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The competitive nature of the Arab Middle Eastern banking markets

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Abstract

The competitive nature of the Arab Middle Eastern (AME) banking markets during the 1990s is the focus subject of this study. Using banks data from nine AME countries, and utilizing the so-called Rosse-Panzar test to quantitatively appraise the dominant competitive conditions in these markets between 1993–97, this study concluded that banking markets have been operating in the region under conditions of monopolistic competition. An important finding revealed by this study is that in the AME region, where two distinct economic spectrums dominate the markets, banking sector in the oil-producing countries (Gulf States) appears to be less competitive than its counterpart in non-oil countries.

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Authors and Affiliations

  1. Arab Bank, Jordan

    Waleed Murjan

  2. Uned University, Spain

    Cristina Ruza

Authors
  1. Waleed Murjan
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  2. Cristina Ruza
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Additional information

The authors would like to convey special thanks to the Vicerrectorado de Investigacin of UNED University, which provided financial support to publish this article, as a result of a presentation at the IAES Conference held in Athens in 2001.

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Murjan, W., Ruza, C. The competitive nature of the Arab Middle Eastern banking markets. International Advances in Economic Research 8, 267–274 (2002). https://doi.org/10.1007/BF02295501

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