IDEAS home Printed from https://ideas.repec.org/a/ris/joibac/0077.html
   My bibliography  Save this article

Liquidity Risk Management And Its Impact On Performance Of The Banks: A Comparative Study Between Islamic And Conventional Banks Of Pakistan, Malaysia And Indonesia

Author

Listed:
  • YAQOOB, USAMA

    (The University of Lahore, Lahore, Pakistan)

  • KHALID, UMAIR

    (The University of Lahore, Lahore, Pakistan)

Abstract

Liquidity risk Management is fundamental to sound banking practice. No doubt today all banking institutions face countless risks such as liquidity risk which can cause failure of a banking system. Therefore, a proper risk management technique is necessary for the existence and the growth of banks. Therefore, the purpose of this study is to examine the effectiveness of risk management practice that is liquidity risk their impact on performance or Profitability of Islamic and conventional banks. Liquidity risk is measured by loan to deposit ratio, cash to total asset ratio. Performance measure proxies were ROE and ROA for both Islamic and Conventional banks. Data are panel from 2011-2015 which is taken from the financial reports of Islamic and conventional banks. Regression analysis has been used to extract the results. The result of this study concluded that how this liquidity risk will affect the bank performance in conventional and Islamic banks.

Suggested Citation

  • Yaqoob, Usama & Khalid, Umair, 2018. "Liquidity Risk Management And Its Impact On Performance Of The Banks: A Comparative Study Between Islamic And Conventional Banks Of Pakistan, Malaysia And Indonesia," Journal of Internet Banking and Commerce, , vol. 23(03), pages 01-27, December.
    • Handle: RePEc:ris:joibac:0077
    as

    Download full text from publisher

    File URL: https://www.icommercecentral.com/open-access/liquidity-risk-management-and-its-impact-on-performance-of-the-banks-a-comparative-study-between-islamic-and-conventional-banks-of.php?aid=87294
    File Function: Full text
    Download Restriction: no
    ---><---

    More about this item

    Keywords

    ROA; ROE; Liquidity; Cash to Total Asset Ratio; Loan to Deposit Ratio; Islamic Banking; Conventional Banking; Pakistan; Malaysia; Indonesia;
    All these keywords.

    JEL classification:

    • A11 - General Economics and Teaching - - General Economics - - - Role of Economics; Role of Economists

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ris:joibac:0077. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Dale Pinto (email available below). General contact details of provider: .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.