Análise da eficiência do sistema bancário brasileiro - 1994 / 1999: abordagem da fronteira estocástica de custo

Abstract

The purpose for this essay is to look into the Brazilian banking system’s X-efficiency’s properties in the post-Real Plan period by investigating its relationship with each bank’s specific financial and organisational aspects. Furthermore, to analyse their average cost reduction possibilities by contrasting scale economy estimates for different sized banking institutions. For that purpose, a stochastic frontier model was adopted so as to devise a translog cost function for a pool of 59 banks all with R$ 1 billion or more in assets. Evidence shows instability in the sector’s efficiency, stemming mostly from the public state banks’ status, which are the least efficient ones. On the other hand, the two largest federal institutions display efficiency ratings comparable to their private counterparts. However, those controlled by foreign institutions or consortiums boast higher and more stable efficiency rates although when compared to the national private banks only said differences are somewhat reduced. Finally, evidence of unexplored scale economy for companies of all sizes were found, suggesting the possibility of unit cost reductions in the sector.