Staff expenses are the largest single component of most banks' operating expenses and provide a good indication of the efficiency of each bank's business model. The Banker has tracked down the countries with the lowest and highest staff costs to discover where the most and least productive bankers are based.
In response to the suggestion – put forward by bankers and central bankers in the UK – that a temporary cut in capital adequacy requirements would stimulate new lending and economic growth, The Banker has simulated how a 1% lower Basel requirement might affect various major world economies.
Several emerging markets with large Muslim populations combine low bank penetration and a high return on assets with a relatively small market share for Islamic banking, and thus provide further opportunities for growth in the Islamic finance sector.