Measuring Bank Performance of Nepali Banks: A Data Envelopment Analysis (DEA) Perspective

The aim of this study is to develop a performance model for measuring relative efficiency and potential improvement capabilities of Nepali banks by scrutinizing intermediation aspects. For measuring the efficiency and performance, this paper uses a relatively new frontier approach known as Data Enve...

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Main Authors: Karan Singh Thagunna, Shashank Poudel
Format: Article
Language:English
Published: EconJournals 2013-03-01
Series:International Journal of Economics and Financial Issues
Subjects:
Online Access:https://dergipark.org.tr/tr/pub/ijefi/issue/31956/351878?publisher=http-www-cag-edu-tr-ilhan-ozturk
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author Karan Singh Thagunna
Shashank Poudel
author_facet Karan Singh Thagunna
Shashank Poudel
author_sort Karan Singh Thagunna
collection DOAJ
description The aim of this study is to develop a performance model for measuring relative efficiency and potential improvement capabilities of Nepali banks by scrutinizing intermediation aspects. For measuring the efficiency and performance, this paper uses a relatively new frontier approach known as Data Envelopment Analysis (DEA). The paper uses two basic DEA models to fulfill its objectives. This paper seeks to measure and analyze the efficiency levels of banks in Nepal during 2007-08 to 2010-11. The study reveals that efficiency level is relatively stable and has increased on overall. Additionally, it also breaks down the overall efficiency of banks into technical and scale efficiency. This study found no significant relationship with efficiency level and ownership structure of banks and there were no notable differences in the efficiency levels of banks according to their asset size.
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spelling doaj.art-086b189b083749d19703d880b01f99d52023-02-15T16:13:37ZengEconJournalsInternational Journal of Economics and Financial Issues2146-41382013-03-013154651032Measuring Bank Performance of Nepali Banks: A Data Envelopment Analysis (DEA) PerspectiveKaran Singh ThagunnaShashank PoudelThe aim of this study is to develop a performance model for measuring relative efficiency and potential improvement capabilities of Nepali banks by scrutinizing intermediation aspects. For measuring the efficiency and performance, this paper uses a relatively new frontier approach known as Data Envelopment Analysis (DEA). The paper uses two basic DEA models to fulfill its objectives. This paper seeks to measure and analyze the efficiency levels of banks in Nepal during 2007-08 to 2010-11. The study reveals that efficiency level is relatively stable and has increased on overall. Additionally, it also breaks down the overall efficiency of banks into technical and scale efficiency. This study found no significant relationship with efficiency level and ownership structure of banks and there were no notable differences in the efficiency levels of banks according to their asset size.https://dergipark.org.tr/tr/pub/ijefi/issue/31956/351878?publisher=http-www-cag-edu-tr-ilhan-ozturknepal data envelopment analysis bank performance efficiency technical efficiency scale efficiency
spellingShingle Karan Singh Thagunna
Shashank Poudel
Measuring Bank Performance of Nepali Banks: A Data Envelopment Analysis (DEA) Perspective
International Journal of Economics and Financial Issues
nepal
data envelopment analysis
bank performance
efficiency
technical efficiency
scale efficiency
title Measuring Bank Performance of Nepali Banks: A Data Envelopment Analysis (DEA) Perspective
title_full Measuring Bank Performance of Nepali Banks: A Data Envelopment Analysis (DEA) Perspective
title_fullStr Measuring Bank Performance of Nepali Banks: A Data Envelopment Analysis (DEA) Perspective
title_full_unstemmed Measuring Bank Performance of Nepali Banks: A Data Envelopment Analysis (DEA) Perspective
title_short Measuring Bank Performance of Nepali Banks: A Data Envelopment Analysis (DEA) Perspective
title_sort measuring bank performance of nepali banks a data envelopment analysis dea perspective
topic nepal
data envelopment analysis
bank performance
efficiency
technical efficiency
scale efficiency
url https://dergipark.org.tr/tr/pub/ijefi/issue/31956/351878?publisher=http-www-cag-edu-tr-ilhan-ozturk
work_keys_str_mv AT karansinghthagunna measuringbankperformanceofnepalibanksadataenvelopmentanalysisdeaperspective
AT shashankpoudel measuringbankperformanceofnepalibanksadataenvelopmentanalysisdeaperspective