
Analysis of Bank Efficiency Between Conventional Banks and Regional Development Banks in Indonesia
- Zaenal ABIDIN R.Mahelan PRABANTARIKSO Rhisya Ayu WARDHANI Endri ENDRI
- 한국유통과학회
- The Journal of Asian Finance, Economics and Business(JAFEB)
- Vol. 8 No.1
- 등재여부 : KCI등재
- 2021.01
- 741 - 750 (10 pages)
The research aims to analyze the level of efficiency by grouping banks during the period 2017 - 2018 into category 1 and category 2 banks and then dividing them as Regional Development Banks (BPD) and Non-BPD Conventional Commercial Banks (BUK) within each category. The research objects are banks within the categories BPD and BUK comprised 18 BPDs and 35 BUKs. The research methodology uses 3 stages, first, using Data Envelopment Analysis (DEA) we measure the level of bank efficiency; second, using the Tobit regression model we evaluate the effect of financial performance on DEA efficiency, and third, using the Mann-Whitney test we determine whether there is a difference in the efficiency of category 1 and 2 banks. The results showed that there was a decrease in the efficiency of category 1 and 2 banks but on average, the efficiency of category 1 banks is higher than category 2 banks. The estimation results of the Tobit regression model show that only the ROA variable affects the efficiency level of category 1 banks, while category 2 banks are influenced by NPL and ROA variables. In the Mann-Whitney test, it was proven that there were differences in efficiency between BUK and BPD in category 1 and 2 banks.
1. Introduction
2. Literature Review
3. Research Methodology
4. Results and Discussion
5. Conclusions
References