The efficiency of Islamic and conventional banks in the GCC region is investigated using DEA and SFA before, during and after the global financial crisis (GFC). Results suggest that during the GFC, Islamic banks were more cost efficient in comparison to conventional banks. In addition, Islamic banks closed the inherent gap in terms of profit efficiency to an insignificant level compared to the period prior to the GFC and through the period under investigation. Conversely, during the period subsequent to the GFC, Islamic banks suffered more than conventional banks in terms of profit efficiency and lost their cost efficiency superiority.
|Number of pages||17|
|Journal||Journal of International Financial Markets, Institutions and Money|
|Publication status||Published - Nov 2017|
- Efficiency performance
- Global financial crisis (GFC)
- Gulf Cooperation Council (GCC)
- Islamic banking