Volume 1, Issue I, Page 39-48
Conventional and Islamic Banks in Bangladesh: A Comparative Financial Performance Analysis
Received: 27 March, 2021 || Accepted: 29 April, 2021 || Published: 30 April, 2021
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Article info Received: 27 March, 2021 Accepted: 29 April, 2021 Published: 30 April, 2021 Available in online: 05 May, 2021
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Abstract The main purpose of the study is to investigate the comparative financial performance of Islamic and conventional banks of Bangladesh. To do this, the study considered different performance measuring financial ratios namely profitability, liquidity, risk and solvency, capital adequacy, deployment and operational efficiency and used independent sample t-test and ANOVA to determine the significance of mean differences of these ratios between and among banks. A five years’ data set of five Islamic and conventional banks for the period of 2009 to 2013 used for the analysis. The study found that Islamic banks more liquid, less risky and operationally efficient than conventional banks of Bangladesh. Finally, study expected that the findings will facilitates the bank managers, depositors, investors, shareholders and regulators for future decision of concern stakeholders by providing true picture of financial position of Conventional and Islamic banks in Bangladesh. Keywords: Islamic banks, conventional banks, performance, Bangladesh. |
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