Liquidity Creation and Bank Performance of Syrian Banks before and during the Syrian War
This paper estimates the amount of liquidity created by Syrian banks between 2004 and 2016, and further investigates the effect of liquidity creation on bank performance, controlling for a set of bank-level, industry-level, and macroeconomic variables. The findings show bank liquidity creation impro...
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doaj-5f61d3a88e2d4d8192eb0744e343c1bb2020-11-25T00:42:41ZengMDPI AGInternational Journal of Financial Studies2227-70722019-07-01734010.3390/ijfs7030040ijfs7030040Liquidity Creation and Bank Performance of Syrian Banks before and during the Syrian WarAhmad Sahyouni0Man Wang1Higher Institute for Administrative Development, Damascus University, 0100 Damascus, SyriaChina Internal Control Research Center, Dongbei University of Finance and Economics, Dalian 116025, ChinaThis paper estimates the amount of liquidity created by Syrian banks between 2004 and 2016, and further investigates the effect of liquidity creation on bank performance, controlling for a set of bank-level, industry-level, and macroeconomic variables. The findings show bank liquidity creation improved during the pre-war period and showed positive figures, but started to decline sharply during wartime. The results also show a negative relationship between liquidity creation and bank profitability (return on assets) during wartime; however, this relationship was insignificant before the war. Finally, this study conducted robustness checks to confirm its findings.https://www.mdpi.com/2227-7072/7/3/40liquidity creationbank performanceSyriawarinstrumental variable |
collection |
DOAJ |
language |
English |
format |
Article |
sources |
DOAJ |
author |
Ahmad Sahyouni Man Wang |
spellingShingle |
Ahmad Sahyouni Man Wang Liquidity Creation and Bank Performance of Syrian Banks before and during the Syrian War International Journal of Financial Studies liquidity creation bank performance Syria war instrumental variable |
author_facet |
Ahmad Sahyouni Man Wang |
author_sort |
Ahmad Sahyouni |
title |
Liquidity Creation and Bank Performance of Syrian Banks before and during the Syrian War |
title_short |
Liquidity Creation and Bank Performance of Syrian Banks before and during the Syrian War |
title_full |
Liquidity Creation and Bank Performance of Syrian Banks before and during the Syrian War |
title_fullStr |
Liquidity Creation and Bank Performance of Syrian Banks before and during the Syrian War |
title_full_unstemmed |
Liquidity Creation and Bank Performance of Syrian Banks before and during the Syrian War |
title_sort |
liquidity creation and bank performance of syrian banks before and during the syrian war |
publisher |
MDPI AG |
series |
International Journal of Financial Studies |
issn |
2227-7072 |
publishDate |
2019-07-01 |
description |
This paper estimates the amount of liquidity created by Syrian banks between 2004 and 2016, and further investigates the effect of liquidity creation on bank performance, controlling for a set of bank-level, industry-level, and macroeconomic variables. The findings show bank liquidity creation improved during the pre-war period and showed positive figures, but started to decline sharply during wartime. The results also show a negative relationship between liquidity creation and bank profitability (return on assets) during wartime; however, this relationship was insignificant before the war. Finally, this study conducted robustness checks to confirm its findings. |
topic |
liquidity creation bank performance Syria war instrumental variable |
url |
https://www.mdpi.com/2227-7072/7/3/40 |
work_keys_str_mv |
AT ahmadsahyouni liquiditycreationandbankperformanceofsyrianbanksbeforeandduringthesyrianwar AT manwang liquiditycreationandbankperformanceofsyrianbanksbeforeandduringthesyrianwar |
_version_ |
1725280938758242304 |