International Scientific Conference „Business and Management“, 11th International Scientific Conference „Business and Management 2020“

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Comparative efficiency analysis of conventional banks and Islamic banks: in evidence of Pakistan
Khalid Mehmood, Natalja Lace, Irena Danilevičienė

Last modified: 2020-06-16

Abstract


The study evaluates the comparison and efficiency of Pakistani Islamic and conventional banks. Data are collected from the reports of banks website and state bank of Pakistan for the period 2013−2017. Used financial ratios for methodology and descriptive summary, correlation and Trend for analysis tech-nique. The analysis shows conventional banks are more liquid, solvent and less risky. According to profit-ability ratio, Islamic banks are more profitable. Trend analysis shows, both banks have positive trends, but the conventional banks disclose more efficiency and positive trend. Conventional banks are technological-ly advanced and extensive, but the future of Islamic banks looking bright in case of Pakistan.

DOI: https://doi.org/10.3846/bm.2020.583


Keywords


bank, conventional banks, Islamic banks, return on assets, return on equity

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