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Exploring convergence in the banking sector: reinforcing trends in China and India

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  • Elisabeth Paulet
  • Francesc Relano

Abstract

This article explores the convergence hypothesis in the Chinese and Indian banking sectors following the reforms of their financial systems. Using data envelopment analysis (DEA) techniques to estimate banking efficiency, the main question examined throughout this study is whether this quest for higher performance through liberalisation has also entailed a convergence in banking practices. The results show that this is indeed the case. Rather than finding a specific way of inserting their banking models on the global stage, China and India have been progressively adopting international standards, resulting in a mounting homogeneity in banking business practices.

Suggested Citation

  • Elisabeth Paulet & Francesc Relano, 2019. "Exploring convergence in the banking sector: reinforcing trends in China and India," Post-Communist Economies, Taylor & Francis Journals, vol. 31(6), pages 725-749, November.
    • Handle: RePEc:taf:pocoec:v:31:y:2019:i:6:p:725-749
    DOI: 10.1080/14631377.2019.1607438
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