Thesis (PhD) - Cyprus International University. Institute of Graduate Studies and Research Business Administration Department

Includes bibliography (sheets 138-151)

ABSTRACT
This study examined the macroeconomic variables' impact on the Sustainable profitability of commercial Banks in Morocco. The three profitability indicators (ROA, ROE, and NIM) were utilized as the dependent variable in this study, while consumer price index (CPI), GDP, total government debt (TGD), total revenue (TR), and total government expenditure (TGE) were macroeconomic variables employed as independent variables. Annual data covering the period from 2004 to 2018 was utilized and sourced from the Federal Reserve Bank of St. Louis. The ARDL Bound testing approach was employed to investigate the cointegration, as well as, the relationship between the independent variable and the dependent variable over short and long periods of time. Our finding reveals that GDP and TGD were found to have a long-run causal relationship with ROA; GDP, TGD, and TR influences ROE in the long-run; while, CPI, TGD, TR, and TGE Establish a long term causal relationship to NIM. As for the short term causal relationship, CPI, TGD, TR shows the influence on ROA in the short-run; the influence of CPI, TGD, TR, and TGE was found on the ROE in the short-run; while, CPI, GDP, TGD, and TR had a short-run causal influence on NIM. Meanwhile, our research also found that Three of these profitability is closely related in the long term indicators Variables which are significantly correlated with them in the long term. Accordingly, the model can converge back to equilibrium in case of any shock to the system. Conclusively, the study suggests some implications for the policymakers.