The efficiency of the Mexican development banks: deterministic and stochastic measurements

Abstract

We measure the efficiency and productivity of the Mexican development banks during the 2011-2017 period. The measurements are estimated using Data-Envelopment-Analysis (DEA) and Stochastic-Frontier-Analysis (SFA) techniques and the Malmquist Productivity Index (MPI). The measurements show that, under the theoretical intermediation approach, Banobras and Nafin are the most efficient banks. However, under the theoretical production approach, the most efficient bank is SHF. The measurements are consistent, independently, of the measuring technique used.