Jordan undertook major financial sector liberalization starting in the early 1990s. The effect of this reform on the efficiency of the banking sector is evaluated. The non-parametric method of Data Envelopment Analysis (DEA) has been used to arrive at the efficiency scores for a panel data sample covering eight Jordanian commercial banks over the period 1984 to 2001. The findings suggest that the liberalization program was followed by an observable increase in efficiency. Another finding of the study is that large banks demonstrated the faster productivity growth during the liberalization. The study has important implications such as guiding the government policy regarding deregulation and liberalization.
|Number of pages||36|
|Journal||Savings and Development|
|Publication status||Published - Dec 1 2004|
ASJC Scopus subject areas
- Geography, Planning and Development