Evaluation of the performance of commercial banks in the Iraqi stock market using data envelope analysis

Abstract

This study aimed to evaluate the performance of banks listed on the Baghdad Stock Exchange (Iraq) by measuring efficiency using the paint analysis technique. This research is applied in terms of purpose and in terms of nature, it is analytical descriptive research. The statistical segment of the study consisted of commercial banks in the Iraqi stock market between 2015 and 2021, 11 of which were selected as a sample. The ratio of current debt to own value (CDOE) and the ratio of current debt to employee expenditure (CDNS) were considered as input variables and return on equity (ROE) and total asset turnover (TTA) were considered as output variables. The results showed that among the 11 selected banks, only two development banks operate in the Tigris and Euphrates rivers and the Erbil Bank with relative efficiency, and the rest of the studied banks do not work. The results also showed that after Erbil Bank and Tigris and Furat Bank for Development, which ranked 1 and 2 of the most efficient commercial banks, Al-Mansour Bank, Assyrian International Investor Bank, and Regional Commercial Investment Bank ranked 3 to 5, respectively. The results also showed that the Commercial Bank of Iraq ranked last in terms of efficiency.