An Empirical Study Of The Impact Of Liquidity Determinants On Private Banking Investment In Syria

Abstract

The research aimed to measure the impact of liquidity determinants on private banking investment in Syria using standard panel data models, where sample of nine commercial banks listed on the Damascus Securities Exchange was selected during the period from 2010 to 2020. To achieve this goal, data from the banks' financial statements issued by the Damascus Securities Exchange, in addition to data issued by the Central Bank of Syria, were used. The research reached a number of conclusions, the most of which is the presence of a statistically significant positive effect for each of the capital adequacy ratio and the rate of return on assets on banking investment. The effect of the GDP growth rate and inflation rate was significant , while the rate of loan loans granted and the debt ratio did not having a significant effect on banking investment. The random effects model is the most appropriate model for the study among the proposed panel models.