COVID-19 crisis and the efficiency of Indian banks: Have they weathered the storm?

Rachita Gulati, Vincent Charles, M. Kabir Hassan, Sunil Kumar

Research output: Contribution to journalArticlepeer-review

3 Scopus citations


The purpose of this study is to determine whether Indian banks were able to weather the COVID-19 storm. We estimate banks’ deposits-generating and operating efficiencies using a two-stage directional distance function-based network data envelopment analysis (DDF-NDEA) approach and seek to capture the immediate impact of COVID-19 on these efficiency measures by comparing their magnitudes in the pre-pandemic (2014/15–2019/20), just 1-year prior to the pandemic (2019/20), and during the pandemic year (2020/21) periods. The study looks at whether the impact of the COVID-19 pandemic was uniform across ownership types and size classes. The empirical findings suggest that the Indian banking system was resilient and withstood the immediate impact of the COVID-19 pandemic. During the study period, however, the large and medium-sized banks experienced some efficiency losses. By and large, regardless of bank group, banks have shown resilience to the shock of the global health pandemic and improvements in efficiency.

Original languageEnglish
Article number101661
JournalSocio-Economic Planning Sciences
StatePublished - Aug 2023
Externally publishedYes


  • Bank efficiency
  • COVID-19 pandemic
  • Data envelopment analysis
  • Directional distance function
  • Indian banks
  • Two-stage network model


Dive into the research topics of 'COVID-19 crisis and the efficiency of Indian banks: Have they weathered the storm?'. Together they form a unique fingerprint.

Cite this