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Efficiency of the Brazilian Banking System in 2014: A DEA-SBM Analysis

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Listed:
  • Adriel Martins de Freitas Branco
  • Alexandre Pereira Salgado Junior
  • Patrícia Benites Cava
  • Eduardo Falsarella Junior
  • Marco Antônio Alves de Souza Junior

Abstract

This study used the DEA-SBM technique to evaluate the efficiency of Brazilian banks in 2014 from the perspective of the three most recurring approaches in this evaluation type: intermediation, production, and profitability. The efficiency scores were evaluated by quintile and the Mann-Whitney test according to (1) capital origin; (2) public vs. private; (3) size; (4) operating segment (5) ratings. The analysis led to ten conclusions and demonstrated that federal public capital banks, micro-sized banks, the banks of the Retail segment (except for the intermediation approach) and AAA-rating banks were the most efficient institutions.JEL classification numbers: E5Keywords: DEA, Bank Efficiency, Brazilian banking system.

Suggested Citation

  • Adriel Martins de Freitas Branco & Alexandre Pereira Salgado Junior & Patrícia Benites Cava & Eduardo Falsarella Junior & Marco Antônio Alves de Souza Junior, 2017. "Efficiency of the Brazilian Banking System in 2014: A DEA-SBM Analysis," Journal of Applied Finance & Banking, SCIENPRESS Ltd, vol. 7(5), pages 1-2.
    • Handle: RePEc:spt:apfiba:v:7:y:2017:i:5:f:7_5_2
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    References listed on IDEAS

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