International Journal of Managment, IT and Engineering
  • Year: 2014
  • Volume: 4
  • Issue: 2

Financial performance of Islamic banking Vs conventional banking in Pakistan

  • Author:
  • Ahmad Raza Khan, Safdar Husain Tahir, Muhammad Sajid, Jahanzaib Sultan
  • Total Page Count: 15
  • Page Number: 449 to 463

*Research Scholar, Banking & Finance, Government College University, Faisalabad, Pakistan

**Assist. Professor, Banking & Finance, Government College University, Faisalabad, Pakistan

***Lecturer, Department of Banking & Finance, Government College University, Faisalabad, Pakistan

Online published on 13 February, 2014.

Abstract

Financial sectors play a crucial role for the economy of every country. Banking sectors has largely involved in the rare pecuniary growth of Pakistan. This research study consists to measure the performance of Islamic banking Vs conventional banking with respect to profitability in Pakistan from 2008–2012. On behalf of valuation, data was collected from five (5) islamic and five (5) conventional banks in Pakistan i.e. HBL, UBL, BOP, Allied bank and Alfalah are selected as a conventional banks and MB, BIP,AIBP and DIPB and Burj bank are nominated as a Islamic banks. Various variables are used for the supposed determination such as Total asset, Share capital, Advances Net, Deposits and Other accounts, No of Employees, No of Branches and Net Income. Findings showed that there are two banks which are progressing day by day, from Islamic banking Meezan bank ltd and from conventional banking Habib bank ltd.

Keywords

Financial performance Valuation, Correlogram, Correlation, Regression analysis