The impact of the exchange rate on the return on total assets, a practical study on a group of Algerian banks

Abstract

The study aims at determining the effect of the change in the dinar exchange rate against the euro on the Return on total assets for a sample of Algerian commercial banks for the period 2011/2016. On the other hand, the study aims at determining the nature of the relationship between the variables through . The study concluded that there is a negative inverse relationship between the exchange rate and the Return on total assets in the long term or what is known as the joint and short integration model or the error correction model. Through two models that are economically, statistically and normally acceptable.