Abstract:The purpose of this paper is to identify the determinants of bank profitability in 13 post-Soviet countries. Within this scope, annual data between 1996 and 2016 is analyzed by using fixed effects panel regression and the Generalized Method of Moments (GMM). It is concluded that loan amount, non-interest income and economic growth are significant indicators of profitability. Moreover, the 2008 global mortgage crisis has a negative influence on bank profitability in post-Soviet countries. According to the estimation results, there is a positive relationship between non-interest income and economic growth with profitability. This result shows that when non-interest income of the banks increases, such as credit card fees and commission, it affects the financial performance of the banks, positively, and contributes to bank profitability. Another result of this study is that economic growth positively influences bank profitability. This result allows us to conclude that higher GDP comes with higher bank profitability for post-Soviet countries. Lastly, there is a negative relationship between loan-to-GDP ratio and profitability of the banks in post-Soviet countries. This means that when the ratio of total loans to GDP increases, it affects financial performance of the banks in a negative way. While considering this result, it is recommended that banks in post-Soviet countries should focus on ways to increase their non-interest income. Additionally, it is also significant for these banks to be careful and risk averse when lending to their customers.

The main purpose of this study is to identify the macroeconomic factors that influence the credit ratings of Turkey. Within this context, 8 different independent variables are used in this study. To achieve this objective, annual data for the periods between 1992 and 2015 is analyzed by using MARS method. It is concluded that there is a positive relationship between current account balance and credit rating of Turkey. In other words, when the ratio of current account deficit/GDP increases, credit rating of Turkey will decrease. It is recommended that Turkey should firstly solve the problem of high current account deficit to have higher credit ratings.

The popularity of Islamic banking is increasing day by day. On the other hand, some people also criticized this system in some aspect. One of the criticism is that profit sharing rates of Islamic banks are similar to interest rate of deposit banks. While considering this issue, this study aims to identify the causality relationship between profit sharing rate and interest rate in Turkey. Within this scope, monthly, quarterly, 6-months and yearly data for the period between 2000 and 2016 was analyzed separately. In addition to this situation, Toda Yamamoto causality analysis was used in this study so as to achieve this objective. According to the results of the analysis, it was determined that there is a significant causality relationship between these rates. In other words, it was concluded that interest rate of the deposit banks is the main indicator of the profit share rate of Islamic banks in Turkey. The main reason behind this situation is that indicators in the market affect both deposit banks and Islamic banks. Therefore, it is inevitable that deposit rates and profit share rates will be similar when deposit banks and Islamic banks perform in the same market.Key words: Islamic Banking, Interest Rate, Turkish Banking Sector, Toda Yamamoto Causality Analysis JEL Codes: C32, E43, G21 Abstrak Kepopuleran perbankan syariah terus mengalami peningkatan dari hari kehari. Disampingitu, ada beberapa orang yang mengkritisi system ini dari beberapa aspek. Salah satunya yaitu mengkritisi masalah bagi hasil dalam perbankan syariah yang mirip dengan bunga deposito. Dalam permasalahan ini, penelitian ini bertujuan untuk mengidentifikasi hubungan sebab akibat antara system bagi hasil dan tingkat bunga di Turki. Dalam lingkup data bulanan, data kuartal, data semester dan tahuan di periode 2000 -2016n telah dianalisis secara terpisah. Tambahan dalam permasalahan ini,

This study aims to investigate the causality relationship between consumer loans and inflation, and consumer loans and current account deficit in Turkey. In this scope, Toda Yamamoto causality test is used for the periods between 1994:1 and 2015:3. According to test results, we found that there is no causal relationship between consumer loans and inflation rate, and consumer loans and current account deficit. In other words, changes in consumer loans do not lead neither high current account deficit rates nor high inflation rates in Turkey. Therefore, limiting consumer loans is not the solution for inflation and current account deficit problems of Turkey and policy makers should apply some other effective policies to solve high CA deficit and high inflation problems.

This study aims to determine the influencing factors of the banks to join corporate social responsibility activities. Within this scope, annual data of 23 deposit banks in Turkey for the periods between 2005 and 2015 was taken into the consideration. In addition to this situation, panel probit model was used in the analysis so as to achieve this objective. According to the results of the analysis, it was determined that there is a negative relationship between CSR activities and nonperforming loans ratio. This situation shows that banks do not prefer to make social responsibility activities in case of higher financial losses. In addition to this situation, it was also identified that there is a positive relationship between return on asset and corporate social responsibility activities of the banks. In other words, it can be understood that Turkish deposit banks, which have higher profitability, joint more CSR activities in comparison with others.