Title: The effect of the COVID-19 pandemic on the performance of Turkish banks: a comparative panel data analysis

Authors: Omar Kachkar; William Bwando

Addresses: School of Business, Ibn Haldun University, Başak Mah. Ordu Cad. F-05 Blok No: 3, 34480, Başakşehir, Istanbul, Turkey ' Department of Economics, Ibn Haldun University, Başak Mah. Ordu Cad. F-05 Blok No: 3, 34480, Başakşehir, Istanbul, Turkey

Abstract: This study investigates the impact of the COVID-19 pandemic on the performance of conventional and participation banks in Turkey. Panel data with random effects was the main analysis methodology adopted by the study. The data of ten banks was analysed within the range of 2015-2021. The results of the combined analyses could not establish any impact of the pandemic on the profitability of both groups of banks. The same result is also observed when the analysis is conducted on both groups separately. In contrast, a negative impact on the operational efficiency of banks was observed when the analysis was conducted on the two sets of the banks combined. Interestingly, the results suggest that the pandemic had a negative impact on the operational efficiency of participation banks but not on conventional banks when the analysis was conducted on the two sets of the banks separately.

Keywords: COVID-19; profitability; operational efficiency; banks; Turkey; Islamic banks; panel data analysis.

DOI: 10.1504/IJAAPE.2024.135552

International Journal of Accounting, Auditing and Performance Evaluation, 2024 Vol.20 No.1/2, pp.155 - 182

Received: 12 May 2022
Received in revised form: 16 Sep 2022
Accepted: 29 Nov 2022
Published online: 18 Dec 2023 *

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