Analysis of Banking Efficiency in Indonesia (Case Study in General Banks of Business Activities Level 2 Go Public)

EasyChair Preprint 2405

Abstract

This efficiency is calculation of the ratio between input and output variables. This research is using non-parametric Data Envelopment Analysis (DEA) for General Banks of Business Activities (BUKU) level two banks which registered at IDX with period of analysis in 2014- 2018. To analyze its efficiency by using intermediary approach, there are two variables which consist of input variables i.e. labor cost, third party funds and fixed asset, and the output variables i.e. total financing, operating income and current assets. The sample analysis are taken from all population banks in BUKU II that already Go Public, which consist of two sharia banks, and sixteen conventional banks (four foreign banks, one state-owned bank and eleven national private banks). The result of this study shown that foreign bank and national private bank had consistency and better level of efficiency compared other bank during 2014-2018. Shariah bank was able to achieved the best level of efficiency (Bank BTPN Syariah in 2018). Most of foreign bank were able to achieved level of efficiency (Bank Woori Saudara in 2014 & 2018, Bank QNB Indonesia in 2015 & 2018, Bank of India in 2014, 2015 & 2016). In national private bank, there were only four bank that able to achieved, which were Bank Ina Perdana (2014, 2015, 2016 & 2017) Bank Victoria (2017 & 2018), Bank Nationalnobu (2014) and Bank Sinarmas (2016). There was no state-owned bank, in this achieved level of efficiency

Keyphrases: Banking Efficiency, Data Envelopment Analysis, Go Public, Intermediary Approach

@booklet{EasyChair:2405,
  author    = {Ferry Ardiansyah and Hermanto Siregar and Dedi Budiman Hakim and Mulya E Siregar},
  title     = {Analysis of Banking Efficiency in Indonesia (Case Study in General Banks of Business Activities Level 2 Go Public)},
  howpublished = {EasyChair Preprint 2405},
  year      = {EasyChair, 2020}}