Impact  of the Resources Gap on the Interest Margin in the Jordanian Commercial Banks(1990-2011)

Dr. Ghazi Abdul Majeed Alrguibat

Authors

Dr. Ghazi Abdul Majeed Alrguibat

Keywords:

gap, interest margin, commercial banks

Abstract

This study aims to analyze the impact of the resources gap on the interest margin in the Jordanian Commercial Banks. Since the interest margin is the main source of profit in commercial banks, the existence of a gap have a negative impact on the interest margin. In addition, as the change in sensitive assets to interest rate and sensitive liabilities of interest rate has an impact on the bank's profits; especially when the commercial banks pay the costs of some sources of funds to increase what they get from the benefits derived from credit facilities of credit interest and the debt interest. This is all embarked upon within a sample that included eight Jordanian commercial banks (out of thirteen are banks in Jordan)..The analysis relies on the annual data for banks to identify the resource gap in the Jordanian commercial banks, their

Downloads

How to Cite

Impact of the Resources Gap on the Interest Margin in the Jordanian Commercial Banks(1990-2011). (2014). Global Journal of Management and Business Research, 14(23), 55-65. https://journalofbusiness.org/index.php/GJMBR/article/view/

Download Citation

References

Bakri (2002) international financial markets, the future House, Amman, Jordan.

Hill Janabi (2005) management of commercial banks and banking business, the first edition, Mafraq, Jordan.

Adnan Naimi, Courier, Saadoun, Osama, Moses Shukairy (2007) Financial management theory and practice.

Munir Hindy, Ibrahim (2003) modern thought in Risk.

Alexandria Management, Egypt, facility knowledge, Alaa Massoud (2009) the impact of monetary policy on interest rates in Jordanian commercial banks, Master Thesis, Faculty of Business and Financial administration.

Faculty Economics, Administrative Sciences, Al al-Bayt University, Mafraq (2006) the effectiveness of the use of accounting and auditing in banking supervision, Master.

Faculty of Economic Sciences, University Mentouri, Constantine, gorgeous Mahmoud (2008) analytical study.

Mohammed Osman, Daoud (2008) the impact attenuators credit risk on the value of banks, Empirical Study on the commercial banking sector of Jordan, Ph.D. thesis.

Hatem Eknaan (2001) liquidity in the Jordanian commercial banks and their impact on profitability for the period 1985-1999, Unpublished MA Thesis, Faculty of Economics and Administrative Sciences.

Muhammad Omar, Jamil (2004) banking risks and their impact on the credit facilities for commercial banks for the period 1988-2002, Master Thesis, Faculty of Economics.

Marwan Ghanem (2000) evaluate the financial performance of commercial banks of Jordan, unpublished Master Thesis.

Ahmed Farrah, Nur al-Din (2008) Farrah, Ahmed Nur al-Din,( 2008), the analysis of the banking system evaluation (CAMELS) as a tool for the control of the banking sector (case study of the Bank of Palestine), Unpublished MA Thesis, Faculty of Commerce.

Suhaila (2000) the impact of interest rate fluctuations on the performance of the institution, Master Thesis, Faculty of Economic Sciences and Science Steering.

Hathloul (2003) famous Barbour, analysis of revenue sources Jordanian commercial banks Empirical Study for the years 1980-2000m, Master Thesis.

George Hample, Donland Simonson, Alan Coleman (1994) Bank Management: Text & Cases.

Kohn (1991) Kohn, Meir Money, Banking & Financial Markets, Rinehort & Winston Pub, Chicago, USA, 1991.

Scott Macdonald, Timoth Koch (2006) Management of Banking.

Srdjan Marinkovic, Ognjen Radovic (2010) Marinkovic, Srdjan and Radovic Ognjen, On The Determinants of Interest Margin in Transition Banking: the Case of Serbia. 36(12), 1028-1042. https://doi.org/10.1108/03074351011088432

Amiyatosh Purnanandam (2004) Is banking security responsible for tightening funding cost.

(2012) How do Bank Respond to Increased Funding Uncertainty?.

Cristobal Roman Ferrer, Gloria M (2010) Soto, Linear and Nonlinear Interest rate exposure in Spain, Managerial Finance, vol. 36(5), 431-451. https://doi.org/10.1108/03074351011039445

Petar Rose (1994) Money and Capital Marker.

(2009) Networth Exposure to Interest Rate Risk: An empirical Analysis of Indian Commercial Banks. 193(2), 581-590.

Gerhard Schroeck (2002) Schroeck, Gerhard, Risk Management and Value Creation in Financial institutions.