Performance Efficiencies of Domestic and Foreign Islamic Banks in Malaysia

This study examines the performance efficiencies of full-fledged Islamic banks in Malaysia for the period from 2006 to 2011. The Malaysian Islamic banking industry has grown tremendously in terms of assets, deposits and total financing over the study period. Data Envelopment Analysis (DEA) is emp...

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Main Authors: Rossazana, Ab. Rahim, Norlina, Kadri, Farhana, Ismail
Format: Article
Language:English
Published: Institute of Bankers Malaysia 2013
Subjects:
Online Access:http://ir.unimas.my/id/eprint/17953/
http://ir.unimas.my/id/eprint/17953/7/Performance%20Efficiencies%20of%20Domestic%20%28abstract%29.pdf
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author Rossazana, Ab. Rahim
Norlina, Kadri
Farhana, Ismail
author_facet Rossazana, Ab. Rahim
Norlina, Kadri
Farhana, Ismail
author_sort Rossazana, Ab. Rahim
building UNIMAS Institutional Repository
collection Online Access
description This study examines the performance efficiencies of full-fledged Islamic banks in Malaysia for the period from 2006 to 2011. The Malaysian Islamic banking industry has grown tremendously in terms of assets, deposits and total financing over the study period. Data Envelopment Analysis (DEA) is employed in this study to measure the cost efficiency as well as the technical efficiency and its decompositions. The results show that, on average the main contributor of cost efficiency for Islamic domestic and foreign banks in Malaysia is allocative efficiency. In addition, the results find that foreign Islamic banks are more efficient than domestic banks with respect to pure technical efficiency and allocative efficiency.
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spelling unimas-179532017-10-11T01:36:26Z http://ir.unimas.my/id/eprint/17953/ Performance Efficiencies of Domestic and Foreign Islamic Banks in Malaysia Rossazana, Ab. Rahim Norlina, Kadri Farhana, Ismail H Social Sciences (General) HG Finance This study examines the performance efficiencies of full-fledged Islamic banks in Malaysia for the period from 2006 to 2011. The Malaysian Islamic banking industry has grown tremendously in terms of assets, deposits and total financing over the study period. Data Envelopment Analysis (DEA) is employed in this study to measure the cost efficiency as well as the technical efficiency and its decompositions. The results show that, on average the main contributor of cost efficiency for Islamic domestic and foreign banks in Malaysia is allocative efficiency. In addition, the results find that foreign Islamic banks are more efficient than domestic banks with respect to pure technical efficiency and allocative efficiency. Institute of Bankers Malaysia 2013 Article PeerReviewed text en http://ir.unimas.my/id/eprint/17953/7/Performance%20Efficiencies%20of%20Domestic%20%28abstract%29.pdf Rossazana, Ab. Rahim and Norlina, Kadri and Farhana, Ismail (2013) Performance Efficiencies of Domestic and Foreign Islamic Banks in Malaysia. The Journal of the Institute of Bankers Malaysia (141). pp. 28-35. ISSN 0126-9534 https://www.aicb.org.my/thought-leadership/knowledge-library/bankers-journal-malaysia/
spellingShingle H Social Sciences (General)
HG Finance
Rossazana, Ab. Rahim
Norlina, Kadri
Farhana, Ismail
Performance Efficiencies of Domestic and Foreign Islamic Banks in Malaysia
title Performance Efficiencies of Domestic and Foreign Islamic Banks in Malaysia
title_full Performance Efficiencies of Domestic and Foreign Islamic Banks in Malaysia
title_fullStr Performance Efficiencies of Domestic and Foreign Islamic Banks in Malaysia
title_full_unstemmed Performance Efficiencies of Domestic and Foreign Islamic Banks in Malaysia
title_short Performance Efficiencies of Domestic and Foreign Islamic Banks in Malaysia
title_sort performance efficiencies of domestic and foreign islamic banks in malaysia
topic H Social Sciences (General)
HG Finance
url http://ir.unimas.my/id/eprint/17953/
http://ir.unimas.my/id/eprint/17953/
http://ir.unimas.my/id/eprint/17953/7/Performance%20Efficiencies%20of%20Domestic%20%28abstract%29.pdf