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A Comparative Study of Stability & Consumer Confidence between Islamic & Conventional Banks in Bangladesh

European Journal of Islamic Finance

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Title A Comparative Study of Stability & Consumer Confidence between Islamic & Conventional Banks in Bangladesh
 
Creator Rahman, Sisili
 
Subject Islamic Bank, Conventional Bank, Stability, Consumer Confidence, Unit Root Test, Random Effect Regression
 
Description This study exhibits a comparative analysis of consumer confidence and bank-level stability factors between Islamic and conventional banks in Bangladesh. The study finds that despite having lower liquidity Islamic banks are able to   provide   higher   consumer   confidence   levels   than   conventional   banks. Islamic  banks have reported  very  small  Non performing asset (NPA),  and  shown  a  positive  and  significant relationship with liquidity implying that during the crisis Islamic banks tend to take rigid risk strategies compared to conventional banks. Cost income ratio (CIR) is inversely and insignificantly related in both types of banks. As increase in cost decreases the stability of the bank, profit before tax (PBT) gives expected positive and significant relationship in all cases. Increase in PBT increases the stability and consumer confidence level but the level of significance is higher in case of Islamic banks. CC represents consumers’ confidence and shows positive result in all cases but with an exception with conventional bank in TQ factor.
 
Publisher European Journal of Islamic Finance
European Journal of Islamic Finance
 
Contributor
 
Date 2019-08-29
 
Type info:eu-repo/semantics/article
info:eu-repo/semantics/publishedVersion
Peer-reviewed Article
 
Format application/pdf
 
Identifier http://www.ojs.unito.it/index.php/EJIF/article/view/3184
10.13135/2421-2172/3184
http://www.ojs.unito.it/index.php/EJIF/article/download/3184/pdf
 
Source European Journal of Islamic Finance; No 13 (2019): EJIF - European Journal of Islamic Finance, 13, 2019
European Journal of Islamic Finance; No 13 (2019): EJIF - European Journal of Islamic Finance, 13, 2019
2421-2172
 
Language eng
 
Relation http://www.ojs.unito.it/index.php/EJIF/article/view/3184/pdf
 
Rights Copyright (c) 2019 Sisili Rahman
http://creativecommons.org/licenses/by-sa/4.0