Is the profitability of Islamic and conventional banks driven by the same factors?-A study of banking in the Middle East.

ABSTRACT: The purpose of this paper is to contribute to the existing literature by investigating the determinants of the profitability of Islamic and conventional banks in the Middle East region and revealing the most important factors for these two types of banks. Few papers have studied the performance of Islamic banks and compared their performance with conventional banks. The results from these limited research papers are also various, mainly because the sample sizes are small, or they have analysed data only from one country. Our research used a fixed effect panel data analysis on a sample of 270 banks (111 Islamic and 159 conventional banks) from 12 Middle East countries. We used an unbalanced annual panel of data covering the period 2012-2020. The results show that bank size, equity to assets

SUBMITTER: Sobol I 

PROVIDER: S-EPMC10406290 | biostudies-literature | 2023

REPOSITORIES: biostudies-literature