Guidi, Francesco ORCID: 0000-0002-2682-189X (2021) Cost efficiency of commercial banks in South-East Europe: a time-varying approach. [Working Paper] (Unpublished)

PDF (Author's accepted manuscript (AAM)) 34270_GUIDI_Cost_efficiency_of_commercial_banks.pdf - Accepted Version Restricted to Repository staff only Download (579kB) | Request a copy

Abstract

This study examined cost efficiency of commercial banks operating in seven South-Eastern European countries over the period 2003-2012. Using a stochastic frontier approach, this study aimed at investigating how the cost efficiency of banks changes over time during the period under study. The findings of this study show that the average cost efficiency of South-Eastern European banks was 72.9% over the period 2003-2012. Furthermore, when considering the type of ownership, it was found that on average foreign-owned banks were slightly more cost-efficient than domestic-owned banks, with values of 80.3% and 80% respectively. In addition, by measuring banks’ size via assets, it was found that banks’ cost efficiency tends to decline as banks become larger. Finally, the findings of this study show that irrespective to ownership or size, banks’ cost efficiency declined over the period 2003-2012, especially during the 2007-2009 global financial crisis as well as during the 2009-2010 European sovereign debt crisis.

Item Type:	Working Paper
Uncontrolled Keywords:	commercial banks, efficiency, foreign ownership
Subjects:	H Social Sciences > HD Industries. Land use. Labor > HD28 Management. Industrial Management H Social Sciences > HF Commerce > HF5601 Accounting
Faculty / School / Research Centre / Research Group:	Faculty of Business Faculty of Business > Department of International Business & Economics Faculty of Business > Institute of Political Economy, Governance, Finance and Accountability (IPEGFA)
Last Modified:	10 Dec 2021 15:58
URI:	http://gala.gre.ac.uk/id/eprint/34270

Actions (login required)

View Item

Downloads