A COMPARATIVE STUDY OF EFFICIENCY IN CENTRAL AND EASTERN EUROPEAN BANKING SYSTEMS

Year 2012, Volume: 4 Issue: 1, 11 - 20, 01.06.2012

Alina Camelia Şargu Angela Roman

Abstract

The European integration process has had a great impact on the macroeconomic
environment of the new member states, some effects being more visible than
other. In this context it becomes interesting to analyse if the EU ascension has
triggered an increase of the banks efficiency from a series of CEE countries (two
from the first wave and one from the second wave of EU expansion). The
analysed period is between 2003 and 2010, covering the first years after the EU
ascension of these countries. In order to estimate the efficiency of the banks from
our sample we have used a non-parametric technique, namely the Data
Envelopment Analysis. The overall results are suggesting that there is a slight
increase of the banks operating in these countries estimated efficiency between
2007 and 2010.

Keywords

banking sector, Data Envelopment Analysis, Central and Eastern European Countries

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