The Effect of Liquidity Risk on the Capital Adequacy of Syrian Islamic Banks

Abstract

The study aimed to identify the effect of liquidity risk on the capital adequacy of Syrian Islamic banks in the short term, represented by Al Baraka Bank, Al-Cham Bank, and Syria International Islamic Bank for the annual period extending from (2010-2022),where the descriptive and quantitative approaches were used in the study of the phenomenon under investigation, and for the purpose of the analysis it was Using the Eviews12 program to study the effect of the independent variable (liquidity risk) on the dependent variable (capital adequacy), based on Data Panel models, where the results showed that there was no significant, statistically significant effect of liquidity risk on the capital adequacy of the banks studied. At the individual bank level, there was a statistically significant effect of liquidity risk on adequacy.