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The study aimed to measure the impact of the financing structure on the profitability of Jordanian Islamic banks for the period 2010-2019, by using the multiple regression analysis model. The study sample included Jordan Islamic Bank, Safwa Islamic Bank, Islamic International Arab Bank. The independent variables included debt ratio, equity ratio, cash liquidity ratio, bank size, while the dependent variables are return on assets (ROA), return on equity (ROE). The results showed that the financing structure measured by the debt ratio has a positive and statistically significant impact on the profitability of both the Jordan Islamic Bank of Jordan and the Islamic International Arab Bank, while it had a statistically significant negative impact on the profitability of Safwa Islamic Bank, as for the financing structure measured by equity ratio; however, it had a statistically significant positive impact on the profitability of all Jordanian Islamic banks. As for the cash liquidity of bank, it had a statistically significant negative impact on the profitability of Jordanian Islamic banks, while the size of the bank had a statistically significant positive impact on the profitability of Jordanian Islamic banks. [ABSTRACT FROM AUTHOR]

The study aims at evaluating the performance of Palestinian Islamic banks for the efficiency of managing financing risks and linking them with the quality of investment portfolios according to the modified return on equity model (DuPont) and bank financial ratios, also to identify the types of risks of Islamic financing instruments, And the volume of investments using Islamic financing formulas, To achieve the objectives of the study, the researcher used the descriptive and analytical comparative approach to the case study, The sample of the study consisted of the Palestinian Islamic Bank and the Arab Islamic Bank since they are the most active Islamic banks in Palestine. The results of the study showed that the average of the return on equity index according to DuPont model of the Palestinian Islamic Bank was 12.5% compared to the Arab Islamic Bank, which scored 6.8%, this is due to the high rate of return on assets and financial leverage in the Palestinian Islamic Bank, the results also indicated that the financing risks in the Palestinian Islamic Bank are greater with sufficient provision, As a result, its returns increased compared to the Arab Islamic Bank. The study also showed results that reflect the efficiency and remarkable success of the Islamic banks in the process of managing credit risks. This reflected positively on the performance index of those banks by building good quality credit portfolios, which enabled them to compete with traditional banks. The study concluded that Islamic banks should diversify and develop their financing instruments and direct them towards productive investment opportunities and raise the degree of cooperation in the field of credit information exchange. [ABSTRACT FROM AUTHOR]

Purpose - This paper aims to examine the distributional differences of Islamic bank financing responses to financing rate across bank-specific characteristics in dual banking system. The study also aims to provide understanding of how efficiently Islamic banks perform their roles as suppliers of capital for businesses and entrepreneurs. Design/methodology/approach - The study uses panel regression methodology covering all Islamic banks in Malaysia. The study estimates the benchmark model for Islamic bank financing with respect to bank characteristics and monetary policy. Findings - The evidence suggests that bank-specific characteristics are important in determining Islamic financing behaviour. The Islamic financing behaviour is consistent with conventional lending behaviour that the Islamic bank financing operates depending on the level of bank size, liquidity and capital. There is no significant difference between Islamic bank financing and conventional bank lending behaviour with respect to changes in monetary policy. Originality/value - Many problems and challenges relating to Islamic financing instruments, financial markets and regulations must be addressed and resolved. In practice, it would be a good idea if Islamic banks move away from developing debt-based instruments and concentrate more efforts to develop profit and loss sharing instruments. [ABSTRACT FROM AUTHOR]