Bank x-efficiency in Ukraine: An analysis of service characteristics and ownership

Larissa Kyj and Ihsan Isik

Journal of Economics and Business, 2008, vol. 60, issue 4, pages 369-393

Abstract: This paper investigates managerial and scale x-efficiencies of commercial banks in Ukraine from 1998 to 2003. A large number of banks would suggest competition and efficiency. Ukrainian banks waste half of factor inputs during the production of services by operating off the efficient frontier. Large banks dominate in managerial efficiency; small banks are superior in scale efficiency. Significant numbers of small banks experience increasing returns to scale. Consolidation between small banks may help banks exploit economies of scale and become attractive foreign investment targets. Evidence suggests majority foreign owned joint ventures are optimal formats; banks operating in industrial, politically favored areas outperform others.

Date: 2008

Downloads: (external link)
http://www.sciencedirect.com/science/article/B6V7T ... 35d95d862fe44046b533
Full text for ScienceDirect subscribers only

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: http://EconPapers.repec.org/RePEc:eee:jebusi:v:60:y:2008:i:4:p:369-393

Access Statistics for this article

Journal of Economics and Business is edited by G. P. Szegö

More articles in Journal of Economics and Business from Elsevier
Series data maintained by Heidi Boesdal ().