Relative Efficiency of Malaysian Commercial Banks: A Non-Parametric Approach

This paper investigates the relative efficiency of Malaysian commercial banks for the years of 2005 to 2009. Data Envelopment Analysis is the method used to evaluate efficiency of 20 commercial banks in Malaysia including 9 domestic banks and 11 foreign banks. Based on the definition of input-output...

Full description

Saved in:

Bibliographic Details
Main Author:	Jahd, Raheleh
Format:	Thesis
Language:	eng eng
Published:	2010
Subjects:	HG Finance
Online Access:	https://etd.uum.edu.my/2644/1/Raheleh_Jahd.pdf https://etd.uum.edu.my/2644/2/1.Raheleh_Jahd.pdf
Tags:	Add Tag No Tags, Be the first to tag this record!

id	my-uum-etd.2644
record_format	uketd_dc
spelling	my-uum-etd.26442013-07-24T12:17:04Z Relative Efficiency of Malaysian Commercial Banks: A Non-Parametric Approach 2010-12-27 Jahd, Raheleh Katib, Mohamed Nasser College of Business (COB) College of Business HG Finance This paper investigates the relative efficiency of Malaysian commercial banks for the years of 2005 to 2009. Data Envelopment Analysis is the method used to evaluate efficiency of 20 commercial banks in Malaysia including 9 domestic banks and 11 foreign banks. Based on the definition of input-output, most of the studies related to bank efficiency adopt either production or intermediation approach. However, in this study both approaches have been employed to find how efficiency score change when inputs-outputs are changed. Findings of this paper suggest that in general commercial banks are more efficient via production approach than intermediation approach. This study also compares the efficiency scores between domestic and foreign banks to find differences or similarities of bank performance under different ownership. Evidence is not in favor of domestic banks via production method while it is in favor of domestic banks under intermediation approach. In other words, the empirical results imply that foreign banks in production approach and domestic banks in intermediation approach were more efficient than their counterparts. In the last section, this study examines the efficiency among large, medium and small banks which were categorized by total assets to find the influence of size in commercial banks' performance in Malaysia. Results suggest that size has no significant impact on banks' performance in Malaysia. Although the influence is not substantial, however, the empirical results show that small banks are somewhat more efficient under production method while they are least efficient banks under intermediation approach comparing with large and medium banks. 2010-12 Thesis https://etd.uum.edu.my/2644/ https://etd.uum.edu.my/2644/1/Raheleh_Jahd.pdf application/pdf eng validuser https://etd.uum.edu.my/2644/2/1.Raheleh_Jahd.pdf application/pdf eng public http://lintas.uum.edu.my:8080/elmu/index.jsp?module=webopac-l&action=fullDisplayRetriever.jsp&szMaterialNo=0000770415 masters masters Universiti Utara Malaysia
institution	Universiti Utara Malaysia
collection	UUM ETD
language	eng eng
advisor	Katib, Mohamed Nasser
topic	HG Finance
spellingShingle	HG Finance Jahd, Raheleh Relative Efficiency of Malaysian Commercial Banks: A Non-Parametric Approach
description	This paper investigates the relative efficiency of Malaysian commercial banks for the years of 2005 to 2009. Data Envelopment Analysis is the method used to evaluate efficiency of 20 commercial banks in Malaysia including 9 domestic banks and 11 foreign banks. Based on the definition of input-output, most of the studies related to bank efficiency adopt either production or intermediation approach. However, in this study both approaches have been employed to find how efficiency score change when inputs-outputs are changed. Findings of this paper suggest that in general commercial banks are more efficient via production approach than intermediation approach. This study also compares the efficiency scores between domestic and foreign banks to find differences or similarities of bank performance under different ownership. Evidence is not in favor of domestic banks via production method while it is in favor of domestic banks under intermediation approach. In other words, the empirical results imply that foreign banks in production approach and domestic banks in intermediation approach were more efficient than their counterparts. In the last section, this study examines the efficiency among large, medium and small banks which were categorized by total assets to find the influence of size in commercial banks' performance in Malaysia. Results suggest that size has no significant impact on banks' performance in Malaysia. Although the influence is not substantial, however, the empirical results show that small banks are somewhat more efficient under production method while they are least efficient banks under intermediation approach comparing with large and medium banks.
format	Thesis
qualification_name	masters
qualification_level	Master's degree
author	Jahd, Raheleh
author_facet	Jahd, Raheleh
author_sort	Jahd, Raheleh
title	Relative Efficiency of Malaysian Commercial Banks: A Non-Parametric Approach
title_short	Relative Efficiency of Malaysian Commercial Banks: A Non-Parametric Approach
title_full	Relative Efficiency of Malaysian Commercial Banks: A Non-Parametric Approach
title_fullStr	Relative Efficiency of Malaysian Commercial Banks: A Non-Parametric Approach
title_full_unstemmed	Relative Efficiency of Malaysian Commercial Banks: A Non-Parametric Approach
title_sort	relative efficiency of malaysian commercial banks: a non-parametric approach
granting_institution	Universiti Utara Malaysia
granting_department	College of Business (COB)
publishDate	2010
url	https://etd.uum.edu.my/2644/1/Raheleh_Jahd.pdf https://etd.uum.edu.my/2644/2/1.Raheleh_Jahd.pdf
_version_	1747827395248783360

Relative Efficiency of Malaysian Commercial Banks: A Non-Parametric Approach

Similar Items