Citation:

Md. Golam Sharoar, Md. Monimul haque, Tanmay Borman, Sanjoy Kumar Sarker. "Performance-Wise Rank Determination of Private Commercial Bank (PCBs) in Bangladesh- A Comparative Study Between Conventional & Islami-Shariah Based Private Commercial Bank in Bangladesh" International Research Journal of Economics and Management Studies, Vol. 2, No. 3, pp. 537-548, 2023.

Abstract:

The bank contributes to ensuring sustainable economic growth in each inch of the country. The banking sector in Bangladesh consists of a diverse array of banks, including state-owned, foreign, and private commercial banks. Private Commercial Banks are privately owned, profit-driven entities catering to various economic segments. This paper is built in order to assess the current rank of PCBs and make a comparison between Conventional Private Commercial Banks (CoPCBs) and Islami Shariah Based Private Commercial Banks (ISBPCBs) in Bangladesh. The authors mainly use secondary data to analyse the performance using the CAMEL framework, the most popular method of measuring a bank's operational and financial performance. Twenty-two conventional and seven Islami Shariah-based private commercial banks are used as samples for this study, covering the study period from 2010 to 2019. This paper discloses that Eastern Bank Ltd. (EBL) secures the 1st position among the studied conventional private commercial banks, and AB Bank Ltd. (ABL) gets the last position. On the other hand, among the studied Islami Shariah-based private commercial banks, Al-Arafah Islami Bank Ltd. (AIBL) secures the 1st position, and ICB Islami Bank Ltd. (ICBIBL) gets the last position according to their financial and operational efficiency. This ranking will help the respective banks maintain and regulate their activities more efficiently and effectively.

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Keywords:

Bank, CAMEL, Financial, Operational, Rank.