Table II

Summary of the variables

Variable short formVariable nameOperationalisation of the variable
LnPTENatural logarithm of pure technical efficiencyEstimation using DEAW
LnSENatural logarithm of scale efficiencyEstimation using DEAW
Dummy IslamicDummy Islamic Banks1 for Islamic banks, 0 for conventional banks
Ln (GDP)Economic growth and developmentNatural logarithm of growth domestic product as released by IMF
Ln (Inf)Inflation indexNatural logarithm of consumer index as released by IMF
Ln (CONC)Market concentrationNatural logarithm of the assets of largest three banks in the industry
Ln (size)Size of the bankTotal assets of the bank
Ln (Cap)Capitalisation of the bankNatural logarithm of capital/the total assets
Ln (ROA)Return of assetsNatural logarithm of profitability of the banks. It is measured as net income/total assets
Ln (CR)Credit riskNatural logarithm of loan/finance loss provision to total loans/finance
Ln (NII)Non-interest incomeNatural logarithm of total of non-interest income
Ln (TL)Total loansNatural logarithm of the total loans for conventional banks and total finance in case of Islamic banks
Ln (LIQ)LiquidityNatural logarithm of Liquid assets/liabilities

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