Evaluation of the efficiency of banking financial intermediation for the Iraqi banking sector using the DEA model - comparative study between commercial and Islamic banks for the period 2017-2021

Abstract

This research aims to measure and evaluate the efficiency of the Iraqi banking sector and the extent of the efficiency of banks in banking financial intermediation, in order to identify the efficient banks that were able to use the inputs in a way that achieves the largest outputs, in addition to identifying the required treatments that the inefficient banks must use for the purpose of reaching efficiency complete. , the analytical and evaluative approach was used to measure the efficiency of (19) commercial banks and (16) Islamic banks listed on the Iraq Stock Exchange during the period 2017-2021, based on the DEA data envelope analysis model, for input items (deposits, capital) and output ( Loans, investments) included in the search form. The research reached several conclusions, the most important of which are: the absence of significant differences between the efficiency averages of conventional and Islamic banks, it is clear that all banks operate in an economic environment characterized by high risks and suffer from the same problems and surrounding conditions. The results also showed that there were no significant differences in the efficiency averages between the years, whether in conventional or Islamic banks.