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Performance and Credit Rating in Banking: A Comparative Study for Egypt and Lebanon

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  • Sam Hakim

    (Pepperdine University)

  • Simon Neaime

Abstract

We investigate the performance and risk in two prominent countries in the MENA region, Egypt and Lebanon, where banks operate under market-oriented economic regimes. The study covers the 1990?s, a period that witnessed banking sector reforms towards a more efficient financial system. Noting the differences in the structure of the banking system and the monetary changes in Egypt and Lebanon, we investigate the impact of liquidity, credit, and capital on bank profitability in each country?s banking sector. Based on our findings, we draw conclusions on the strength of risk management practices and enforcement of banking regulations.

Suggested Citation

  • Sam Hakim & Simon Neaime, 2001. "Performance and Credit Rating in Banking: A Comparative Study for Egypt and Lebanon," Working Papers 0137, Economic Research Forum, revised 12 Jun 2001.
    • Handle: RePEc:erg:wpaper:0137
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    References listed on IDEAS

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    5. Mester, Loretta J., 1996. "A study of bank efficiency taking into account risk-preferences," Journal of Banking & Finance, Elsevier, vol. 20(6), pages 1025-1045, July.
    6. Jagtiani, Julapa & Khanthavit, Anya, 1996. "Scale and scope economies at large banks: Including off-balance sheet products and regulatory effects (1984-1991)," Journal of Banking & Finance, Elsevier, vol. 20(7), pages 1271-1287, August.
    7. McAllister, Patrick H. & McManus, Douglas, 1993. "Resolving the scale efficiency puzzle in banking," Journal of Banking & Finance, Elsevier, vol. 17(2-3), pages 389-405, April.
    8. Ralph C. Kimball, 1998. "Economic profit and performance measurement in banking," New England Economic Review, Federal Reserve Bank of Boston, issue Jul, pages 35-53.
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    Cited by:

    1. Samih Azar & Ali Bolbol & Alexandre Mouradian, 2016. "Profitability of Banks in Lebanon: Some Theoretical and Empirical Results," International Journal of Economics and Finance, Canadian Center of Science and Education, vol. 8(7), pages 233-233, July.
    2. Isah Serwadda, 2018. "Impact of Credit Risk Management Systems on the Financial Performance of Commercial Banks in Uganda," Acta Universitatis Agriculturae et Silviculturae Mendelianae Brunensis, Mendel University Press, vol. 66(6), pages 1627-1635.
    3. Sami Ben Naceur & Magda Kandil, 2013. "Has The Basel Capital Requirement Caused Credit Crunch In The Mena Region?," Middle East Development Journal (MEDJ), World Scientific Publishing Co. Pte. Ltd., vol. 5(02), pages 1-33.
    4. Ayrin Sultana & Jesmin Ara & Humaira Begum, 2018. "Evaluation of Credit Management of Uttara Bank Ltd-A case study from the customers’ point of view," International Journal of Science and Business, IJSAB International, vol. 2(4), pages 664-676.
    5. Sami Ben Naceur & Ms. Magda E. Kandil, 2013. "Basel Capital Requirements and Credit Crunch in the MENA Region," IMF Working Papers 2013/160, International Monetary Fund.
    6. Achraf Haddad & Anis El Ammari & Abdelfettah Bouri, 2019. "Comparative Study of Ambiguity Resolution between the Efficiency of Conventional and Islamic Banks in a Stable Financial Context," International Journal of Economics and Financial Issues, Econjournals, vol. 9(5), pages 111-129.

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