Savings Determinants of Moroccan banks: A cointegration modeling approach

FERROUHI, El Mehdi and LEHADIRI, Abderrassoul (2014): Savings Determinants of Moroccan banks: A cointegration modeling approach. Published in: International Journal of Innovation and Applied Studies , Vol. 9, No. 2 (1 November 2014): pp. 968-973.

Abstract

The present paper examines the existence or not of long run relationship between bank-specific and macroeconomic variables and savings in Moroccan banks using cointegration approach and aims to identify the determinants of Moroccan banks’ savings. We first use Augmented Dickey Fuller (DICKEY and FULLER, 1979) test and PHILLIPS-PERON (PP) unit root test to test the stationary. As all the variables are integrated of the order 1, we apply JOHANSEN JUSELIUS cointegration test to test the cointagration and to evaluate the existence of long-run relationship between the variables. The presence of cointegration between deposits and others variables provide evidence that these variables share a long-run relationship. Therefore, it concludes that there is a long run equilibrium governing the relationship among the variables.

• Item Type: MPRA Paper
• Language: English
• Keywords: Savings; Moroccan banks; cointegration modeling approach
• Subjects: G - Financial Economics > G1 - General Financial Markets > G17 - Financial Forecasting and Simulation; G - Financial Economics > G2 - Financial Institutions and Services > G21 - Banks ; Depository Institutions ; Micro Finance Institutions ; Mortgages; G - Financial Economics > G3 - Corporate Finance and Governance > G32 - Financing Policy ; Financial Risk and Risk Management ; Capital and Ownership Structure ; Value of Firms ; Goodwill

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