Performance Evaluation of Vietnamese Commercial Banks Using DEA Models

• Main Authors: VI, HAI-THU, 韋 海 舒
• Other Authors: WANG, CHIA-NAN
• Format: Others
• Language: en_US
• Published: 2018
• Online Access: http://ndltd.ncl.edu.tw/handle/5fr54z

碩士 === 國立高雄應用科技大學 === 工業工程與管理系 === 106 === Banking is an important intermediary financial institution that functions as a capital flow in the economy. An effective bank will contribute to the growth of the economy and increase competitiveness, especially in the context of Vietnamese financial market is under great pressure from the integration process now. It is necessary for Vietnamese banking sector concentrating resources to improve performance and competitiveness, so evaluating performance of banks is initial important step. With the purpose of measuring the efficiency of Vietnamese commercial banks, a research with the sample of 17 Vietnamese commercial banks during the time period of 7 years from 2010 to 2016 was conducted. Three different models of DEA were applied in this study to measure the efficiency: (1) CCR model; (2) BCC model and (3) Window DEA model. The results of these three models are relatively similar. In overall, the results of three different models are satisfactory as they showed the relative results and reflected the actual performance of banks as well as the fluctuations in efficiency under the impact of influencing factors. According to the results obtained from Vietnamese commercial bank efficiency, it can be concluded that average efficiency level of 17 joint stock commercial banks in Vietnam is quite high and the Scheme of restructuring banking system for the period 2011-2015 has had a positive effect on bank efficiency. Besides, there is no strong proof from this research indicating that large banks are more efficiency than medium size banks. Results of this study also showed some degree of inefficiency. This research provides an empirical result for bank managers and State managers on the performance of commercial banks in Vietnam.