Testing the Financial Stability of Banks in GCC Countries: Pre and Post Financial Crisis

Prof. Dr. Hatem Hatef Abdulkadhim Altaee, Ibaa M. Anis Talo, Mustafa Hassan Mohammad Adam, Ph.D

Abstract


Stability of the banking system is underpinned through an effective bank monitoring mechanism since the sector is resilient to a range of single and combined shocks. Banks financial stability in the Gulf Cooperation Council (GCC) countries was empirically assessed by using z-score as a dependent variable. A group of macro and microeconomic independent variables were selected to measure their effects on banks stability. All banks in this region that are considered Conventional or Islamic banks were selected. The targeted period was 2003-2010 to cover pre- and post- financial crisis. It was found that there is no evidence that there is a significant difference between the financial stability of Conventional and Islamic banks for the periods 2003-2010, 2003-2007, and 2008-2010. However, Conventional banks tend to be financially stronger than Islamic banks for the pre- financial crisis.

 


Keywords


Testing; Financial Stability; Banks; Financial Crisis; GCC Countries

Full Text:

PDF


DOI: http://dx.doi.org/10.18533/ijbsr.v3i4.33

Refbacks

  • There are currently no refbacks.




Copyright (c)

 ...........................................................................................................................

Creative Commons License
This work is licensed under a Creative Commons Attribution 4.0 International License.

............................................................................................................................

If you find difficulties in submitting manuscript please forward your doc file to support@thejournalofbusiness.org. Our support team will assist you in submission process and other technical matters.

In order to get notifications on inbox please add  this domain thejournalofbusiness.org in your email safe list.

International journal of business and social research (Print)
ISSN 2164-2540

International journal of business and social research (Online)
ISSN 2164-2559

[International Journal of Business and Social Research (IJBSR) previously published by MIR Center for Socio-Economic Research, MD, USA. From February 2018 this journal is published by the LAR Center Press, OR, USA]