State-owned Chinese banks face low efficiency during financial crises, future uncertain.
The article examines the efficiency of Chinese state-owned commercial banks from 1994 to 2001 using a method called Input-Orientated DEA. It breaks down efficiency into technical and scale components, identifies efficient and inefficient banks, and looks at overall trends. The study shows that during the Asian finance crisis, the technical efficiency of these banks was very low. It also predicts future trends and analyzes the reasons behind the findings.