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Efficiency in Banking: Empirical Evidence from the Czech Republic

Roman Matoušek and Anita Taci ()

Economic Change and Restructuring, 2005, vol. 37, issue 3, 225-244

Abstract: The paper examines the cost efficiency of the Czech-banking system in the 1990s by applying the distribution free approach model. Reported results indicate that foreign banks were on average more efficient than the other banks, although their efficiency was comparable with the ‘good’ small banks’ efficiency in early years of their operation. Based on the estimated results it is argued that early privatisation of state-owned commercial banks and more liberal policy towards foreign banks in the early stage of transition would have enhanced the efficiency in the banking system. Copyright Springer 2005

Keywords: banks; Czech Republic; efficiency; transition economies; G21; G34; P20 (search for similar items in EconPapers)
Date: 2005
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DOI: 10.1007/s10644-005-5059-4

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