Determinants of Bank Performance in a Developing Country: Evidence From Morocco
El Mehdi Ferrouhi
Ibn Tofail University
Published 2017-05-31


bank performance
bank-specific variables
macroeconomic variables
Johansen cointegration test

How to Cite

Ferrouhi E. M. (2017) “Determinants of Bank Performance in a Developing Country: Evidence From Morocco”, Organizations and Markets in Emerging Economies, 8(1), pp. 118-129. doi: 10.15388/omee.2017.8.1.14201.


This paper aims to define long-term determinants of Moroccan commercial banks performance, for the period 2005-2015, using the Johansen cointegration test. For this purpose, we use bank performance ratios (ROA, ROE and NIM) as dependent variables, and deposits, liquidity ratios, bank-specific and macroeconomic variables as explicative variables. Results obtained show that long-term performance of Moroccan commercial banks depends on deposits, short-term, long-term and funding liquidity, the size of the bank and its square, internal and external funding, deposits interest rates and foreign direct investments. These results show the significance of bank-specific variables as long-term determinants of the performance of Moroccan commercial banks.


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