The Comparative Study Of Efficiency Of Chines E, Greek And Germany Commerical Banks

At present, many countries are reforming the financial system, with commercialbanks developing in a giant, globalization and omnipotent direction. The core issue ofbank reform is efficiency, the efficiency of commercial banking has become the keyissues of China’s banking reform, even in financial reform. In2006, China’s financialmarket were fully open to foreign banks and foreign banks began to enjoy nationaltreatment in China and enter all the banks services which make the competition inChina’s financial markets more intense. Confronted with the new competitive situation,we should develop efficient coping strategies and enhance the core competitiveness ofcommercial banks in order to maintain financial safety and soundness. So it deservescareful studies and should be regarded seriously.In this paper, based on calculation analysis of the three commercial banks’ staticefficiency and dynamic efficiency, the author devote himself to find out the advantagesand disadvantages of the commercial banks in China, explore the major factors ofchanges in total factor productivity in China’s commercial banks and then find out theways to improve the efficiency of Chinese commercial banks.In this paper,22representative banks include China, Greece and Germany are theresearch object. Interest expenses, general with administrative and the owner’s equitywere selected as the input indicators, meanwhile, interest income and operating incomeare the output indicators. The author use input-oriented DEA model to calculate thestatic bank efficiency of the three national commercial banks from2006to2010,decompose technical efficiency into pure technical efficiency and scale efficiency anddivide commercial banks into state-owned banks and joint-stock banks for focuscomparative analysis. The results show that the overall average efficiency of thecommercial banks of the three countries first increased and then decreased from2006to2010, China was the most efficient, Greece higher than in Germany. Germancommercial banks got rapid and stable development started in2008. Overall, theefficiency of state-owned commercial banks in China was higher than the joint-stockcommercial banks, the performance of state-owned banks on the pure technical efficiency was better than joint-stock banks, but there scale efficiency were below thejoint-stock bank’s.The author build malmquist productivity index based on DEA model to analyzeintertemporal dynamic changes of the total factor productivity of the three nationalcommercial banks, and M index is further decomposed into technical efficiency changeand technological progress to deeply analysis the reasons for the differences of them.The analysis indicates that the total factor productivity of the three national commercialbanks were decline from2006to2010. The M index of China’s commercial banksdeclined slightly, mainly due to technical regress, the M index of Greece’s commercialbanks declined caused by the reduction of technical efficiency whereas the reasons forthe decline of the The M index of German’s commercial banks were the technicalregress. The analysis also indicates that China’s state-owned commercial banks totalfactor productivity was higher than the joint-stock commercial banks. technicalefficiency enhancing was a larger contribution than technological progress forstate-owned commercial banks whereas technical efficiency was a larger contributionthan technical efficiency enhancing for joint-stock commercial banks.