Does Islamic banking offer a natural hedge for business cycles? Evidence from a dual banking system

AF Aysan, H Ozturk - Journal of Financial Stability, 2018 - Elsevier
We examine the lending patterns in the Turkish Islamic banking over business cycles. We
find that, similar to conventional banks, Islamic banks in Turkey exhibit procyclical lending …

Business cycle and bank lending procyclicality in a dual banking system

MH Ibrahim - Economic Modelling, 2016 - Elsevier
The paper studies bank lending behaviour over the business cycle in a dual banking
system, Malaysia, with the objective of ascertaining whether Islamic banks have a role in …

Islamic bank procyclicality in an emerging market economy: Do bank size and financing contracts matter?

W Soedarmono, I Yusgiantoro - The Quarterly Review of Economics and …, 2023 - Elsevier
Using a sample of Islamic banks in Indonesia, our empirical findings demonstrate a positive
relationship between economic growth and financing growth in Islamic banks, indicating …

Bank lending and the business cycle: Does ownership matter in ASEAN countries?

FS Hamid - Journal of Asian Economics, 2020 - Elsevier
We analyze the lending cyclicality of 213 ASEAN commercial banks over the period 2001–
2015. The findings indicate that lending by private banks is procyclical while lending by state …

Comparing Credit Procyclicality in Conventional and Islamic Rural Bank: Evidence from Indonesia

A Hardana, W Windari, S Efendi… - Annual International …, 2023 - conferences.uinsalatiga.ac.id
The procyclicality of loan expansion is one of several factors that have contributed to
financial instability. Numerous empirical studies conducted in developed nations have …

Bank ownership and credit over the business cycle: Is lending by state banks less procyclical?

AC Bertay, A Demirgüç-Kunt, H Huizinga - Journal of Banking & Finance, 2015 - Elsevier
This paper finds that lending by state banks is less procyclical than lending by private banks,
especially in countries with good governance. Lending by state banks in high income …

Testing of the procyclicality of Islamic and conventional banks in Indonesia

Ascarya, S Rahmawati, AA Karim - … Regulation and Policy for the Islamic …, 2016 - Springer
Procyclicality of banking system is believed to be one of the important sources of financial
system systemic instability which could be addressed by macroprudential policy. This study …

Bank lending channel in a dual banking system: why are Islamic banks so responsive?

AF Aysan, M Disli, H Ozturk - The World Economy, 2018 - Wiley Online Library
We examine the interest rate sensitivity of both deposits and credits at Islamic and
conventional banks in Turkey. We find that the bank lending channel is especially operative …

Business orientation, efficiency, and credit quality across business cycle: Islamic versus conventional banking. Are there any lessons for Europe and Baltic States?

Nosheen, A Rashid - Baltic Journal of Economics, 2019 - Taylor & Francis
This paper empirically investigates the difference between Islamic and conventional banks
in terms of business dynamics, cost structure, credit quality, and stability. It also examines …

Does bank competition matter for the effects of macroprudential policy on the procyclicality of lending?

M Olszak, I Kowalska - … of International Financial Markets, Institutions and …, 2022 - Elsevier
Competition is an inherent and natural environment in which banks operate and extend
loans. Despite the extensive debate on the impact of bank competition on risk-taking and …