ساغر بیطرفان

Abstract

The present study investigated the impact of banking competition on economic stability in MENA. The statistical population of this research is all active banks in MENA countries (Middle East and North Africa) during the period of ۲۰۱۵ to ۲۰۲۲. Judgmental sampling method was used for this research. Banks selected in this study. They have been selected from different countries in the MENA region such as: Jordan, Iran, United Arab Emirates, etc. The selection criteria included access to valid financial data, continuous bank activity during the study period and diversity in the type of banks. Finally, ۷۱ banks for ۱۴ countries were selected as the statistical sample of the research. Data was collected from reputable financial sources such as TheBanker Database and Bankscope. Then the collected data was compared with the annual reports of the banks to ensure their accuracy. In the next step, incomplete or incorrect data were identified and corrected. Finally, using statistical tests, the homogeneity and continuity of the data were checked to identify and remove any anomalies or out-of-range data. Also, multivariate linear regression analysis was used for data analysis with the help of Eviews۱۲ software, panel data were analyzed using generalized least squares (GLS) methods to ensure the homogeneity of variance in the models. The results showed that banking competition has a positive and significant effect on economic stability in MENA with the measure of GDP growth rate and the measure of exchange rate fluctuations. Also, banking competition has a negative and significant effect on economic stability in MENA area with the measure of inflationary loss. Overall, the results show that banking competition is known as one of the factors affecting economic stability in the MENA region. Therefore, policy makers should provide the basis for increasing competition in the banking sector by applying appropriate laws and regulations. This can include reducing barriers to the entry of new banks, increasing financial tra  arency, and encouraging mergers and acquisitions of smaller banks to create stronger banking structures.

Keyword: competition

Banking, economic stability, gross domestic product, exchange rate fluctuations, inflationary loss, MENA field.