Economics at your fingertips  

Assessing the productivity growth of Indian banks during the post-deregulation period using non-radial Malmquist productivity index

Rachita Gulati () and Sunil Kumar

International Journal of Operational Research, 2016, vol. 25, issue 2, 169-195

Abstract: By using an unbalanced panel dataset for the period 1991-1992 through 2007-2008 and employing non-radial Malmquist productivity index approach, this paper examines the evolution of total factor productivity (TFP) change in Indian banks, and identifies dominant source of productivity change. The empirical results indicate that TFP in Indian banking industry followed an uptrend during the post-deregulation period, albeit the trend was modest. Further, the observed productivity growth was almost entirely attributable to technological progress. While the public sector banks made steadier progress in productivity, the de novo private banks outperformed their peers. The empirical findings also reflect the enormous relevance of foreign ownership in Indian banking industry since foreign banks have emerged as the leading technological innovators in the banking system.

Keywords: non-radial Malmquist productivity index; total factor productivity growth; technological change; technical efficiency; India; bank productivity; banking industry; post-deregulation; foreign ownership; foreign banks; technological innovation. (search for similar items in EconPapers)
Date: 2016
References: Add references at CitEc
Citations: Track citations by RSS feed

Downloads: (external link) (text/html)
Access to full text is restricted to subscribers.

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:

Access Statistics for this article

More articles in International Journal of Operational Research from Inderscience Enterprises Ltd
Bibliographic data for series maintained by Sarah Parker ().

Page updated 2023-11-11
Handle: RePEc:ids:ijores:v:25:y:2016:i:2:p:169-195