Comparative Study on the Efficiency of Islamic Banks and Conventional Banks During the COVID-19 Outbreak

Naima Lassoued, Imen Khanchel and Wiem Saidani

SAGE Open, 2025, vol. 15, issue 1, 21582440241309726

Abstract: This study investigates the impact of the COVID-19 pandemic on the efficiency of Islamic and conventional banks, focusing on Middle Eastern and North African (MENA) countries. Analyzing a sample of 134 banks across 10 MENA nations from 2011 to 2021, we evaluate technical efficiency scores (including global technical efficiency, pure technical efficiency, and scale efficiency) utilizing Data Envelopment Analysis (DEA) followed by Tobit random effect regression. Our results show that conventional banks exhibited superior technical efficiency compared to Islamic banks during the COVID-19 crisis. Furthermore, these findings were consistently validated through various robustness tests, confirming the reliability of the results.

Keywords: Technical efficiency; economic development; emerging market; banks (search for similar items in EconPapers)
Date: 2025
References: Add references at CitEc
Citations:

Downloads: (external link)
https://journals.sagepub.com/doi/10.1177/21582440241309726 (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:sae:sagope:v:15:y:2025:i:1:p:21582440241309726

DOI: 10.1177/21582440241309726

Access Statistics for this article

More articles in SAGE Open
Bibliographic data for series maintained by SAGE Publications ().