Analyzing the Financial Trends of Islamic and Non Islamic Emerging Markets of South Asia

Abstract

The aim of the study is to explore the trends of organizations performance of Islamic and Non-Islamic South Asian countries. Out of 8 south Asian countries, 4 were selected those play a vital role in economic development of south Asia. Pakistan and Bangladesh were taken as Islamic ruling countries, whereas, India and Sri Lanka were taken as non-Islamic countries. 10 years of data before COVID-19 pandemic from organizations listed in stock markets were gathered on annual basis. Efficiency and profitability ratios were taken as variables. Augmented dickey fuller unit root test was used to interpret the stationary in data. Data was found volatile in South Asian countries organization in terms of efficiency and profitability ratios. Results revealed that purchasing power among people of South Asia increased in terms of buying commodities as the stationarity in stock inventory did not investigate and it inclined with consistent growth gradually. Future studies are possible with a different methodology (graphical representation and other associations) and contexts (other than South Asia) with induction of sample size.