Abstract:
This project is specific to banking sector efficiency
following financial sector. Specifically, banking sector
has been chosen from the financial system because o f two
main reasons. First , banking sector covers a significant
part of f inancial system having its influence to allocate
funds amongst private and public sector . Second, banking
industry had undergone immense structural changes after
financial advancement , mergers and acquisition from a
monopolist i c structure i n the pre- reform period .
This project aims to estimate the relative cost efficiency
of Pakistani commercial banks after 2003 . The purpose of
estimating the relative cost efficiencies of banking
industry is to ga i n insights of their relative efficienc ies
by analyzing their balance sheets and income statement
items.
In this project research team estimat ed the cost efficiency
of banking industry. Five scheduled bank were selected in
this project HBL , ABL , BOP NBP and MCB and six year fixed
panel set data. The Regression and correlation coefficient
using Minitab statistical tool were calculated .
