Performance of Non conventional Banks in Comparison with Conventional Banks in Yemen

Abstract

The present research is carried out on the topic titled performance of non-conventional banks in comparison with conventional banks in Yemen . Banking industry represents the backbone of today economy. It plays very important role in the financial market. newlineThe objective of this research is to examine the performance of non-conventional banks in comparison with conventional banks in Yemen. The relationship between conventional banks and nonconventional banks as well as the similarities and dissimilarities between these two different types of banks in this region have also been studied in this research. The researcher has conducted a comparative analysis of performance of nonconventional banks with reference to their counterparts in conventional banks. newlineThe banks should follow the policy of increasing supply of credit to the priority sector and to the weaker sections of the society. Indeed those sections are the most sections affected and exploited by banks in the society. newlineThis thesis argues that fiction produced particularly in the Middle East and generally in different parts of the world which was a consequence of the frequent financial crisis that shape the need to find an alternative financial system to the current financial system that has been established based on interest, this system is called interest based system as it relies on those returns, yields, revenues or profits which represent the extra money that you must pay back when you borrow money from the bank or any financial institution which is charged for borrowing money or return for lending it. Thesis begins with the historical frame work of the multiple financial crisis that frequently occurred from time to time. The thesis starts within the historical framework of the multiple financial crises that occurred in the late century. Many crises took place during the mentioned period, appearing seemingly out of nowhere and creating a climate of financial meltdown, a situation in which prices fall by a very large amount or an industry and economic situati