Cost and profit efficiency of online banks: Do national commercial banks perform better than private banks?
This study employs the parametric approach, in particular the Stochastic Frontier Approach, to examine the cost and profit efficiency of National Commercial Banks and Private Banks in Bangladesh using stochastic frontier model.The cost inefficiency and profit efficiency are observed slightly higher...
Saved in:
Main Authors: | , , |
---|---|
Format: | Article |
Language: | English |
Published: |
ARRAY Development
2015
|
Subjects: | |
Online Access: | http://repo.uum.edu.my/18673/1/JIBC%20%2020%203%202015%201-19.pdf http://repo.uum.edu.my/18673/ http://www.icommercecentral.com/abstract.php?abstract_id=64359 |
Tags: |
Add Tag
No Tags, Be the first to tag this record!
|
Institution: | Universiti Utara Malaysia |
Language: | English |
id |
my.uum.repo.18673 |
---|---|
record_format |
eprints |
spelling |
my.uum.repo.186732016-09-27T06:32:52Z http://repo.uum.edu.my/18673/ Cost and profit efficiency of online banks: Do national commercial banks perform better than private banks? Baten, Md Azizul Mat Kasim, Maznah Rahman, M. HG Finance This study employs the parametric approach, in particular the Stochastic Frontier Approach, to examine the cost and profit efficiency of National Commercial Banks and Private Banks in Bangladesh using stochastic frontier model.The cost inefficiency and profit efficiency are observed slightly higher for private banks than national commercial banks. The coefficient of advance (0.334) is highly significant at 1% level and the coefficient of off-balance sheet items (0.339) is significant at 5% level.Both results are positive influence to the banks for cost model.The coefficients of Advance, Other earning assets, Off-balance sheet items, Price of fixed assets and Price of labour are recorded highly significant in profit model.The average cost inefficiency and profit efficiency are observed 16.3% and 91% respectively.The lowest cost inefficiency is 5.3% for United Commercial Bank Limited while the highest cost inefficiency is 44.7% for Janata Bank. The lowest profit efficiency is 76.9% for Janata Bank while the highest profit efficiency is 94.9% for Eastern Bank Limited. ARRAY Development 2015 Article PeerReviewed application/pdf en cc_by http://repo.uum.edu.my/18673/1/JIBC%20%2020%203%202015%201-19.pdf Baten, Md Azizul and Mat Kasim, Maznah and Rahman, M. (2015) Cost and profit efficiency of online banks: Do national commercial banks perform better than private banks? Journal of Internet Banking and Commerce, 20 (3). pp. 1-19. ISSN 1204-5357 http://www.icommercecentral.com/abstract.php?abstract_id=64359 |
institution |
Universiti Utara Malaysia |
building |
UUM Library |
collection |
Institutional Repository |
continent |
Asia |
country |
Malaysia |
content_provider |
Universiti Utara Malaysia |
content_source |
UUM Institutionali Repository |
url_provider |
http://repo.uum.edu.my/ |
language |
English |
topic |
HG Finance |
spellingShingle |
HG Finance Baten, Md Azizul Mat Kasim, Maznah Rahman, M. Cost and profit efficiency of online banks: Do national commercial banks perform better than private banks? |
description |
This study employs the parametric approach, in particular the Stochastic Frontier Approach, to examine the cost and profit efficiency of National Commercial Banks and Private Banks in Bangladesh using stochastic frontier model.The cost
inefficiency and profit efficiency are observed slightly higher for private banks than national commercial banks. The coefficient of advance (0.334) is highly significant at 1% level and the coefficient of off-balance sheet items (0.339) is
significant at 5% level.Both results are positive influence to the banks for cost model.The coefficients of Advance, Other earning assets, Off-balance sheet items, Price of fixed assets and Price of labour are recorded highly significant in
profit model.The average cost inefficiency and profit efficiency are observed 16.3% and 91% respectively.The lowest cost inefficiency is 5.3% for United Commercial Bank Limited while the highest cost inefficiency is 44.7% for Janata
Bank. The lowest profit efficiency is 76.9% for Janata Bank while the highest profit efficiency is 94.9% for Eastern Bank Limited. |
format |
Article |
author |
Baten, Md Azizul Mat Kasim, Maznah Rahman, M. |
author_facet |
Baten, Md Azizul Mat Kasim, Maznah Rahman, M. |
author_sort |
Baten, Md Azizul |
title |
Cost and profit efficiency of online banks: Do
national commercial banks perform better than
private banks? |
title_short |
Cost and profit efficiency of online banks: Do
national commercial banks perform better than
private banks? |
title_full |
Cost and profit efficiency of online banks: Do
national commercial banks perform better than
private banks? |
title_fullStr |
Cost and profit efficiency of online banks: Do
national commercial banks perform better than
private banks? |
title_full_unstemmed |
Cost and profit efficiency of online banks: Do
national commercial banks perform better than
private banks? |
title_sort |
cost and profit efficiency of online banks: do
national commercial banks perform better than
private banks? |
publisher |
ARRAY Development |
publishDate |
2015 |
url |
http://repo.uum.edu.my/18673/1/JIBC%20%2020%203%202015%201-19.pdf http://repo.uum.edu.my/18673/ http://www.icommercecentral.com/abstract.php?abstract_id=64359 |
_version_ |
1644282509209370624 |