Spanish saving banks (2000-2009): efficiency and productivity analysis

The important role played by the savings banks in the Spanish financial system explains the matter of their performance and development levels during 2000-2009. This paper aims to analyse the efficiency and productivity levels of this sector prior to its current restructuring. The methodology used is the nonparametric approach to efficiency frontiers of Data Envelopment Analysis by estimating the Malmquist productivity index. This methodology is used by many researchers to investigate how to measure the enterprises performance. The results show that the sector reaches its optimal performance level with no change in efficiency, but a positive productive deviation due to the technological change. In conclusion, the Spanish saving banks will have to increase their level of productivity focusing their efforts on boosting the efficiency level in order to step up their competitivenes