UTJECAJ IZRAVNIH STRANIH INVESTICIJA NA FINANCIJSKI RAZVOJ: EMPIRIJSKI DOKAZ IZ BAHREINA

The aim of this paper is to analyze the relationship between foreign direct investments and financial development in Bahrain. The estimation financial development effects was performed for the period 1978 to 2015, which covers the political conflicts that recently happened in Middle East area (Arab Spring). On the other hand, the paper sought to examine the causality relationship between foreign direct investments and financial development. The study empirically investigates the short and long run equilibrium relationship between the variables by applied co-integration and Autoregressive Distributed Lags Approach (ARDL). The Granger causality test was employed to capture causality relationship. The obtained results show that there is a significant positive relationship between FDI and financial development in short and long run, while, a significant negative relationship between Arab Spring and financial development. However, the results also revealed bidirectional causality relationship between FDI and financial development.Cilj je ovog rada analizirati odnos izravnih stranih ulaganja i financijskog razvoja u Bahreinu. Procjena učinaka na financijski razvoj provedena je za razdoblje od 1978. do 2015. godine, koja obuhvaća političke sukobe koji su se nedavno dogodili na području Bliskog istoka (Arapsko proljeće). S druge strane, rad je nastojao ispitati uzročni odnos između izravnih stranih ulaganja i financijskog razvoja. Rad empirijski istražuje kratkotrajni i dugoročni odnos ravnoteže između varijabli primjenom kointegracijskog i ARDL pristupa. Grangerov test uzročnosti primijenjen je kako bi se otkrio uzročni odnos. Rezultati pokazuju da postoji značajan pozitivan odnos između izravnih stranih ulaganja i financijskog razvoja u kratkom i dugom roku, ali značajan negativan odnos između Arapskog proljeća i financijskog razvoja. Međutim, rezultati također upućuju na dvosmjerni uzročni odnos između izravnih stranih ulaganja i financijskog razvoja

Investimento estrangeiro direto e crescimento econômico na Jordânia: uma pesquisa empírica que utiliza o teste de limites de cointegração

Este artículo investiga las elasticidades a largo y corto plazo entre el producto interno bruto y la IED en Jordania. El estudio utiliza datos anuales para analizar la relación entre la IED y el crecimiento económico para el periodo de 1992-2013. Los datos para las variables IED y PIB se obtuvieron de los Indicadores del Desarrollo Mundial y del Banco Mundial, y se utilizó el enfoque ARDL. Los resultados muestran elasticidades de largo y corto plazo en la IED y el PIB. En general, los responsables políticos de Jordania centran sus esfuerzos para atraer más IED a la economía jordana. Esto se debe a que se espera que más IED en la economía jordana conduzca a una disminución de los obstáculos económicos (por ejemplo, disminución de la tasa de desempleo y mayor nivel de inversión).Este artigo pesquisa sobre as elasticidades em curto e longo prazo entre o produto interno bruto (PIB) e o investimento estrangeiro direto (IED) na Jordânia. Este estudo utiliza dados anuais para analisar a relação entre a IED e o crescimento econômico para o período de 1992-2013. Os dados para as variáveis IED e PIB foram obtidos dos Indicadores do Desenvolvimento Mundial e do Banco Mundial, e foi utilizada a abordagem Autorregressiva com Defasagens Distribuídas (ARDL). Os resultados indicam elasticidades de curto e longo prazo no IED e no PIB. Em geral, os responsáveis políticos da Jordânia focam seus esforços para atrair mais IED à economia jordana. Isso se deve a que se espera que mais IED na economia jordana leve a uma diminuição dos obstáculos econômicos (por exemplo, diminuição da taxa de desemprego, maior nível de investimento).This paper investigates both long-run and short-run elasticities between gross domestic product and foreign direct investment (FDI) in Jordan. Annual data have been used in order to explore the relationship between foreign direct investments (FDI) with economic growth for the period 1992-2013. Data were collected for both variables (FDI and GDP) from the World Bank and World Development Indicators, and the Autoregressive Distributed Lag Model (ARDL) approach was used. The results show long-run and short-run elasticities in foreign direct investment (FDI) and GDP. The results indicate that Jordanian policy makers focus their efforts to attract more FDI to Jordanian economy. This is because more FDI is expected to lead to a decrease in economic obstacles in Jordan (e.g., increased level of investment, decreased unemployment rate)

Islamic Banking versus Conventional Banking, During the Global Financial Crisis: Bahrain

Banks are the most influential sector in the economy with ability toaffect a country's growth. Once global financial crisis hit, many corporationas well as banks are affected. The research objective is to study theperformance of both Islamic and Conventional banking when crisis happen.Several performance indicator are used to evaluate performance with the help ofthe Statistical Package for the Social Sciences (SPSS) version 20.0 software toanalyze the quantitative data collected from annual report of selected banksstretching from year 2005 to 2013 in Bahrain. For the outcome, Islamic bankingmay perform better than conventional banking during the crisis, but in the longrun the result is reversed due to conventional banking size of business.Keywords:Islamic banking, Conventional banking, Bahrain, Global financial crisis

UTJECAJ FINANCIJSKE POLITIKE NA GOSPODARSKI RAST U JORDANU (2000-2017): ARDL PRISTUP

The aim of this paper is to examine the impact of financial policy on rate of economic growth in Jordan for the period of (2000-2017) taking into the considerations the fluctuations of taxation system. Autoregressive Distributed Lag (ARDL) approach has been utilized in order to analyze the long term relationship between study variable which are; money supply (M2), domestic credit provided by banks (DCBS) and real Gross Domestic Product GDP. The results shows that, money (M2) and domestic credit provided by banks (DCBS) can effects on GDP in Jordan for the study period. The taxation system in Jordan has been fluctuated many times during 2017 and 2018, which made the data partly not available. This led the researchers to spend long time to find an accurate data in order to finalize this study. This study will add good practical evidence on the impact of changing the taxation system positively or negatively on the economic growth.Cilj ovog rada je ispitati utjecaj financijske politike na stopu gospodarskog rasta u Jordanu za razdoblje 2000–2017, uzimajući u obzir fluktuacije u poreznom sustavu. Pristup temeljem na autoregresivnim modelima s distributivnim vremenskim pomakom (ARDL) korišten je kako bi se analizirala dugoročna veza između varijabli ispitivanja koje su: novčana masa (M2), domaći kredit banaka (DCBS) i realni bruto domaći proizvod (BDP). Rezultati pokazuju da novac (M2) i domaći kredit banaka (DCBS) mogu utjecati na BDP u Jordanu u promatranom razdoblju. Sustav oporezivanja u Jordanu mnogo je puta oscilirao tijekom 2017. i 2018., zbog čega podaci djelomično nisu dostupni. To je uzrokovalo da istraživači provode dugo vremena kako bi pronašli točne podatke kako bi dovršili ovu studiju. Ova studija će dodati dobre praktične dokaze o utjecaju pozitivne ili negativne promjene poreznog sustava na gospodarski rast

Bank size and capital: A trade-off between risk-taking incentives and diversification

This paper analyzes the importance of size and capital for risk-taking incentives of Jordanian banks using panel data of 13 commercial banks for the period 2007–2017. The results reveal that size and capital add to stability, consistent with the economies of scale and scope hypothesis. In developing countries, banks are more conservative and less involved in market-based activities; however, they are interconnected just as in developed countries. The results of the first model and second model reveal that as size increases by 1 percent, risk decreases by 0.11 percent and 0.03 percent, respectively, implying that too-big-to-fail is not present and that moral hazard is not a serious issue. In both models, large size is driven by diversification not by risk-taking incentives. In terms of capital, the results of the first model and second model reveal that as capital increases by 1 percent, risk decreases by 0.48 and 0.12 percent, respectively. The fact that Jordanian banks are overcapitalized indicates that the central bank regulation is not binding. Banks increase their capital adequacy ratios to reduce risk. It is clear that there is economic benefit from increased size. However, the failures of large banks are systemic due to their interconnectedness. Therefore, regulators need to pay special attention to them in accordance with Basel III Accord

Big data analytics and innovation in e-commerce: current insights and future directions

Big data analytics (BDA), as a new innovation tool, played an important role in helping businesses to survive and thrive during great crises and mega disruptions like COVID-19 by transitioning to and scaling e-commerce. Accordingly, the main purpose of the current research was to have a meaningful comprehensive overview of BDA and innovation in e-commerce research published in journals indexed by the Scopus database. In order to describe, explore, and analyze the evolution of publication (co-citation, co-authorship, bibliographical coupling, etc.), the bibliometric method has been utilized to analyze 541 documents from the international Scopus database by using different programs such as VOSviewer and Rstudio. The results of this paper show that many researchers in the e-commerce area focused on and applied data analytical solutions to fight the COVID-19 disease and establish preventive actions against it in various innovative manners. In addition, BDA and innovation in e-commerce is an interdisciplinary research field that could be explored from different perspectives and approaches, such as technology, business, commerce, finance, sociology, and economics. Moreover, the research findings are considered an invitation to those data analysts and innovators to contribute more to the body of the literature through high-impact industry-oriented research which can improve the adoption process of big data analytics and innovation in organizations. Finally, this study proposes future research agenda and guidelines suggested to be explored further

Banking Services Transformation and Financial Technology Role

The primary purpose of this paper is to explore and discuss the role of Fintech in the transformation of Malaysian banking services. The research design is qualitative and secondary source analysis is conducted. Secondary data is collected from relevant journal articles, research papers, editorials, websites and official documents. Based on the analysis, it is concluded that different key drivers played an influential role in the progress of the Fintech industry in Malaysia. Financial literacy programs and Malaysia Stack are some notable initiatives that support the Fintech progress in Malaysia. A range of Fintech businesses is operating in Malaysia that are transforming different banking services including payments solutions, lending personal loans, credit cards, personal finance management solutions and one- stop-shop online banking. Underserved populations, flexible regulatory environment and increased level of interest of state authorities are some of the critical aspects for the future progress of Fintech business in Malaysia. The research paper explains the role of Fintech businesses in the Malaysian banking industry. Many have viewed Fintech as a disruptive technology, however, this study highlighted that Malaysian banking services are transformed by Fintech business and there are still opportunities for the progress of the Fintech industry in Malaysia

Systemically Important Bank: A Bibliometric Analysis for the Period of 2002 to 2022

This paper aims to analyzes the English-language literature related to Systemically Important Banks (SIBs) by applying the bibliometric methodology to present the current state of SIBs’ intellectual structure and emerging trends from a large quantity of data for the period 2002 to first 2 months of 2022 from Scopus, which is which is considered the most widely used database. SIBs are large and powerful, their contribution to economic growth is significant but their failure is usually systematic and contagious. Regulators subsidize them with public money to avoid systematic financial crises. It is striking that smaller banks do not receive the same treatment, which places them under competitive disadvantage. The bibliometric methodology helps in focusing on this issue for being a rigorous way for exploring and evaluating large volumes of data, identifying gaps, deriving unique research ideas, and resulting in a significant research impact. Therefore, we apply the bibliometric analysis to describe the field’s evolution and structure, including co-authorship, bibliographical coupling, and co-citation. The findings reveal that, the USA is the most relevant country, the University of Southeast is the most relevant institution, and the Journal of Banking and Finance is the most relevant journal. We contribute to the literature mainly by: (1) identifying the benchmark authors, locations of SIBs, and journals; (2) specifying the research streams and summarizing the most cited papers; and (3) identifying the research gaps and future directions

Rolling the Crypto Dice: The Interplay of Legal Environments, Market Uncertainty, and Gambling Attitudes on Users’ Behavioral Intentions

The high volatility and inherent high-risk nature of cryptocurrency investments promote the study of the determinants of value perception and the various factors influencing individuals’ intentions regarding whether to adopt, abstain from, or continue their investments in these dynamic cryptocurrency markets. The main aim of this study is to examine the determinants of behavioral intention to continue using cryptocurrencies. In addition, it is aimed at exploring the effect of gambling attitudes on the perceived benefits and legal environment in the cryptocurrency context. An online questionnaire was developed in order to gather data from 258 respondents in the United Arab Emirates (UAE). The research model was assessed, and the hypotheses were tested using PLS-SEM. The outcomes of the PLS analysis revealed that gambling attitudes, perceived benefits, legal environment, and market uncertainty are significant determinants of behavioral intention to continue using cryptocurrencies. This study also revealed a significant effect of gambling attitudes and legal environment on the perceived benefits of cryptocurrencies. This study adds to the body of knowledge on cryptocurrency adoption by providing new insights into the factors that influence consumers’ continued investment. Furthermore, the study has crucial practical implications for cryptocurrency firms in promoting this financial technology to users by increasing policymakers’ understanding of how investors think and get inspired to continue investing in cryptocurrencies

Risky? So, why people are getting back to invest in cryptocurrencies? The United Arab Emirates as a case

Purpose: The purpose of this paper is to investigate the determinants of users\u27 intention to continue to invest in cryptocurrencies. The paper also aims to examine the impact of hedonic motivation and the legal environment on perceived value in cryptocurrencies. Design/methodology/approach: A questionnaire was designed to obtain data from 258 respondents in UAE. The Structural Equation Modeling – Partial Least Squares (SEM-PLS) was used to evaluate the research model and test the hypotheses. Findings: The results of smart PLS path analysis showed that perceived value, hedonic motivation, gambling attitude, and price volatility were significant determinants of the continued intention to invest in cryptocurrency. This study also revealed that hedonic motivation enhances perceived value and improves the perception of cryptocurrencies value from user\u27s perspective. Originality/value: This study provides new insights into the literature on cryptocurrencies adoption, and delivers advanced understanding about the determinants of user\u27s intention to continue investing in cryptocurrencies. In addition, the study provides important practical implications for cryptocurrencies companies to promote this financial technology to users by enhancing the knowledge of policy makers about how investors think and get motivated towards a continued investment of cryptocurrencies