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Banks' Types of Ownership and Efficiency: Evidence from Indonesia

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Author Info
Rasyad A. Parinduri () (Nottingham University Business School - Malaysia Campus)
Yohanes E. Riyanto () (Department of Economics, National University of Singapore)

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Abstract

We examine the relationship between banks' types of ownership and banks' efficiency using Greene's "true" panel data stochastic frontier model. We find that, even after taking unobserved heterogeneity more properly into account, state-owned banks in Indonesia are the least efficient banks and joint-venture banks are the most efficient ones.

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Publisher Info
Paper provided by Nottingham University Business School Malaysia Campus in its series NUBS Malaysia Campus Research Paper Series with number 2009-04.

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Date of creation: Apr 2009
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Handle: RePEc:nom:nubsmc:2009-04

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Related research
Keywords: Banking; Ownership types; Efficiency; Stochastic frontier;

Find related papers by JEL classification:
C23 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Models with Panel Data
G21 - Financial Economics - - Financial Institutions and Services - - - Banks; Other Depository Institutions; Mortgages

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This page was last updated on 2009-12-5.

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