The impact of Current Account and Savings Account (CASA) on Banks' Profitability: Commercial Banks in Bahrain

This study examines the impact of current and savings accounts on the profitability of Bahrain commercial banks. One of the most critical measures of a bank's sustainability and financial health is its profitability (Central Bank of Bahrain | Home, n.d.). The current and savings accounts are two crucial parts of a bank's deposit base. For effective operation and decision-making, it is crucial to comprehend how these two accounts affect profitability. The research utilizes quantitative analysis, employing financial data from Bahrain commercial banks over a period of eleven years from 2012 to 2022. The performance of the banks is evaluated using two kinds of profitability metrics, including return on equity (ROE) and return on assets (ROA). The research also considers other pertinent variables, such as time deposits, nonperforming loans, and net interest margin to give a thorough analysis. The study's conclusions add to the body of knowledge by clarifying how bank profitability in Bahrain is correlated with current accounts and savings accounts. The findings will aid in the understanding of the variables influencing profitability and the capability of bank managers, legislators, and investors to make effective choices.