Banks’ Profitability Under Democratic & Dictatorship Regime: Evidence from Pakistan


  • Muhammad AsadUllah Institute of Business Management



Democracy, Dictatorship, Banking System, Profitability


The aim of the study is to find out the determinants of profitability of Pakistan Banking System under democratic and dictatorship regime, i.e. 2006-2008 and 2009-2011 respectively. The authors were taken macroeconomic variables, i.e. GDP, Inflation and Interest Rate and bank-specific variables, i.e. Liquidity, size and capital adequacy as independent variables whereas Return on Asset as the dependent variable. By employing panel regression, the authors found that size has a significant negative relationship with profitability under both regimes. Interest and Liquidity had a positive significant relationship during democratic tenure. However, liquidity had significantly negative relationship between dictatorship duration. The findings will be helpful for the banking sector to make their policies accordingly.


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Author Biography

Muhammad AsadUllah, Institute of Business Management

Corresponding Author



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How to Cite

AsadUllah, M. (2019). Banks’ Profitability Under Democratic & Dictatorship Regime: Evidence from Pakistan. International Conference on Advances in Business and Law (ICABL), 2(1), 1-9.