MODERN APPROACHES TO ASSESSING FACTORS AFFECTING THE EFFICIENCY OF COMMERCIAL BANKS
Keywords:
Keywords: commercial banks, banking efficiency, efficiency assessment, profitability, ROA, ROE, NIM, DEA, SFA, operational efficiency, digital transformation, risk management, financial stability.Abstract
Abstracts: The efficiency of commercial banks is one of the fundamental indicators determining the stability, competitiveness, and effectiveness of the financial system. In modern conditions, characterized by rapid digital transformation, increasing regulatory requirements, globalization of financial markets, and growing competition from non-bank financial institutions, traditional approaches to evaluating banking performance are no longer sufficient. This article examines modern approaches to assessing factors affecting the efficiency of commercial banks, focusing on financial, operational, technological, managerial, and macroeconomic determinants. The research analyzes theoretical approaches to banking efficiency evaluation and highlights contemporary methods, including financial ratio analysis, Data Envelopment Analysis (DEA), Stochastic Frontier Analysis (SFA), econometric modeling, and integrated efficiency assessment frameworks. The study emphasizes that modern banking efficiency should be evaluated not only through profitability indicators but also through resource utilization effectiveness, risk management quality, digital maturity, corporate governance, and adaptability to market changes. The article concludes that a comprehensive multidimensional approach provides a more accurate understanding of commercial bank efficiency and creates a methodological basis for improving strategic management decisions.
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