Jadara Journal of Business

Evaluating the Operational Efficiency of Jordan Islamic Bank and Housing Bank -for Trade and Finance Using the ROE model

Ezz Aldin Mohammad Abu Daya, \ — Mon, 01 Sep 2025 00:00:00 +0200

This study aims to evaluate the operational efficiency of both Jordan Islamic Bank and Housing Bank for Trade and Finance using the Return on Equity (ROE) model during the period from 2021 to 2023. The study applied a set of financial analytical tools to assess financial performance, including Return on Assets (ROA), Asset Utilization (AU), Equity Multiplier (EM), and Profit Margin (PM). The findings revealed that Jordan Islamic Bank showed significant improvement in ROE in 2022 before experiencing a slight decline in 2023, while Housing Bank maintained positive stability throughout the period. In terms of Asset Utilization, Jordan Islamic Bank demonstrated gradual improvement, while Housing Bank experienced fluctuations. Regarding Financial Leverage, Jordan Islamic Bank showed a noticeable increase in debt reliance, raising its risk exposure, while Housing Bank maintained financial stability. The study recommends that Jordan Islamic Bank reassess its asset management strategies, while Housing Bank is advised to enhance its growth strategies to maintain financial stability.

The role of artificial intelligence in reducing external audit risks in Jordanian

Ahmad Al-Tarawneh — Mon, 01 Sep 2025 00:00:00 +0200

Abstract

The research aimed to identify the role of artificial intelligence in reducing external audit risks in Jordanian commercial banks. By following the descriptive analytical approach, the primary data was collected through an electronic questionnaire distributed to the research sample consisting of all employees at the upper and middle administrative levels in commercial banks, numbering (183) employees, The research relied on a number of statistical methods through the (SPSS) program, and the research concluded that there is a role for artificial intelligence in all its dimensions in the risks of external auditing. The research recommended the necessity of developing clear policies and comprehensive oversight procedures to deal with artificial intelligence in auditing operations, and it is necessary to develop specialized training programs for auditors to qualify them on how to deal with artificial intelligence techniques and understand their algorithms.

The Impact of the Islamic Financing in Small and Medium Enterprises on Economic Development Indicators

Heba Ahmad Subhi Ayyad, هناء محمد الحنيطي — Mon, 01 Sep 2025 00:00:00 +0200

The study aimed to demonstrate the impact of Islamic banking financing in small and medium enterprises on economic development indicators represented by their dimensions (unemployment, poverty, inflation) in Jordanian Islamic banks during the period (2011-2022). To achieve the objectives of the study, the descriptive analytical approach was followed. The study population consisted of Jordanian Islamic banks, and the sample included all Jordanian Islamic banks representative of the study population. The data necessary to measure the study variables was collected from the annual financial statements issued by the Islamic banks sampled for the study and reports issued by the Central Bank of Jordan and all Jordanian banks. Descriptive statistical methods (arithmetic means, standard deviations, maximum and minimum values) and analytical statistical methods (simple linear regression analysis) available on the E-Views software were used to describe the study variables and test its hypotheses. The study found that there is no impact of Islamic banking financing in small and medium enterprises on economic development indicators represented by their dimensions (unemployment, poverty, inflation) in Jordanian Islamic banks. The study recommended diversifying Jordanian Islamic banks into financing programs and products that suit the nature of small and medium enterprises, and are compatible with the principles of Islamic Sharia, which enhances the ability of these projects to expand, grow, and provide job opportunities, and conduct a continuous evaluation process of the impact and role of its financing operations for small and medium enterprises on economic development indicators, especially unemployment, poverty and inflation, which helps it identify challenges and areas that require improvement, and direct its financing policies towards meeting social and economic needs and achieving its goals.

Keywords: Islamic Banking Financing, Small and Medium Enterprises, Unemployment, Poverty, Inflation, Jordanian Islamic Banks.

The Impact of Digitalization on Reducing Fraud in Jordanian Commercial Banks

Lubna Faleh Hamad Al-Rahimi — Mon, 01 Sep 2025 00:00:00 +0200

This study aimed to identify the impact of digitization in its dimensions (monitoring and detection, machine learning, biometric authentication, secure payment system, and secure document verification) in reducing fraud in Jordanian commercial banks. To achieve the objectives of the study, the descriptive analytical approach was used, as the study community consisted of Jordanian commercial banks, which number (12) banks. The study sample included accounting department managers, accountants, and financial programmers; (192) questionnaires were distributed to the participants and (151) questionnaires were retrieved, all of which were valid for statistical analysis. The SPSS software was used to analyze the data. The results showed that there is a statistically significant effect of digitization in its dimensions (monitoring and detection, machine learning, biometric authentication, secure payment system, and secure document verification) in reducing fraud in Jordanian commercial banks, and that there is an increase in the level of digitization application as well as reducing fraud in Jordanian commercial banks. The study recommended the need to increase human capital because it is an urgent necessity to enhance digitization development efforts in financial institutions. Regardless of advanced technologies, human competencies remain the basic element in achieving success in this field.

The impact of digitalization risk on non-financial performance at Jordanian Banks

Hamza majed mahmou d quisim — Mon, 01 Sep 2025 00:00:00 +0200

The study aimed to demonstrate the impact of digitization risks represented by its dimensions (cyber attacks, cloud risks) on non-financial performance represented by its dimensions (learning and growth, customer satisfaction) in Jordanian banks. To achieve the study objectives, the descriptive analytical approach was used, as the study community consisted of all Jordanian commercial banks, numbering (12) commercial banks. The study sample consisted of accounting department managers, accountants, and financial programmers. (120) questionnaires were distributed to the study sample and (102) questionnaires were retrieved, all of which were valid for applying statistical analysis. The data were analyzed on the (SPSS) software. The most important results reached were that there is a statistically significant impact of digitization risks in its dimensions (cyber attacks risks, cloud risks) on non-financial performance in its dimensions (growth and development, customer satisfaction) in Jordanian commercial banks. The most important recommendations were the need to enhance banks' investments in cybersecurity systems, as it has become an urgent necessity to protect data and information from the increasing risks of manipulation and breaches, as these investments contribute to In improving the level of digital security and enhancing confidence in the credibility and accuracy of information content available to customers and thus reducing digitization risks

The Impact of E-Auditing on the Quality of Auditor's Reports in Jordanian Telecommunications Companies.

إيمان النمر — Mon, 01 Sep 2025 00:00:00 +0200

Abstract

The study aimed to identify the impact of electronic auditing on the quality of the auditor's report in honest representation and relevance in Jordanian companies that provide telecommunications services, using the descriptive analytical approach. The study population consisted of lead auditors, audit managers, and auditors working in the Big4 audit firms that audit Jordanian companies providing fixed and mobile telecommunications services in Jordan (Zain, Umniah, and Orange). The sample included (90) auditors who were selected using a simple random method. The study used a questionnaire to collect primary data from the study sample members, and also used descriptive and inferential statistical methods available on the statistical program (SPSS) to analyze the data and test the hypotheses. The study concluded that electronic auditing has a positive impact on the quality of the auditor's report in Jordanian companies providing telecommunications services. The study recommended that Jordanian telecommunications continue to document financial operations and information digitally and use predictive analysis systems and techniques, which help auditors track operations, analyze data accurately, and monitor and detect financial risks before they occur, thus increasing honest representation and relevance in their reports.

أثر تأكيدات الأمن السيبراني في جودة التدقيق الداخلي في شركات التكنولوجيا المالية في الأردن

Hisham Muhammad Ahmad Al-Shayeb, علاء جبر قاسم المطارنة — Mon, 01 Sep 2025 00:00:00 +0200

This study aimed to identify the impact of cybersecurity assurances in its dimensions (data security, system security, network security, operational security, and physical security) on the quality of internal auditing in FinTech companies in Jordan. To achieve the objectives of the study, the descriptive analytical approach was used, where the study population consists of financial technology companies known as FinTech operating in Jordan in accordance with the instructions of the Central Bank, and their number is (18) companies. A comprehensive survey strategy was followed in determining the sample for the study. The study sample is all financial technology companies in Jordan, and the sampling unit is in The study was conducted by employees of the Internal Audit Department, the Financial Department, and the Information Technology Department working in financial technology companies (FinTech) operating in Jordan. (115) electronic questionnaires were distributed to members of the study sample by sending the link via social media, and the number of questionnaires recovered was (107) A questionnaire suitable for statistical analysis, and the most important results reached were the presence of a statistically significant effect of cybersecurity assurances in its dimensions (data security, system security, network security, operational security, physical security) on the quality of internal auditing in Jordanian financial technology companies. The study recommended increasing investment by Jordanian financial technology companies in the technological infrastructure (physical security) to support cybersecurity and provide and develop the necessary infrastructure to improve their efficiency and reduce penetrations, and provide continuous training to employees about cybersecurity risks and how to recognize and deal with cyberattacks.

The effect of financial technology investment on financial performance of Islamic banks in Jordan

محمد احمد سليم الطقاطقة, زياد محمد عبيدات — Mon, 01 Sep 2025 00:00:00 +0200

The study aimed to examine the of investment in financial technology, represented by its dimensions (investment in ATMs, investment in software and systems, and investment in credit cards), on financial performance, represented by (return on assets and return on equity), in the Jordanian banking sector. To achieve the study's objectives, the descriptive-analytical approach was utilized. The study population consisted of the Jordanian banking sector, while the sample included three Jordanian Islamic

The main findings revealed a significant and positive impact of financial technology, through its dimensions (investment in ATMs, investment in credit cards, and investment in software and systems), on financial performance dimensions (return on assets and return on equity) in Jordanian Islamic banks.

The study recommended encouraging Jordanian Islamic banks to establish partnerships with financial technology companies to develop innovative solutions, such as digital payment applications and mobile banking services. It also suggested adopting strategies to enhance digital transformation by developing digital banking platforms that meet customer needs and implementing artificial intelligence technologies to improve financial performance.

The Impact of Sharia Compliance on Banking Reputation Risks: An applied Study on Jordanian Islamic Banks

عبد الرحمن عثمان محمود, ياسر عبدالكريم الحوراني — Mon, 01 Sep 2025 00:00:00 +0200

Abstract

The study aimed to examine the impact of Sharia compliance with its dimensions (Sharia supervision, internal Sharia auditing, and work environment) on reputational risk in Jordanian Islamic banks.
To achieve its objectives, the study adopted an analytical descriptive approach. The study population comprised the Jordanian banking sector, with the sample consisting of (3) Jordanian Islamic banks. Statistical and inferential analyses were conducted using SPSS software.
The results revealed a statistically significant positive effect of Sharia compliance across its dimensions (Sharia compliance, Sharia supervision, and work environment (on mitigating reputational risk in Jordanian Islamic banks. The study recommended enhancing Sharia auditing processes by adopting modern technologies (e.g., artificial intelligence) to analyze financial transactions and detect Sharia violations. It also emphasized training auditors on the latest fatwas (Islamic rulings) and updates in Sharia standards.

The Impact of Financial Technology on Banking Services Quality at Jordanian Islamic Banks

Khalid Nasser Abdulkarim Khawaldeh — Mon, 01 Sep 2025 00:00:00 +0200

Abstract

The study aimed to examine the impact of financial technology on the quality of banking services in Jordanian Islamic banks. To achieve its objectives, the study adopted a descriptive-analytical approach, with the study population consisting of the Jordanian banking sector. The sample included Jordanian Islamic banks, totaling three banks. The study applied statistical and inferential methods using SPSS software.

Among the key findings was that financial technology has a significant and positive impact on the quality of banking services in Jordanian Islamic banks. The study recommended streamlining administrative and legal procedures related to financial technology and integrating it into various transactions of Islamic banks.