The Efficiency and Risk in Chinese Banking Sector

Efficiency and risk are two principal themes in banking sector. The purpose of this paper is to analysis the relationship between risk and efficiency as well as the efficiency performance of Chinese commercial banks. Based on this purpose, we estimate 51 Chinese commercial banks’ efficiency performa...

Full description

Bibliographic Details
Main Author: Gao, Qianhe
Format: Dissertation (University of Nottingham only)
Language:English
Published: 2016
Online Access:https://eprints.nottingham.ac.uk/37263/
_version_ 1848795422698504192
author Gao, Qianhe
author_facet Gao, Qianhe
author_sort Gao, Qianhe
building Nottingham Research Data Repository
collection Online Access
description Efficiency and risk are two principal themes in banking sector. The purpose of this paper is to analysis the relationship between risk and efficiency as well as the efficiency performance of Chinese commercial banks. Based on this purpose, we estimate 51 Chinese commercial banks’ efficiency performance during 2010 – 2015 with Stochastic Frontier Analysis method. Besides, under a one-step approach, we discuss risk control variables’ influence on the inefficiency effects. According to the empirical analysis, we find that risk-averse banks and banks with less operational risk are more efficient than other banks, and the scale of bank is positive related to bank’s efficiency performance. Besides, thank to domestic advantage, domestic banks, especially Large Commercial Banks are found to be more efficient than foreign banks. In addition, listed banks are significantly more efficient than unlisted banks, which confirms the “Selection Effect”.
first_indexed 2025-11-14T19:31:50Z
format Dissertation (University of Nottingham only)
id nottingham-37263
institution University of Nottingham Malaysia Campus
institution_category Local University
language English
last_indexed 2025-11-14T19:31:50Z
publishDate 2016
recordtype eprints
repository_type Digital Repository
spelling nottingham-372632017-10-19T17:09:46Z https://eprints.nottingham.ac.uk/37263/ The Efficiency and Risk in Chinese Banking Sector Gao, Qianhe Efficiency and risk are two principal themes in banking sector. The purpose of this paper is to analysis the relationship between risk and efficiency as well as the efficiency performance of Chinese commercial banks. Based on this purpose, we estimate 51 Chinese commercial banks’ efficiency performance during 2010 – 2015 with Stochastic Frontier Analysis method. Besides, under a one-step approach, we discuss risk control variables’ influence on the inefficiency effects. According to the empirical analysis, we find that risk-averse banks and banks with less operational risk are more efficient than other banks, and the scale of bank is positive related to bank’s efficiency performance. Besides, thank to domestic advantage, domestic banks, especially Large Commercial Banks are found to be more efficient than foreign banks. In addition, listed banks are significantly more efficient than unlisted banks, which confirms the “Selection Effect”. 2016-09-29 Dissertation (University of Nottingham only) NonPeerReviewed application/pdf en https://eprints.nottingham.ac.uk/37263/1/The%20Efficiency%20and%20Risk%20in%20Chinese%20Banking%20Sector.pdf Gao, Qianhe (2016) The Efficiency and Risk in Chinese Banking Sector. [Dissertation (University of Nottingham only)]
spellingShingle Gao, Qianhe
The Efficiency and Risk in Chinese Banking Sector
title The Efficiency and Risk in Chinese Banking Sector
title_full The Efficiency and Risk in Chinese Banking Sector
title_fullStr The Efficiency and Risk in Chinese Banking Sector
title_full_unstemmed The Efficiency and Risk in Chinese Banking Sector
title_short The Efficiency and Risk in Chinese Banking Sector
title_sort efficiency and risk in chinese banking sector
url https://eprints.nottingham.ac.uk/37263/