摘要:The aim of this paper is to examine the cost and profit efficiency of Islamic banks in four regions of the world:Africa, the Far East and Central Asia,Europe and the Middle East during the period of 2003-2008. The study is based on a yearly and regional basis using a parametric frontier technique called stochastic frontier approach (SFA). The results suggest that cost and profit efficiencies have improved over the period and Islamic banks in these four regions are relatively better in controlling costs than generating profits. The results also suggest that Islamic banks in Europe are relatively more cost and profit efficient than the other group of banks. Banks in the Middle East region are significantly less efficient than Islamic banks in Africa but more efficient than banks in the Far East and Central Asia.
关键词:cost and profit efficiency;Islamic banks;stochastic frontier approach.