Al-Balqa Journal for Research and Studies

Published by: Deanship of Scientific Research, Al-Ahliyya Amman University

ISSN (Print Version): 1684-0615, ISSN (Online Version): 2616-2814

Open Access Journal

The Institutional Centralization for Deposits and the Impact on Jordanian Banks Earnings.


Volume 5, Issue No 1, 1997

Pages: 13 - 38

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Abstract

Jordanian banks face external and internal challenges which lead to a decrease in their profitability. This is the topic of this research. The market share of deposits among banks varies greatly. The largest three banks have about 60 of all deposits while all other banks have the remaining 40 . The study used a model with six independent variables that have an impact on profitability. Statistical analysis of these variables using SPSS shows no clear evidence of a connection between profitability and deposit size. It also shows a number of relationships which may be of interest to bankers. For example, the evidence shows a negative relationship between the cost of deposit sources and profitability; a positive relationship between wages and profitability; no relationships between loan size, capital to asserts ratio, the growth of money supply on one hand, and profitability on the other hand



Keywords

Institutional Centralization- Deposits - Jordanian Banks Earnings..


Subjects


Citation

Al-Qaddomi, A.

  (1997).

  The Institutional Centralization for Deposits and the Impact on Jordanian Banks Earnings..

  Al-Balqa Journal for Research and Studies,

  5

(1),

  13-

38.