Table 6
Panel regressions of bank efficiency as measured by NIM (2005–2015)
Variable
All banks
Conventional banks
Islamic banks
Model 1
Model 2
Model 3
Model 4
Model 5
Model 6
Model 7
Model 8
Model 9
Model 10 Model 11 Model 12
Constant
0.1200
0.001***
0.0718
0.541
0.2248
0.000***
0.2392
0.000***
0.0273
0.083*
0.1286
0.003***
0.2287
0.000***
0.2986
0.000***
0.5684
0.000***
−0.2211
0.619
0.1268
0.220
0.1444
0.172
Deposits/Assets
0.0219
0.436
0.1383
0.038**
−0.0083
0.669
−0.0180
0.469
0.0230
0.181
−0.0117
0.590
−0.0104
0.639
0.0005
0.986
−0.0080
0.899
0.3931
0.096*
−0.0491
0.211
−0.0010
0.971
Loans/Assets
−0.0925
0.001***
−0.0938
0.195
−0.1268
0.001***
−0.1329
0.005***
0.0216
0.095*
−0.0658
0.047**
−0.1356
0.004***
−0.1688
0.003***
−0.3350
0.000***
−0.1568
0.291
−0.0649
0.261
−0.0284
0.484
ROA
0.1113
0.366
−0.2767
0.384
1.0385
0.000***
1.0044
0.000***
0.3319
0.000***
0.6170
0.000***
1.1472
0.000***
1.0354
0.000***
0.1137
0.653
−3.6393
0.016**
−0.0790
0.702
0.0010
0.995
Other Earning Assets
−0.0277
0.165
−0.0089
0.838
−0.0543
0.034**
−0.0761
0.028**
0.0158
0.127
−0.0335
0.027**
−0.0544
0.056*
−0.0433
0.288
−0.1442
0.002***
0.1731
0.135
−0.0765
0.052*
−0.0393
0.219
Income Diversity
−0.0356
0.152
−0.0469
0.191
−0.0246
0.056*
−0.0224
0.150
0.0189
0.423
0.0595
0.026**
−0.0269
0.372
0.0203
0.661
−0.0458
0.294
−0.0212
0.736
0.0052
0.518
0.0121
0.110
Non-Interest Income
−0.0316
0.301
−0.0483
0.314
−0.0142
0.417
−0.0206
0.368
−0.0727
0.012**
−0.0923
0.005***
−0.0136
0.701
−0.0670
0.239
−0.0703
0.226
−0.0748
0.415
−0.0355
0.025**
−0.0237
0.088*
Log(Size)
−0.0032
0.059*
−0.0077
0.041**
−0.0042
0.001***
−0.0038
0.138
−0.0019
0.006***
−0.0025
0.038**
−0.0034
0.023**
−0.0042
0.177
−0.0257
0.002***
0.0006
0.976
0.0036
0.438
−0.0077
0.304
Tier 1 Ratio
0.4726
0.000***
0.1078
0.004***
0.1268
0.021**
0.1634
0.000***
0.0842
0.141
0.1025
0.182
1.0243
0.077*
−0.0256
0.750
−0.0271
0.621
Tangible Equity
−0.3564
0.001***
−0.1292
0.000***
−0.1593
0.002***
−0.1133
0.001***
−0.1278
0.002***
−0.1681
0.008***
−0.6702
0.210
−0.0004
0.995
0.0745
0.209
Liquid Assets
0.1315
0.050**
−0.1278
0.000***
−0.1514
0.000***
−0.0941
0.001***
−0.1306
0.000***
−0.1755
0.000***
0.2327
0.105
−0.0824
0.050**
−0.0429
0.207
Funding Fragility
−0.1862
0.000***
−0.0025
0.889
0.0222
0.414
−0.0204
0.155
−0.0113
0.604
0.0215
0.518
−0.3648
0.015**
−0.0189
0.493
0.0265
0.337
Equity Volatility
−0.0118
0.014**
−0.0093
0.121
−0.0126
0.025**
−0.0108
0.125
0.0000
0.994
0.0018
0.604
Log(Z)
−0.0028
0.113
−0.0030
0.241
−0.0067
0.013**
−0.0168
0.001***
−0.0022
0.185
0.0000
0.991
Ownership Concentration
0.0026
0.715
−0.0018
0.823
0.0103
0.250
Government Ownership
−0.0159
0.057*
−0.0104
0.248
0.1220
0.436
Foreign Ownership
−0.0258
0.099*
−0.0537
0.007***
0.0336
0.872
LISTED_D
0.0170
0.108
0.0206
0.251
−0.0107
0.057*
−0.0052
0.486
0.0075
0.223
Omitted
0.0140
0.538
0.0010
0.973
−0.0022
0.786
−0.0267
0.370
(continued)
72
F. Mrad and M. Mateev
Panel regressions of bank efficiency as measured by NIM (2005–2015)
Variable
All banks
Conventional banks
Islamic banks
Model 1
Model 2
Model 3
Model 4
Model 5
Model 6
Model 7
Model 8
Model 9
Model 10 Model 11 Model 12
Constant
0.1200
0.001***
0.0718
0.541
0.2248
0.000***
0.2392
0.000***
0.0273
0.083*
0.1286
0.003***
0.2287
0.000***
0.2986
0.000***
0.5684
0.000***
−0.2211
0.619
0.1268
0.220
0.1444
0.172
Deposits/Assets
0.0219
0.436
0.1383
0.038**
−0.0083
0.669
−0.0180
0.469
0.0230
0.181
−0.0117
0.590
−0.0104
0.639
0.0005
0.986
−0.0080
0.899
0.3931
0.096*
−0.0491
0.211
−0.0010
0.971
Loans/Assets
−0.0925
0.001***
−0.0938
0.195
−0.1268
0.001***
−0.1329
0.005***
0.0216
0.095*
−0.0658
0.047**
−0.1356
0.004***
−0.1688
0.003***
−0.3350
0.000***
−0.1568
0.291
−0.0649
0.261
−0.0284
0.484
ROA
0.1113
0.366
−0.2767
0.384
1.0385
0.000***
1.0044
0.000***
0.3319
0.000***
0.6170
0.000***
1.1472
0.000***
1.0354
0.000***
0.1137
0.653
−3.6393
0.016**
−0.0790
0.702
0.0010
0.995
Other Earning Assets
−0.0277
0.165
−0.0089
0.838
−0.0543
0.034**
−0.0761
0.028**
0.0158
0.127
−0.0335
0.027**
−0.0544
0.056*
−0.0433
0.288
−0.1442
0.002***
0.1731
0.135
−0.0765
0.052*
−0.0393
0.219
Income Diversity
−0.0356
0.152
−0.0469
0.191
−0.0246
0.056*
−0.0224
0.150
0.0189
0.423
0.0595
0.026**
−0.0269
0.372
0.0203
0.661
−0.0458
0.294
−0.0212
0.736
0.0052
0.518
0.0121
0.110
Non-Interest Income
−0.0316
0.301
−0.0483
0.314
−0.0142
0.417
−0.0206
0.368
−0.0727
0.012**
−0.0923
0.005***
−0.0136
0.701
−0.0670
0.239
−0.0703
0.226
−0.0748
0.415
−0.0355
0.025**
−0.0237
0.088*
Log(Size)
−0.0032
0.059*
−0.0077
0.041**
−0.0042
0.001***
−0.0038
0.138
−0.0019
0.006***
−0.0025
0.038**
−0.0034
0.023**
−0.0042
0.177
−0.0257
0.002***
0.0006
0.976
0.0036
0.438
−0.0077
0.304
Tier 1 Ratio
0.4726
0.000***
0.1078
0.004***
0.1268
0.021**
0.1634
0.000***
0.0842
0.141
0.1025
0.182
1.0243
0.077*
−0.0256
0.750
−0.0271
0.621
Tangible Equity
−0.3564
0.001***
−0.1292
0.000***
−0.1593
0.002***
−0.1133
0.001***
−0.1278
0.002***
−0.1681
0.008***
−0.6702
0.210
−0.0004
0.995
0.0745
0.209
Liquid Assets
0.1315
0.050**
−0.1278
0.000***
−0.1514
0.000***
−0.0941
0.001***
−0.1306
0.000***
−0.1755
0.000***
0.2327
0.105
−0.0824
0.050**
−0.0429
0.207
Funding Fragility
−0.1862
0.000***
−0.0025
0.889
0.0222
0.414
−0.0204
0.155
−0.0113
0.604
0.0215
0.518
−0.3648
0.015**
−0.0189
0.493
0.0265
0.337
Equity Volatility
−0.0118
0.014**
−0.0093
0.121
−0.0126
0.025**
−0.0108
0.125
0.0000
0.994
0.0018
0.604
Log(Z)
−0.0028
0.113
−0.0030
0.241
−0.0067
0.013**
−0.0168
0.001***
−0.0022
0.185
0.0000
0.991
Ownership Concentration
0.0026
0.715
−0.0018
0.823
0.0103
0.250
Government Ownership
−0.0159
0.057*
−0.0104
0.248
0.1220
0.436
Foreign Ownership
−0.0258
0.099*
−0.0537
0.007***
0.0336
0.872
LISTED_D
0.0170
0.108
0.0206
0.251
−0.0107
0.057*
−0.0052
0.486
0.0075
0.223
Omitted
0.0140
0.538
0.0010
0.973
−0.0022
0.786
−0.0267
0.370
(continued)
72
F. Mrad and M. Mateev