An examination of the banking efficiency of the BRICS countries: A perspective derived from the oil price volatility

Ammar Jreisat, Mustafa Raza Rabbani, Sara Omran, Somar Al-Mohamad and Walid Bakry ()

Cogent Economics & Finance, 2022, vol. 10, issue 1, 2142315

Abstract: This study examines the influence of Oil Price Volatility on Banks efficiency within the BRICS countries (Brazil, Russia, India, China, and South Africa) noting the importance of the banking sector efficiency as a tool to ensure financial stability in the region. Being able to measure efficiency levels in banks determines how successful a bank is in managing its operations and achieving its goals. A sample data of 112 banks was selected using the Bank Scope database over the time interval 2003 to 2018 to inspect banking sector relative efficiency following a non-parametric methodology known as Data Envelopment Analysis (DEA). The paper applies a two-stage model to process the empirical results consisting in using the Data Envelopment Analysis (DEA) to identify the scores of banks efficiency at a first stage (Stage 1) and determining how volatility in Oil price has impact on these scores of efficiencies on a second stage (Stage 2). Findings of the study indicate that the Chinese banking system shows the highest efficiency (90%), followed by the South Africa (87%), followed by the Brazilian and Indian banking system with efficiency level of (77%), the Russian bank industry revealed the lowest efficient banking system with level of efficiency (50%).

Date: 2022
References: Add references at CitEc
Citations:

Downloads: (external link)
http://hdl.handle.net/10.1080/23322039.2022.2142315 (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: https://EconPapers.repec.org/RePEc:taf:oaefxx:v:10:y:2022:i:1:p:2142315

Ordering information: This journal article can be ordered from
http://www.tandfonline.com/pricing/journal/OAEF20

DOI: 10.1080/23322039.2022.2142315

Access Statistics for this article

Cogent Economics & Finance is currently edited by Steve Cook, Caroline Elliott, David McMillan, Duncan Watson and Xibin Zhang

More articles in Cogent Economics & Finance from Taylor & Francis Journals
Bibliographic data for series maintained by Chris Longhurst ().