Financial Performance Analysis of Commercial Banks: A Case Study of Islamic Banks in Bangladesh

Abstract

The focal concern of the report has been to direct a close to execution of 7 Islamic banks in Bangladesh during 2013-2017. I have been applied 5 gatherings of parameters to measure liquidity level, profitability level, management capacity, capital structure and share performance. The exploration went in addition to gauge the financial stability strength of the seven banks. The discoveries demonstrate that except ICB Islamic Bank Limited (ICBIBANK), the six banks are fiscally feasible as all have utilized the proper budgetary devices and approaches to deal with their association and to adjust with their condition, to end up increasingly focused and expanding their profit. The liquidity level in ISLAMIBANK is higher in contrast with other six Islamic banks. The analysis likewise demonstrates that FIRSTSBANK has high productivity thanother six Islamic banks. The investigation of capital structure markers uncovers the similarities of the structures between the six banks except ICB Islamic Bank Limited. To the extent the board limit proportions, the examination proclaimed that Al-Arafah Islami Bank Ltd figured out how to create its incomes with less dimension of costs. The general examination of the share performance expressed that ISLAMIBANK is in an ideal situation in connection to the most essential proportions, than its rival bank. At long last, the examination of Z-score expresses that except ICB Islamic Bank Limited,the six Islamic banks are financially viable. The overall performance is satisfactory for all banks except ICB Islamic Bank Limited.