Economic Thought and Practice, , 2026.
Preliminary communication
https://doi.org/10.17818/EMIP/2026/45
UNVEILING THE DRIVERS OF BANK FINANCIAL PERFORMANCE IN GCC COUNTRIES
Nasiha Osmanovic
; Plekhanov Russian University of Economics, Dubai, UAE
*
Ilija Stojanovic
orcid.org/0000-0002-9299-0384
; American University in the Emirates, Dubai, UAE
Yojna Bansal
; Plekhanov Russian University of Economics, Dubai, UAE
Nikita Lavrik
; Plekhanov Russian University of Economics, Dubai, UAE
Saumya Chowdhary
; Synapse Street, USA
* Corresponding author.
Abstract
This study aims to identify the determinants of bank financial performance in GCC countries (Bahrain, KSA, Kuwait, Oman, Qatar, and the UAE) using 450 bank-year observations from 2014 to 2024. The analysis focuses on two profitability indicators: Return on Assets (ROA) and Return on Equity (ROE). The methodology comprises descriptive statistics, one-way ANOVA with post hoc tests, multiple regression analysis, and tests of between-subjects effects. The results show significant cross-country differences in profitability across the GCC region. The ANOVA findings confirm differences in the means and variances of ROA and ROE. The regression analysis indicates that the net interest margin has a positive and significant effect on performance, while leverage, credit risk, and loan intensity have negative effects. The tests of between-subjects effects confirm that country-level differences persist after controlling for financial determinants. The findings indicate structural differences within the GCC banking sector.
Keywords
Bank Performance; ROA; ROE; GCC Banking Sector
Hrčak ID:
352452
URI
Publication date:
26.10.2026.
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