial stability from both theoretical and empirical perspectives. We first develop a theoretical model of the relationship between bank profitability and financial stability by exploring the role of non-interest income and retail-oriented business models. We then conduct panel regression analysis to examine the empirical determinants of bank risks and profitability, and how the level and the source of bank profitability affect risks for 431 publicly traded banks (U.S., advanced Europe, and GSIBs) from 2004 to 2017. Results reveal that profitability is negatively associated with both a bank’s contribution to systemic risk and its idiosyncratic risk, and an over-reliance on non-interest income, wholesale funding and leverage is associated with higher risks. Low competition is associated with low idiosyncratic risk but a high contribution to systemic risk. Lastly, the problem loans ratio and the cost-to-income ratio are found to be key factors that influence bank profitability. The paper’s findings suggest that policy makers should strive to better understand the source of bank profitability, especially where there is an over-reliance on market-based non-interest income, leverage, and wholesale funding.
Download or read book Negative Interest Rates written by Luís Brandão Marques and published by International Monetary Fund. This book was released on 2021-03-03 with total page 84 pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper focuses on negative interest rate policies and covers a broad range of its effects, with a detailed discussion of findings in the academic literature and of broader country experiences.
Download or read book Financial Crises Explanations Types and Implications written by Mr.Stijn Claessens and published by International Monetary Fund. This book was released on 2013-01-30 with total page 66 pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper reviews the literature on financial crises focusing on three specific aspects. First, what are the main factors explaining financial crises? Since many theories on the sources of financial crises highlight the importance of sharp fluctuations in asset and credit markets, the paper briefly reviews theoretical and empirical studies on developments in these markets around financial crises. Second, what are the major types of financial crises? The paper focuses on the main theoretical and empirical explanations of four types of financial crises—currency crises, sudden stops, debt crises, and banking crises—and presents a survey of the literature that attempts to identify these episodes. Third, what are the real and financial sector implications of crises? The paper briefly reviews the short- and medium-run implications of crises for the real economy and financial sector. It concludes with a summary of the main lessons from the literature and future research directions.
Download or read book Inflation Financial Institutions written by Jack Revell and published by . This book was released on 1979 with total page 187 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Case Studies in Islamic Banking and Finance written by Brian Kettell and published by John Wiley & Sons. This book was released on 2011-08-15 with total page 193 pages. Available in PDF, EPUB and Kindle. Book excerpt: Based around 13 individual cases, this book will stimulate discussion and develop the reader's understanding of Islamic finance by contrasting their existing theoretical knowledge against practical examples.
Download or read book Short Term Wholesale Funding and Systemic Risk written by International Monetary Fund and published by International Monetary Fund. This book was released on 2012-02-01 with total page 36 pages. Available in PDF, EPUB and Kindle. Book excerpt: In this paper we identify some of the main factors behind systemic risk in a set of international large-scale complex banks using the novel CoVaR approach. We find that short-term wholesale funding is a key determinant in triggering systemic risk episodes. In contrast, we find no evidence that a larger size increases systemic risk within the class of large global banks. We also show that the sensitivity of system-wide risk to an individual bank is asymmetric across episodes of positive and negative asset returns. Since short-term wholesale funding emerges as the most relevant systemic factor, our results support the Basel Committee's proposal to introduce a net stable funding ratio, penalizing excessive exposure to liquidity risk.
Download or read book Islamic Finance in Europe written by Valentino Cattelan and published by Edward Elgar Publishing. This book was released on 2013-01-01 with total page 260 pages. Available in PDF, EPUB and Kindle. Book excerpt: Highlighting the impact of current globalization on financial markets, this topical book challenges the universality of Western property rights and interprets Islamic finance in Europe as part of a plural financial system, where different conceptions of economic justice(s) co-exist and influence each other. The contributing authors analyse key economic development and social integration issues from an Islamic perspective and outline the European approach to accommodating Islamic finance, with particular regard to the peculiarities of individual nation-states. Set in this context, the book presents financial pluralism as a device to enhance a level playing field in the global marketplace, as well as to foster a plural open society. Providing a comprehensive and methodological guide to Islamic finance in Europe, this book will prove an illuminating and informative read for academics, students and policymakers with an interest in the impact on financial regulation of an increasingly globalized world.
Download or read book Stay Competitive in the Digital Age The Future of Banks written by MissEstelle X Liu and published by International Monetary Fund. This book was released on 2021-02-19 with total page 42 pages. Available in PDF, EPUB and Kindle. Book excerpt: The latest advancement in financial technology has posed unprecedented challenges for incumbent banks. This paper analyzes the implications of these challenges on bank competitveness, and explores the factors that could support digital advancement in banks. The analysis shows that the traditionally leading role of banks in advancing financial technology has diminished in recent years, and suggests that onoing efforts to catch up to the digital frontier could lead to a more concentrated banking industry, as smaller and less tech-savvy banks struggle to survive. Cross-country evidence has suggested that banks in high-income economies appear to have been the digital leaders, likely benefiting from a sound digital infrastructure, a strong legal and business environment, and healthy competition. Nonetheless, some digital leaders may fall behind in the coming years in adopting newer technologies due to entrenched consumer behavior favoring older technologies, less active fintech and bigtech companies, and weak bank balance sheets.
