Size and Total Factor Productivity Growth in the Malaysian Islamic Banking Industry: a Non-Parametric Malmquist Productivity Index Test

By applying the Malmquist Total Factor Productivity Index V I ) , this paper attempts to provide new empirical evidence on the performance of Malaysian Islamic banks over the period of 2001- 2004. Our results suggest that Malaysian Islamic banks productivity have exhibited an inverted U-shaped b...

Full description

Saved in:
Bibliographic Details
Main Author: Fadzlan Sufian
Format: Article
Language:English
Published: Universiti Sains Islam Malaysia 2012
Subjects:
Online Access:http://ddms.usim.edu.my/handle/123456789/5333
Tags: Add Tag
No Tags, Be the first to tag this record!
id my.usim-5333
record_format dspace
spelling my.usim-53332015-03-02T02:27:18Z Size and Total Factor Productivity Growth in the Malaysian Islamic Banking Industry: a Non-Parametric Malmquist Productivity Index Test Fadzlan Sufian Islamic bank Malaysia Malmquist Total Factor Productivity Index (MPI) By applying the Malmquist Total Factor Productivity Index V I ) , this paper attempts to provide new empirical evidence on the performance of Malaysian Islamic banks over the period of 2001- 2004. Our results suggest that Malaysian Islamic banks productivity have exhibited an inverted U-shaped behaviour during the period of our study. We found that the domestic banks have exhibited higher productivity growth compared to its foreign counterparts. The decomposition of the productivity change index suggests that Malaysian Islamic banks productivity progress was mainly attributable to technological change rather than efficiency change during the early years, while the opposite was true during the latter year. Further decomposition of the efficiency change index into its pure technical and scale efficiency components suggest that, pure technical efficiency has largely resulted in Malaysian Islamic banks efficiency increase. Our results indicate that while the majority of Malaysian Islamic banks experiencing productivity progress due to technological progress came from the medium banks group, on the other hand, the majority of Malaysian Islamic banks that experienced productivity regress due lo technological regress came from the small banks group. 2012-02-21T07:14:55Z 2012-02-21T07:14:55Z 2005 Article 1823075X http://ddms.usim.edu.my/handle/123456789/5333 en Vol 1, No.2 2005; Universiti Sains Islam Malaysia
institution Universiti Sains Islam Malaysia
building USIM Library
collection Institutional Repository
continent Asia
country Malaysia
content_provider Universit Sains Islam i Malaysia
content_source USIM Institutional Repository
url_provider http://ddms.usim.edu.my/
language English
topic Islamic bank
Malaysia
Malmquist Total Factor Productivity Index (MPI)
spellingShingle Islamic bank
Malaysia
Malmquist Total Factor Productivity Index (MPI)
Fadzlan Sufian
Size and Total Factor Productivity Growth in the Malaysian Islamic Banking Industry: a Non-Parametric Malmquist Productivity Index Test
description By applying the Malmquist Total Factor Productivity Index V I ) , this paper attempts to provide new empirical evidence on the performance of Malaysian Islamic banks over the period of 2001- 2004. Our results suggest that Malaysian Islamic banks productivity have exhibited an inverted U-shaped behaviour during the period of our study. We found that the domestic banks have exhibited higher productivity growth compared to its foreign counterparts. The decomposition of the productivity change index suggests that Malaysian Islamic banks productivity progress was mainly attributable to technological change rather than efficiency change during the early years, while the opposite was true during the latter year. Further decomposition of the efficiency change index into its pure technical and scale efficiency components suggest that, pure technical efficiency has largely resulted in Malaysian Islamic banks efficiency increase. Our results indicate that while the majority of Malaysian Islamic banks experiencing productivity progress due to technological progress came from the medium banks group, on the other hand, the majority of Malaysian Islamic banks that experienced productivity regress due lo technological regress came from the small banks group.
format Article
author Fadzlan Sufian
author_facet Fadzlan Sufian
author_sort Fadzlan Sufian
title Size and Total Factor Productivity Growth in the Malaysian Islamic Banking Industry: a Non-Parametric Malmquist Productivity Index Test
title_short Size and Total Factor Productivity Growth in the Malaysian Islamic Banking Industry: a Non-Parametric Malmquist Productivity Index Test
title_full Size and Total Factor Productivity Growth in the Malaysian Islamic Banking Industry: a Non-Parametric Malmquist Productivity Index Test
title_fullStr Size and Total Factor Productivity Growth in the Malaysian Islamic Banking Industry: a Non-Parametric Malmquist Productivity Index Test
title_full_unstemmed Size and Total Factor Productivity Growth in the Malaysian Islamic Banking Industry: a Non-Parametric Malmquist Productivity Index Test
title_sort size and total factor productivity growth in the malaysian islamic banking industry: a non-parametric malmquist productivity index test
publisher Universiti Sains Islam Malaysia
publishDate 2012
url http://ddms.usim.edu.my/handle/123456789/5333
_version_ 1645151646655709184
score 13.211869