Technical Efficiency of the Banking Sector in Pakistan
نویسندگان
چکیده
This study uses a sample of 30 banks (4 public, 18 local private and 8 foreign banks) and two stage Data Envelopment Analysis (DEA) to provide evidence on the impact of macroeconomic and bank specific factors on banks’ efficiency. We first use DEA to estimate technical and scale efficiency and then Tobit regression approach to find out the impact of several bank-specific and macroeconomic factors. The results indicate that banking efficiency has improved since 2000 and that foreign banks are more efficient than local private and state owned banks; there are technological and total factor productivity growths during 1995 to 2005.
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