LIQUIDITY RISK MANAGEMENT: A COMPARATIVE ANALYSIS BETWEEN ISLAMIC AND CONVENTIONAL BANKING IN MALAYSIA

Abstract

This research proposal focused on conventional and Islamic banking continued its activities in Malaysia, what are the bank-specific factors that affect liquidity risk management between conventional and Islamic banks.  For this purpose that the researcher will be adopted a quantitative research methodology. And this research proposal will collect the second data from bursa Malaysia.com or the company’s website to get the annual report. The annual report of conventional and Islamic banks for the financial year 2014 to 2018. In the scope of the analysis, a total of 20 banks (10 conventional and 10  Islamic banks were used by using convenience sampling. Moreover, liquidity risk management is measured by Liquid assets over total assets, while the bank-specific factors include Bank Size, Profitability, and Deposits. The research proposal will adopt IBM SPSS software as the tool to conduct the analysis between the variables.