Assessing The Financial Performance of Islamic Banks (A Case Study of Al Salam Bank Algeria during the period 2018

Abstract

This study aimed to assess the financial performance of Islamic banks in Algeria, and for that, the analytical descriptive approach was relied upon, with the use of a case study tool through the use of financial ratio analysis of the financial statements of the Al Salam Bank Algeria during the period 2018-2022. The study reached several results, as assessing the financial performance of the bank during the period (2018-2022) using financial ratios indicate that the bank experienced peak performance in 2019, followed by challenges in 2020 and 2021. There are signs of recovery and improved efficiency in 2022, although the bank is yet to reach its performance levels of 2019. The increasing reliance on debt financing raises concerns about financial risk, emphasizing the need for careful management of debt and operational efficiency to ensure sustainable growth